WORLD
Microsoft set to lay off 4,800 workers, joining tech companies’ AI-led job cuts rush
- IBJ Bureau
- Jul 07, 2026
Microsoft is cutting about 2.1 per cent of its workforce, or roughly 4,800 jobs.
This is the latest in a wave of tech layoffs, as the Windows-maker spends heavily on AI infrastructure and uses the technology to improve efficiency across its business.
Big Tech’s historic AI outlays, set to top $700 billion this year, are piling up pressure on companies to show returns from the technology and offset the rising cost of rolling it out across their businesses.
Amazon and Meta Platforms have also laid off thousands of employees this year.
Microsoft had announced the cuts a few days earlier following a rough stretch, with its shares falling nearly 23 per cent in the first six months of 2026.
The software giant had earlier this year offered voluntary buyouts to about 7 per cent of its US workforce, or about 9,000 employees.
Microsoft often trims jobs near the end of its financial year in June as it sets spending plans for the new year.
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