Bonum Certa Men Certa

Cringely Says Microsoft Should Fire 50,000 Employees; More Dead Teams Surface

Axe



IN OUR PREVIOUS ANALYSES of Microsoft's tough situation [1, 2, 3, 4, 5] we supported the allegation that Microsoft is in effect firing a lot more than just 5,000 people. The company has a handle on its peripheral workforce whose contracts it need not renew.

Pseudonym Cringely, in another one of his spectacular stabs at the subject, points out that another methodology for quietly firing people may be the company's routine of discarding the least-performing tier of employees, some of whom may leave voluntarily. In Microsoft's HR department, significant reductions have already been reported, which suggests that new hires will be left at the backburners. Here are some other portions worth quoting:

Next let’s consider how big a layoff this really is – 1400 people right away and up to 5000 by sometime in 2010. Microsoft has, depending on how you count it, about 100,000 employees. If the average time in service is 10 years that implies that 10 percent of the Microsoft workforce leaves every year, which feels about right. That’s 10,000 folks leaving of their own accord EVERY YEAR. So what does this layoff mean, anyway? “Over the next two years we’ll be eliminating 5000 positions.” It means nothing.

[...]

So unlike every other public company, Microsoft traditionally manages its earnings not by cutting expenses but by increasing spending. It’s a legacy technique invented years ago by legendary CFO Frank Gaudette and embraced by Bill Gates and Jon Shirley because it accomplished the task of meeting Wall Street expectations, allowed the company to hide spectacular true profit margins, while still generally keeping anti-trust officials off Microsoft’s back.

[...]

Instead of 5000 positions, the company should drop 50,000. It should decide what businesses it is in and close or sell the rest. It should be a lot better than it is at running its true core – the muscle that’s been hiding beneath all that fat.


Yesterday we wrote about Microsoft projects, division, services or products that had been rendered dead. Here is another one which was caught by Mary Jo Foley.

It looks like Microsoft’s Global Foundation Services (GFS) team is, indeed, among those taking a hit.


This won't be formally announced until later in the week. They must be working out a way to perfume, embellish pr beautify it somehow.

"Microsoft's perspective is best reflected by Bob Herbold, Chief Operating Officer, to whom the CFO reports. Bob very sincerely replied, "Bill, everyone is doing it." My response was that Microsoft is a leader and that others are now seeking to emulate these fraudulent practices they have legitimized. Naturally Bob was not pleased by this perspective and that was our final conversation."

--Bill Parish



Recent Techrights' Posts

Free University of Bozen-Bolzano Proud to Host Free Software Talk by Richard Stallman
ahead of Monday's talk
Slopwatch: Anti-Linux Machine-Generated FUD (LLM Slop) From GBHackers, CybersecurityNews, and Guardian Digital, Inc (Google News Promotes Slop Plagiarism, Misinformation)
Companies that lie try to drown out the signal with falsehoods
Report About February Mass Layoffs at Microsoft (Third Wave of Microsoft Layoffs in 2025) Comes Back From the Dead
Yesterday we wrote about an article in CRN (reporting Microsoft layoffs) being removed without any reasons specified
Links 21/02/2025: Myanmar Scam Centre and Disruptions at USPTO
Links for the day
 
The Streisand Effect is Real
So don't be evil. Also, don't strangle women.
Links 21/02/2025: Linux Foundation Openwashing, Microsoft Copilot Goes Down
Links for the day
Links 21/02/2025: Doomscrolling and European Ham Radio Show
Links for the day
Links 21/02/2025: TikTok Layoffs, WebOS Software Patents in Bad Hands
Links for the day
Gemini Links 21/02/2025: Web Browsers, Mechanical Shortcuts, and Internet Hygiene
Links for the day
Richard Stallman 'Only' Founded the FSF
there's no reason to be upset at the FSF for keeping their founder in the Board
Techrights Disconnected From the United States Two Years Ago
Did people really need to wait for the US government to become this hostile towards the media before recognising the threat?
Before Trying Censorship by Extortion the Serial Strangler From Microsoft Literally Begged Us to Delete Pages
This is very clearly just a broad campaign of intimidation
Hype Watch: Weeks After Microsoft Disappointed Investors With "Hey Hi" It's Trying Some "Quantum" Hype (Adding Impractical Vapourware to Accompany This Hype and Even LLM Slop in 'News' Clothing)
Remember "metaverse"? What happened to media hype about "blockchain" and "IoT"?
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Thursday, February 20, 2025
IRC logs for Thursday, February 20, 2025
gbhackers.com is Not Hackers, It's LLM Slop Outputs (Fake 'Articles') That Attack 'True Hackers'
A site called linuxsecurity.com keeps doing this and now we see the slopfarm gbhackers.com doing the same
Gemini Links 20/02/2025: Law of Warming and Cooling, Health, and Devlog
Links for the day
linuxsecurity.com Continues to Spread Lies or Machine-Generated FUD (Microsoft LLMs Likely the Source) About OpenSSH and Linux
this LLM problem is global
Links 20/02/2025: Microsoft Infosys Layoffs and IRS Layoffs (Good News for Rich Tax Evaders)
Links for the day
IBM Layoffs in Europe Already Happening or Underway (UK and Spain). They Try Not to Call These "Layoffs".
"CIO" in particular was repeatedly mentioned lately, as was Consulting
People Who Came From Microsoft Demanding Removal of Articles About Them, About Microsoft, and About Microsoft GitHub is "Generous" (According to Them)
Imagine choosing a law firm that borrows money in the same year just to avoid overdraft in the bank!
Possibly a Third Round of Mass Layoffs at Microsoft in 2025 ("Cloud Solution Architects, Customer Roles"), Report Removed or Censored
This is literally the top story for "microsoft layoffs" right now
Instead of 'DoS Protection' Cloudflare is Allegedly Conducting 'DoS Attacks' on Users of Browsers Other Than Firefox and GAFAM's DRM Sandboxes (Chrome, Safari and Others)
If you value the Web, you will avoid Cloudflare
Mixing Real With Fake in One 'Article' (by "Director of Content, Help Net Security")
From what we can gather, he got machines to generate some slop for him
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Wednesday, February 19, 2025
IRC logs for Wednesday, February 19, 2025