Microsoft to layoff 4,800 people as Xbox undergoes major overhaul

Microsoft is laying off around 4,800 employees, or about 2.1% of its global workforce, as the company continues to invest heavily in artificial intelligence (AI) while looking for ways to improve efficiency across its business, reported Reuters.

The latest round of layoffs comes at a time when major technology companies are spending billions of dollars on AI infrastructure and facing growing pressure to show returns on those investments.

Amazon and Meta Platforms have also announced thousands of job cuts this year as major technology companies face growing pressure to justify their massive spending on artificial intelligence.