A Month of Mass Layoffs at Microsoft
THIS past month Microsoft had at least 3 major installments of layoffs that were also reported on, however briefly. There are many reasons why companies that do well financially do not resort to layoffs, the least of which relates to employees' collective morale.
Microsoft isn't doing well and in the coming days one must look carefully or watch out for what Microsoft hides from the public (and shareholders), for instance the decline of Windows, which gets lumped together with "client" or consumer products, e.g. Surface. Without Windows being widely deployed through the OEM channel, Microsoft in general will have great difficulties. It's all about bundling, not actually selling. The company spent a lot of money on GitHub and still loses a lot of money on GitHub just to take over projects and control developers. Did that pay off? Did that save Azure? It certainly doesn't look like it because both GitHub and Azure have had mass layoffs very often.
Microsoft has killed the goose and it's not finding golden eggs either. Now it resorts to rogue, dark financial games. As for all the "hey hi" (AI) hype, see this new report entitled "Investors Are Suddenly Getting Very Concerned That AI Isn't Making Any Serious Money". To quote: "An increasing number of Silicon Valley investors and Wall Street analysts are starting to ring the alarm bells over the countless billions of dollars being invested in AI, an overconfidence they warn could result in a massive bubble."
"As the Washington Post reports, investment bankers are singing a dramatically different tune than last year, a period marked by tremendous hype surrounding AI, and are instead starting to become wary of Big Tech's ability to actually turn the tech into a profitable business."
More below. █
