Microsoft is planning layoffs as it refocuses its sales force on making the software colossus a pivotal part of businesses relying on cloud computing, according to media reports.
While many reports forecast the changes would result in thousands of job cuts, Microsoft on Monday only confirmed to AFP that changes were on the way. "Microsoft is implementing changes to better serve our customers and partners," a Microsoft spokesperson told AFP.
The tech giant has yet to comment on the matter, but an insider source claims the company is setting up an organizational merger that will combine its enterprise customer unit and one or more of its SME segments.
Several reports noted a major sales reorganization for the Redmond-based company, with cuts that could be announced this week. It reportedly wants to consolidate efforts to focus on cloud software sales. Shifting sales and marketing resources toward those services seems like a natural step in Microsoft’s evolution, which is of course no consolation to anyone who is about to lose their job.
In an emailed statement, a spokesperson for the company said, "Microsoft is implementing changes to better serve our customers and partners."
Either way, it's not the first time Microsoft has cleared the decks. This time last year, Microsoft cut 2,850 jobs as part of changes to its phone hardware and sales teams -- an increase on the 1,850 roles it announced would be culled just two months prior.
It is a time of distress for Microsoft as the company continues to face scrutiny regarding the privacy of its email servers as President Trump recently requested that the Supreme Court intervene in a controversial warrant issued against the company due to the fact that some of its users’ emails may include information pertaining to a drug trafficking case.
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