Published: Wed, July 05, 2017
Hi-Tech | By Merle Christensen

Microsoft is preparing to lay off thousands of employees, according to report

Microsoft is preparing to lay off thousands of employees, according to report

Microsoft is remaining tight-lipped about how a global reorganisation that is reportedly expected to impact its sales and marketing teams will affect its operations in Australia and New Zealand.

"Given the Windows 10 Creators Update provides the latest security protections to help keep you safe, we want to help update your device as soon as possible", Cable said. ZDNet reports that Microsoft has a new Enterprise Operating Unit for its sales department which will be focused on its new businesses and new "customer success units". Althoff has been particularly critical of Microsoft's sales approach, which he says uses dated, boxed software-selling strategies to sell Azure services.

Microsoft had more than 121,000 employees as of March 31 - up 6 percent from June 30, 2016, according to the company.

Microsoft had to let go of almost 7,800 staffers, including at least 900 from its sales group, a year ago as it pulled down the shutter on its smartphone business thereby handing off the company licence to HMD Global which has already released three smartphones and a feature phone at the annual Mobile World Congress trade show in Barcelona.

According to reports in the media, citing sources, the Washington-based tech giant would hand over pink slips to "thousands" of its staff worldwide.

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TechCrunch reported that the fresh cuts will include an organisational merger between its enterprise customer unit and at least one of its small and medium business divisions. Coming to this conclusion upon assessing the market dynamics of the sixty-largest cloud computing companies, Bracelin touted Microsoft as having "unmatched product depth and breadth".

For its part, Microsoft has not commented on the layoffs or confirmed numbers.

"Microsoft is implementing changes to better serve our customers and partners", a Microsoft spokesperson said.

If true, the move is likely to see Microsoft's A/NZ footprint hit in the changes, along with other regions.

This is definitely not the first time that Microsoft is laying off its employees. Instead, it's another step towards the new business model Microsoft has been pursuing under CEO Satya Nadella.

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