New upheavals at Microsoft: The American software company is pumping billions more into data centers for its AI cloud – while cutting hundreds of employees in the area.
The US software company announced that it would upgrade its cloud data centers in Sweden with new powerful AI processors over the next two years for the equivalent of around three billion euros.
“Further announcements” in the fall
“There will be further announcements, probably in the fall,” Microsoft President Brad Smith said in an interview with Reuters. A few months ago, the American company announced similar investments worth billions in Germany.
Shortly after the announcement, however, another announcement came that Microsoft wanted to save staff in its cloud division at the same time. The affected areas are Azure for Operators and Mission Engineering, Business Insider said, citing informants. Azure for Operators could eliminate up to 1,500 jobs.
In January, 1,900 jobs were cut at Activision-Blizzard and the Xbox gaming division. The layoffs join a wave of job losses in the technology and media industries this year.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
