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Microsoft cuts many jobs

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Microsoft cuts 4,800 jobs worldwide. This is 2 percent of all workers. The Xbox division suffers a lot. Almost 1 in 5 jobs ends there. Also LinkedIn cuts some jobs. Microsoft paid 9,000 people to leave before.

Asha Sharma is the new Xbox boss. She wants to change the division. The game business is not good right now. The profit is too low. There are also too many bosses. The company wants fewer Management Levels. This saves money. Decisions will be faster.

Microsoft spends a lot of money too. The company spends 190 billion dollars on Artificial Intelligence. Microsoft builds many new Data Centers. These buildings are very expensive. This makes Computer Chips more expensive. But Microsoft says: The AI does not replace the people.

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Definitions

Artificial Intelligence
Artificial Intelligence means computer programs. They do tasks like humans. They can see pictures or write text.
Division
A division is a part of a big company. It works on a special topic.
Management Levels
These are the stages of bosses in a firm. Many levels mean many bosses between workers and leaders.
Data Centers
These are buildings with many strong computers. These computers store data. They run programs for the internet or for AI.
Computer Chips
These are very small parts in machines. They help computers or phones to work.

People

Asha Sharma
Asha Sharma is the new head of the Xbox division at Microsoft.

Sources

Logo Bild
Bild

Xbox trifft es besonders hart: Microsoft streicht 4800 Jobs

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Logo Kleine Zeitung
Kleine Zeitung

Microsoft baut wieder tausende Stellen ab, auch LinkedIn betroffen

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Logo TechCrunch
TechCrunch

The running list: major tech layoffs in 2026 where employers cited AI | TechCrunch

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Logo Spiegel
Spiegel

Künstliche Intelligenz: Microsoft will Belegschaft um zwei Prozent reduzieren

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Logo Kurier
Kurier

Stellenabbau wegen KI: Microsoft streicht mehrere tausend Jobs

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