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Microsoft to cut under 2.5% of workforce in latest layoffs, Business Insider reports

By Thomson Reuters Jun 30, 2026 | 6:27 PM

June 30 (Reuters) – Microsoft is planning to cut under 2.5% of its workforce in the latest round of layoffs that could be announced as ​early as next week, Business Insider reported ‌on Tuesday, citing sources.

Reuters could not immediately verify the report.

U.S. companies have continued to trim headcount in recent months, with a fresh wave of layoffs across the technology, media and finance sectors ‌as ​firms rein in costs, while investing ⁠heavily in AI infrastructure.

Here ⁠are a few details:

• The layoffs will impact thousands of roles, including sales and consulting, as well as jobs at the Xbox gaming division, the ​Business Insider report said.

• Microsoft declined to comment on the report.

• Microsoft had roughly 228,000 full-time employees ⁠as of June 30, 2025, ⁠according to an SEC filing last year.

• Xbox, ​which raised prices of its gaming consoles worldwide, citing a ​deepening global components crisis, is planning major layoffs and ‌significant cuts to marketing and other budgets, Bloomberg News reported earlier this month.

• The Windows maker is also considering options for its Xbox gaming unit, including a ⁠potential spinoff or restructuring as a wholly owned subsidiary, The Information reported earlier in June.

• In July 2025, the company ⁠said it would ‌lay off nearly 4% of its ⁠workforce, in one of its largest layoffs ​in ‌recent years.

• Across the technology sector, Meta ​announced plans ⁠this year to cut 10% of its workforce, and Amazon laid out plans to eliminate roughly 16,000 jobs globally.

(Reporting by Bipasha Dey in Bengaluru, Additional reporting by Mrinmay Dey in Mexico City; Editing by Vijay Kishore, Rashmi Aich ​and Sherry Jacob-Phillips)