The layoffs and reorganization within Microsoft are part of the company's shift towards AI, with the formation of a new division called "Microsoft AI". The company is moving more workers to projects like Copilot, its ChatGPT-like assistant. Despite the layoffs being less sweeping this year, the company's focus on AI has led to significant internal changes and investments, including the development of its own large language model.
Key takeaways:
- Microsoft is reportedly laying off between 1,000 and 1,500 workers from its Azure cloud and mixed reality departments to focus on AI technology.
- The company laid off 10,000 employees last year as it announced a $10 billion investment in OpenAI.
- Microsoft is reportedly willing to spend $100 billion to build a supercomputer for advanced AI training and wants to develop its own large language model.
- Microsoft is reorganizing its structure, including the formation of a new division called "Microsoft AI", as it shifts more workers to projects like Copilot, its ChatGPT-like assistant.