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Microsoft’s Move to Boost Cloud Growth Results in 3000 Job Cuts

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Published on : Jul 07, 2017

In a bid to stay competitive and gain from the latest advances in technology, Microsoft on Thursday announced its decision of reorganizing. The move commenced with nearly 3000 job cuts in sales staff outside its office in the US, as reported by the media. As per the latest reports, the job cuts however remained less than 10% of the company overall sales force. However, the extent to which this decision may impact Microsoft employees is still unclear.

More Focus on Cloud Platforms Compelling Microsoft to Order Lay-offs

Microsoft is undergoing a transitioning phase wherein it is implementing several changes with the intention of better serving customers and partners. Against the backdrop of recent alterations in policy a spokesperson from Microsoft revealed that the company is taking steps to notify employees that their jobs are either under condition or that their position might get dissolved.

Like other companies in the industry, Microsoft makes conscious effort to evaluate their business on a regular basis. While this may result in increasing investment in certain areas, in other cases it might result in re-deployment, revealed the spokesperson.

According to a recent report published in The Verve, Microsoft’s server and cloud businesses are scaling new heights, enabling the company earn increased revenue. The company’s earnings from cloud service and serve products have accelerated by 15%. Besides this, Azure revenue has augmented by as much as 93% in the last quarter, giving the company more focus to create policies to boost cloud growth.

According to a report recently published by a US-based analyst house Pacific Crest Securities, Microsoft’s Azure Cloud Platform might overtake Amazon Web Services by the end of this year.

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