4th quarter will be a lot worse. SLT has already moved into the planning phase. I have been informed damage control has been top of tongue for July.
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Yeah yeah yeah.
Wall Street will certainly be on board with cutting any number of people so long as MSFT maintains earnings and cashflow. These types of "structural improvements" are always highlighted in quarterly results meetings to highlight lower operating costs. I would guess that MSFT could drop another 30k people without significantly impacting (short term) earnings. It could have massive adverse long-term effects, but the modern-day corporation rarely cares beyond the next couple of quarterly earnings reports.
Need a new christian ceo from with an American background.
The writing is on the wall. Read it. SN already said two rough years ahead. He set the tone when he said that 2 weeks ago for this initial and subsequent layoffs. Get use to it.
That seems like a tall order. Stock is down since announcing these cuts. Do you really think Wall Street will be on board with cutting that many people?
From a leadership level I get it why they are doing it. It just seems a bit drastic unless most cuts are coming from acquired companies.
Interesting article which came out this week. Seems to be supporting the theory of moving resources to Open AI:
You can refuse all you want, but as first correspondence has already stated “these are times of significant changes”. This is the strategic closing and consolidation of product lines to prepare for the next acts (Open AI, etc).
I refuse to believe the company is dropping 50 percent of people
For the person who asked, I have direct Insider knowledge. The goal/order is to trim down to 124k-135k total employees, over several quarters, and reallocate the funds to expedite Open AI.
How do you know this? Speculation or do you have insider knowledge?
Total employee head count will drop back to pre-pandemic number by end of 2023. Expect 15K RIF every quarter.
Worse - Another 10-15k? Are they laying off non-growth divisions/teams in Q3 and saving Q4 for performance based RIFs?