Microsoft has announced significant workforce reductions, affecting approximately 4% of its 228,000 global employees. While the company has not disclosed specific divisions impacted, reports indicate the Xbox gaming unit is likely to face cuts. This decision comes as Microsoft shifts its focus towards artificial intelligence (AI), committing $80 billion to develop large data centers for AI model training. Mr. Turnbull, acknowledging the challenges of layoffs, encouraged those affected to seek support and shared resources for navigating job transitions. He highlighted the emotional impact of AI on employees and provided prompts for using AI tools in career planning, resume building, and enhancing emotional clarity. As Microsoft prioritizes AI, some video game projects may be sidelined due to these workforce changes. This strategic pivot underscores the growing importance of AI in shaping Microsoft’s future direction and its workforce dynamics within the gaming sector.
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