A spokesperson for Microsoft tells CNBC that like all companies, they evaluate their business on a regular basis. "This can result in increased investment in some places and, from time-to-time, re-deployment in others". Over the past several years, Microsoft has turned its focus toward cloud computing as it tries to pivot away from the sluggish PC market and its legacy software business.
Microsoft's shares are down 0.7% at $68.63 today.
"Microsoft is implementing changes to better serve our customers and partners", Microsoft said in a statement.
Microsoft has 71,000 employees in the United States and 121,000 around the world.
Microsoft is undergoing a major reorganization. And businesses require specialized cloud software, tailored for their industry.
Microsoft is reportedly cutting up to 3,000 staff globally as it focuses on the competitive cloud computing sector. These memos say the company reorganization will affect sales and marketing teams under Microsoft Chief Marketing Officer Chris Capossela and Executive Vice Presidents Judson Althoff and Jean-Philippe Courtois. The duo is running the global sales and marketing group after taking over from Kevin Turner in 2016. And Microsoft is using this action as an opportunity to cull other employees, including those that are close to retirement and will be offered an early leave.
New capabilities are being built into the cloud services, notably big data analysis and artificial intelligence capabilities.
Based on the murmurs it's shaping up to look as though layoffs are in Microsoft's near future, starting today.
We already knew that job cuts were coming.
Microsoft completed its $26 billion acquisition of the professional social network LinkedIn late a year ago as part of its new strategy.