Microsoft said on October 26 it was offering voluntary buyouts to eligible employees at level 70 or below in the US, Canada, India, and the UK as it balanced AI infrastructure spending with more efficient capital use.

About 60,000 employees, or roughly 27% of Microsoft’s workforce, were eligible, according to a person familiar with the matter.

Eligible employees had to decide in early December. Those who accepted would leave on December 31. Some Microsoft teams were not participating, the person said.

Microsoft said in July that capital spending for the September quarter would exceed US$50 billion, compared with US$34.9 billion in capital spending and finance leases a year earlier.

Investors are watching how record AI spending affects the company’s finances.

The buyouts follow Microsoft’s plan, announced in July, to lay off 4,800 employees. Meta was also planning job cuts as AI costs mount.

🔗 Source: CNBC

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