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Microsoft CEO Feels Weighed Down by Job Cuts

KING COUNTY, WASHINGTON, JUL 24 – Microsoft invests over $80 billion in AI despite laying off 9,000 employees to balance growth and workforce size, with profits rising 18% in early 2025, Nadella said.

  • On Thursday, Microsoft CEO Satya Nadella addressed this month's layoffs, noting 9,000 employees lost their jobs including thousands at Xbox.
  • Amid heavy AI spending, these cuts follow a May reduction of about 6,000 employees, as Microsoft has invested an estimated $80 billion in AI over the past year.
  • Despite the cuts, Microsoft’s stock rose to a record above $500 on July 9, and the gaming division faced project cancellations amid the workforce reductions.
  • Projecting forward, Nadella envisioned AI democratization for everyone, adding that Microsoft must become "an intelligence engine empowering every person and organization to build whatever they need to achieve.
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NBC New York broke the news in New York, United States on Thursday, July 24, 2025.
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