Microsoft has announced it will be laying off about 1,000 employees as part of its ongoing restructuring efforts. The layoffs will mainly affect divisions such as mixed reality and Azure cloud units. The mixed reality department, crucial for projects like the HoloLens 2 augmented reality headset, will face significant cuts. Despite the challenges, Microsoft remains committed to supporting existing HoloLens 2 customers and partners, as well as its involvement in the Department of Defense’s Integrated Visual Augmentation System (IVAS) programme.
In addition to the Mixed Reality division, the Azure cloud unit will also experience substantial layoffs, particularly affecting teams within Azure for Operators and Mission Engineering. This reflects a broader reorganization strategy initiated in 2021. Craig Cincotta, a Microsoft spokesperson, affirmed the company’s commitment to strategic growth areas, emphasizing the necessity of organizational adjustments in an email to The Verge.
Despite these setbacks, Microsoft’s Azure cloud unit continues to demonstrate growth, buoyed by investments in artificial intelligence (AI) and partnerships like its collaboration with OpenAI. The integration of AI capabilities into Microsoft’s suite of products underscores the company’s commitment to innovation and customer-centric solutions.
Recently, in response to recent high-profile cyberattacks, Microsoft announced a major overhaul of its security processes, declaring security as its top priority. CEO Satya Nadella emphasized this shift in a memo to over 200,000 employees, urging a collective effort towards fortifying the company’s defences.
The initiative, dubbed Secure Future Initiative (SFI), aims to embed security into every aspect of Microsoft’s operations, following three core principles: Secure by Design, Secure by Default, and Secure Operations.
