Microsoft Announces Major Downsizing - 60,000 Affected

[AZ_HighCountry]

That's true. There was other news from Europe that came through my trading platform today as I was buying up EWZ (Brazil ETF) after the post-election drop.

The Netherlands is now planning to lay off 20% of government employees over the next decade as it invests more in technology and AI. Can we say more governments will follow through, including the U.S.?

Netherlands to Cut 20% of Government Jobs in 10-Year Efficiency Drive

Netherlands plans to reduce government jobs by 20% over the next decade, aiming for €3.5 billion in savings. AI use to support efficiency goals.

www.globalbankingandfinance.com

@RescueRanger

So, I participate in certain disciplines that until recently required a tax stamp. The items needing a stamp at that time; one was approved in 4 days. The 2nd in 48 hours. The third in exactly 24 hours.

There is NO WAY that the particular government agency could have run all the necessary checks that fast without the process having been automated.

The very first time I did that, 40 years ago, it was something like 6 or 7 months before the approval and stamp was received.

So yes, I'd be happy beyond all belief to see government at ALL levels follow suit with the introduction of AI. That is going to be the only way to address the problem of waste and inefficiency under the umbrella of excessive bureaucracy.

 

[pakistanitarzan]

Hah, back in early 2000s, I was working on programming some software (using Windows Dynamic Linked Library: DLLs) to do Text to Speech. The results were not that good. How different the world is now !


It is not going to be good for the Indian software industry. Or for any other country's, for that matter, but India has built a prestige around its software industry with great results for India.


The debate about 'manufacturing' kind of reminds of the debate in America too: Leave the office jobs and do the 'handy' work: Plumbers, carpenters, roofers, farmers, auto mechanics... but those fields also can over saturated.
Maybe the only 'secure' handy jobs are the brute, literally back-breaking construction and paving the road jobs.

I may need to pick your brain as I am in tough spot and my role may also be redundant next year. Im still at an age where I could change career but I no longer have an appetite to go to school again.

 

[onlinpunit]

Wow ! This will increase the happiness index of our neighbors !

70% of them are Indians!

 

[AZ_HighCountry]

Wow ! This will increase the happiness index of our neighbors !

Let's not agitate Maarkhoor. Or anyone else for that matter.

Kindly stick to the topic.

 

[AZ_HighCountry]

So, I looked back at @Feroze post from July regarding Xbox. Between that announcement and this one today, close to 65,000 jobs have been impacted.

At a lot of companies, this would not bode well. I'm still of the opinion that is the case here. @Hamartia Antidote is onto something that M$ is betting the farm on AI and datacenters.

 

[nahtanbob]

If you have something to back up that statement, please, do post it.

We're not going to turn this into another India-bashing thread.

Ok?

Well between USA and India, a lot of Indians will be affected

@AZ_HighCountry - do not mean to derail the thread. It is obvious. The 60k is not the actual cuts. I expect it to be smaller

 

[nahtanbob]

Hah, back in early 2000s, I was working on programming some software (using Windows Dynamic Linked Library: DLLs) to do Text to Speech. The results were not that good. How different the world is now !


It is not going to be good for the Indian software industry. Or for any other country's, for that matter, but India has built a prestige around its software industry with great results for India.

The so called Witch companies are losing 50% of their business

But it will be offset by so-called GCC from foreign companies and startups

it will be a rude jolt - maybe their take from technology sector falls by 30-40%.

The debate about 'manufacturing' kind of reminds of the debate in America too: Leave the office jobs and do the 'handy' work: Plumbers, carpenters, roofers, farmers, auto mechanics... but those fields also can over saturated.
Maybe the only 'secure' handy jobs are the brute, literally back-breaking construction and paving the road jobs.

Me thinks - civil engineering is a great profession somewhat immune to AI

 

[Viet]

Voluntary exit is time limited.

Translation: miss the date, miss the package.

I predicted in another day more job cuts coming
Microsoft puts money elsewhere.
Nvida Etx spark in the size of a laptop can make 1,000 trillion calculations a second or 1 petaflop.

 

[AZ_HighCountry]

Well between USA and India, a lot of Indians will be affected

I won't disagree with that.

Let's just get some facts to support the allegation. So far, Microsoft has not announced how many are eligible by country.

And, when the separations do begin, I don't expect them to announce by nationality, visa status, etc. of who all was impacted. They will simply report a number and possibly sex and age. Motorola used to do that as part of their RIFs; report the sex and age of each of the workers.

 

[kambhakt]

India: Microsoft has approximately 23,000 employees in the country, but reports say the number eligible for the offer is unknown.

Tech News - Business Standard
+1

Even if all Indian Microsoft employees were laid off, it would not come to 70% of 60000.

 

[j_hungary]

Coming to an airline near you soon(TM)
View attachment 221004
Meet Claude your friendly AI Auto Pilot...

Thought its name is Otto......

Anyway, Airplane can fly, cruise and land themselves without pilot input, NASA had already developed Propulsion Controlled Aircraft System that can basically replace everything Pilots operate, but airline industry soundly rejected the system. Pilots is just another scam......

Flight with disabled controls - Wikipedia

en.wikipedia.org

 

[Pakistanithinktank]

Due to IT jobs, Indians are leaving USA and going back to Indian.

Just like Microsoft, Pakistan should cut 70% of federal and provincial jobs because Ai doesn't lie, Ai doesn't do corruption and Ai doesn't do money laundering.

 

[K2RULEZ]

Before Microsoft became Microslop, it held a very special place in my heart. I am from that generation that saw people like Bill Gates and Tim Berners-Lee as legends.

"Saaar, nat my phault!"

 

[roger]

The announcement doesn't appear to have made much of an impact on the after-hours trading:

View attachment 221001

My sense is, if the performance is not up to market expectations, they pre empty the fall in share price by this announcement of cost reductions and such a huge reduction/ 25% reduction announcement, is aimed to balance out. If this is the case, well played Microsoft.

 

[roger]

Yep I was saying AI was going to take those IT and back office roles first and India and phillipines will be the biggest victims.

English is not a skill and AI is proving that now

Wipro, infosys etc all cutting jobs as well in India

So instead of hiring people now they are firing people

what do you think Indian graduates going to do now without jobs? the west has closed doors on immigration as well. an industry that was hiring hundreds of thousands now firing them?

Indian service sector is done and they should have invested into manufacturing sector. This is what happens when you try to skip the hard but critical steps to success.

TCS, Infosys, Wipro quietly cut 50,000 jobs. Is your skill obsolete? | Pratham K posted on the topic | LinkedIn

The “silent layoffs” everyone’s whispering about? Let me tell you what’s really happening. TCS, Infosys, Wipro - they’re cutting 50,000 jobs without announcements. They’re calling it “performance management” or “skill mismatch.” But here’s what I’m seeing at The Algorithm that nobody wants to...

www.linkedin.com

These Indian Companies are actually hiring entry level at peanuts. Overal workforce for the industry is modest increase as per latest data and this will hold. US companies , using AI as pretext are offloading more ( AI has not yet reached singularity) than warranted and hiring in India by increasing GCC. Vultures that they are . But the real shock to India is going to come with the crash of real estate. They are crazy , crazy high and unsustainable. Real Estate crash will set the fire in all sectors and segments. This middle East war and Ukrain War is screwing every country but India is getting squeezed much more due to dependency on petroleum products at almost 90%. You may finally expect Modi to be in Pakistan ( it's economics stupid , as they say) and maybe ...maybe... neighbours will learn to co-exist ...and India should ...as the choices are bleak..