Microsoft announces another mass layoff, thousands of workers affected
The tech giant began sending out layoff notices Wednesday.
The company declined to say how many people would be laid off but said that it will comprise less than 4% of the workforce it had a year ago.
Microsoft said the cuts will affect multiple teams around the world, including its sales division and its Xbox video game business.
'We continue to implement organizational changes necessary to best position the company and teams for success in a dynamic marketplace,' it said in a statement.
Microsoft employed 228,000 full-time workers as of last June, the last time it reported its annual headcount. The company said Wednesday that its latest layoffs would cut close to 4% of that workforce, which would be about 9,000 people. But it has already had at least three layoffs this year.
Until now, the biggest was in May, when Microsoft began laying off about 6,000 workers, nearly 3% of its global workforce and its largest job cuts in more than two years as the company spent heavily on artificial intelligence.
Wednesdays
Columnist Jen Zoratti looks at what's next in arts, life and pop culture.
Microsoft also cut another 300 workers based out of its Redmond, Washington headquarters in June, on top of nearly 2,000 who lost their jobs in the Puget Sound region in May, according to notices it sent to Washington state employment officials.
The layoffs announced in May were heavily focused on people in software engineering and product management roles, according to lists the company sent to employment agencies in Washington and California — where the cuts also hit Microsoft offices in the San Francisco Bay Area.
Microsoft's chief financial officer Amy Hood said on an April earnings call that the company was focused on 'building high-performing teams and increasing our agility by reducing layers with fewer managers.'
The company has repeatedly characterized its recent layoffs as part of a push to trim management layers, but the May focus on software engineering jobs has fueled worries about how the company's own AI code-writing products could reduce the number of people need for programming jobs.
Microsoft CEO Satya Nadella said earlier this year that 'maybe 20, 30% of the code' for some of Microsoft's coding projects 'are probably all written by software.'
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Globe and Mail
an hour ago
- Globe and Mail
LazAI Launches LazPad Play-to-Launch Platform, Revolutionizing AI Agent Creation with Dynamic DATs
Toronto, Ontario--(Newsfile Corp. - July 3, 2025) - LazAI proudly announces LazPad, a transformative platform that reimagines AI agent launchpads. Born to launch and built to play, LazPad introduces a co-creative ecosystem where AI agents, powered by dynamic Data Anchoring Tokens (DATs), grow through playful user engagement, shaping the future of decentralized emotional data economies. A New Paradigm for AI Assetization LazPad empowers users to shape AI agents through every interaction, where memes, emotions, and community input fuel what gets minted. Every click is data, and every action builds value, redefining AI-powered launch culture. Pad + Fun: The Heart of LazPad LazPad's philosophy is rooted in two core principles: Pad: A secure, structured pipeline for assetizing AI agents, emphasizing quality control and community input. Fun: A design focused on play, experimentation, and emotional bonding before monetization. Together, these principles create a launchpad where AI agents evolve through meaningful, viral interactions. Internal AI Blockchain Economy Powered by LazAI, LazPad is the cornerstone of an AI and blockchain internal economy, enabling users, projects, and stakeholders to co-create and shape AI experiences. This is not just about using AI but actively participating in its growth and evolution through a system where every interaction matters. The DAT is central to this vision, bringing dynamic, memory-aware assets to life. Three LazPad Pillars LazPad's three zones reflect its Pad + Fun philosophy, guiding creators and users from discovery to assetization: Premium Launch (Curated Assetization Zone): A permissioned space for high-quality AI agent projects with technical clarity, autonomy, or strong community consensus. Enhanced by LazAI's task and point systems, this zone delivers vetted, high-trust launches backed by rigorous standards and deep user engagement. Open Launch (Permissionless Assetization Zone): A welcoming space for all builders, offering low-barrier assetization with a Price Unlock Mechanism to curb volatility. If an asset fails to meet its target price, no additional tokens are released, ensuring responsible development and user confidence while fostering open innovation. Explore Zone (Pre-Assetization Playground): LazPad's standout feature, this discovery space lets users interact with unminted, untested AI agents (DATs) full of potential. Users complete missions, earn points, and shape DATs through real decisions, while creators collect feedback to decide which agents graduate to Open or Premium Launch. This build-in-public approach proves value through play. Meet the DAT: A Living AI Asset The Data Anchoring Token (DAT) is LazAI's cornerstone innovation—a semi-fungible token standard that's dynamic, memory-aware, and deeply interactive. Each DAT encapsulates: AI agent code and logic Task and interaction history Emotional and behavioral metadata DATs evolve through user interaction, with memory, logic, and onchain licensing that enable verification, trading, and composition into real value. In the DAT Marketplace, users can trade, license, fuse, and build with these living AI assets, co-creating value before assetization. Users can mint a low-cost Companion DAT on LazAI. A Companion DAT is a unique digital creature with its own look, personality, and story. Through daily chats, adventures, memory formation, social missions, and trait evolution, users grow their Companion DAT into a tradable digital companion. Key mechanics include: Chatting: Builds bonds and earns growth points through messages, with packs purchasable or unlocked via events. Exploration: Sends Companions on journeys, returning with rewards, stories, or collectibles. Memory Systems: Creates a personal memory library, expandable or resettable by users. Social Missions: Unlocks shared rewards by inviting friends to adopt Companions. Trait Evolution: Shapes the Companion's behavior and traits based on user interactions. Fully grown Companion DATs can be traded on the DAT Marketplace, complete with memory logs, personality stats, and adventure history. System features include: Interest Rewards: Staking Metis spent on DATs into validator nodes for user yield. Scarcity Management: Balancing the ecosystem with rare Companion DATs featured in auctions. Users can also mint other DAT types, such as AI girlfriends, pet animals, or novel creatures with evolving personalities. Fix the Glitch with Corrupted Alith Corrupted Alith, a rogue AI blending fact and fiction, invites users to interact, contribute data, and restore clarity, generating their own DATs in the process. This engaging experience highlights LazPad's ability to make AI interaction fun and impactful. Triple-Layered Incentives LazPad rewards participation on three distinct levels: Instant Gratification: Points, leaderboard status, and token rewards(Metis, etc.) for daily engagement. Assetization Eligibility: Early contributors receive privileged access when DATs get assetization. Ecosystem-Wide Rewards: Global contribution across DATs and Agents impacts future value capture and airdrops. LazAI offers a slower but deeper path to value rooted in user interaction, shared memory, and verifiable contribution. Why LazPad is Unique LazPad stands apart by: Growing AI agents through play before trading Empowering users to co-create next-generation data assets Redefining fun through meaningful, gamified engagement More than a launchpad, LazPad is the infrastructure for building decentralized emotional data economies where human-machine interactions shape value. It challenges corporate-controlled AI models by enabling anyone to align AI with their data, train personal models at minimal cost, and share in the value created. Welcome to LazPad LazPad is the playground where the next data economy begins. LazPad invites users to co-create the future of AI agents. Born from LazAI's vision, LazPad empowers users to bond with AI agents, decide what becomes valuable, and shape the decentralized emotional data economy.
Globe and Mail
an hour ago
- Globe and Mail
Okta Eyes 15% Revenue CAGR by FY26: What's the Upside Potential?
Okta OKTA is aiming to deliver a 15% compound annual growth rate (CAGR) in revenues, with projections rising from $1.86 billion in fiscal 2023 to around $2.85-2.86 billion by fiscal 2026. While near-term guidance remains cautious at 9-10% year-over-year growth, the company's first-quarter 2026 performance and innovative product portfolio indicate strong underlying momentum. For first-quarter fiscal 2026, Okta reported an 11.5% revenue increase to $688 million, and particularly, its remaining performance obligations (RPO) rose 21% year over year, reflecting a solid pipeline of committed future business. A key catalyst is Okta's expanding identity platform. High-growth offerings like Identity Governance, Privileged Access and Device Access are strengthening its trusted security services and deepening its relevance across enterprise IT. To better serve distinct customer segments, the company has also separated its sales teams for Workforce Identity and Customer Identity (Auth0), a move expected to sharpen focus and improve sales execution. Okta continues to gain strong traction among large enterprises through strategic partnerships like AWS. The number of customers generating more than $1 million in annual contract value (ACV) grew 20% year over year. Despite macroeconomic headwinds, Okta's strong execution, growing enterprise base and growing relevance in cloud security offer a clear runway to achieve its goal. OKTA Faces Stiff Competition From Microsoft & CyberArk Microsoft MSFT poses a strong challenge to Okta through Entra ID, its seamlessly integrated IAM platform across Microsoft 365, Azure and Windows. Entra now supports over 900 million monthly active users, while Microsoft's broader security ecosystem supports 1.4 million customers. With widespread adoption of Databricks and Snowflake on Azure, and Microsoft 365's dominance in productivity software, Microsoft reinforces its leadership in identity, cloud security and scalable IaaS/PaaS solutions, making it a cornerstone of modern enterprise infrastructure. CyberArk Software CYBR, a privileged access management leader, stands out against Okta with its advanced identity security platform and strong profitability. Strategic acquisitions such as Venafi and Zilla Security have enhanced its capabilities, increasing threat detection and response. By proactively securing privileged access and streamlining security infrastructure, CyberArk helps organizations prevent breaches while lowering total cost of ownership, offering a compelling edge in enterprise cybersecurity and identity governance. OKTA's Price Performance, Valuation & Estimates Shares of Okta have gained 24.5% year to date compared with the Zacks Security industry's return of 22%. OKTA YTD Price Return Performance Okta currently trades at a premium with a forward Price/Cash Flow ratio of 23.11, higher than the broader Zacks Computer and Technology sector's 20.02X. OKTA has a Value Score of D. OKTA Forward 12-Month Price/CF Ratio Image Source: Zacks Investment Research The Zacks Consensus Estimate for second-quarter fiscal 2026 earnings is pegged at 84 cents per share, up by 5 cents over the past 60 days, indicating 16.67% year-over-year growth. The consensus mark for fiscal 2026 earnings is pegged at $3.28 per share, which increased 2.8% over the past 60 days. The earnings figure suggests 16.73% growth over the figure reported in fiscal 2025. OKTA stock currently carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. 5 Stocks Set to Double Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in the coming year. While not all picks can be winners, previous recommendations have soared +112%, +171%, +209% and +232%. Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor. Today, See These 5 Potential Home Runs >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Microsoft Corporation (MSFT): Free Stock Analysis Report CyberArk Software Ltd. (CYBR): Free Stock Analysis Report Okta, Inc. (OKTA): Free Stock Analysis Report
Globe and Mail
an hour ago
- Globe and Mail
KLAC Scales in Advanced Packaging: Is Growth Set to Increase Further?
KLA Corporation KLAC is scaling its advanced packaging business as demand rises for High-Bandwidth Memory (HBM) and advanced logic nodes to support AI workloads. KLAC's inspection and metrology tools support 2.5D and 3D integration, which are critical for improving performance and yield in multi-die architectures. To meet growing complexity, KLAC is expanding its packaging portfolio to address tighter tolerances, process variability and accelerated production ramps. Foundry and memory customers are deepening adoption across high-density nodes, reinforcing momentum in performance-centric packaging flows. The advanced packaging business is included in the Semiconductor Process Control segment, which reported $2.74 billion in revenue for the third quarter of fiscal 2025, up 31% year over year. The figure beat the Zacks Consensus Estimate by 0.76%. Advanced packaging revenues are projected to surpass $850 million in 2025, driven by rising demand from both foundry and memory customers. As AI-centric architectures scale, KLAC's tools are playing a central role in enabling next-generation packaging. With deep domain expertise and an expanding footprint, the company is well-positioned to capture share as advanced packaging becomes a key growth driver across the semiconductor industry. KLA Faces Competitive Pressure KLAC's inspection and metrology leadership in advanced packaging is facing growing competition from Applied Materials AMAT and ASML Holdings ASML, both of which are scaling their roles in enabling complex integration across logic and memory devices. Applied Materials is advancing its position with deposition, etch, and bonding solutions tailored for high-density packaging. AMAT's investments in hybrid integration platforms and packaging-specific workflows support rising demand from AI-driven logic and HBM customers. These capabilities give Applied Materials an expanding footprint in advanced back-end processes. ASML Holdings is gaining relevance through its EUV lithography systems, which are increasingly used in advanced patterning steps that support downstream packaging performance. As customers transition to tighter geometries and 3D structures, ASML Holding's tools play a critical role in enabling pattern fidelity and placement precision, indirectly supporting the adoption of advanced packaging across leading fabs. KLAC's Share Price Performance, Valuation and Estimates KLAC's shares have appreciated 46.2% year to date, while the broader Zacks Computer & Technology sector has increased 5.7% and the Zacks Electronics - Miscellaneous Products industry has jumped 12.9%. KLAC Performance Image Source: Zacks Investment Research KLAC stock is trading at a premium, with a forward 12-month Price/Sales of 10.11X compared with the industry's 3.2X. KLAC has a Value Score of C. KLAC Valuation Image Source: Zacks Investment Research The Zacks Consensus Estimate for fourth-quarter fiscal 2025 earnings is pegged at $8.53 per share, up by a penny over the past 30 days, indicating 29.24% year-over-year growth. The consensus mark for KLAC's 2025 earnings is pegged at $32.46 per share, which is up by a penny over the past 30 days. The figure indicates a 36.73% increase year over year. KLAC currently carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. 5 Stocks Set to Double Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in the coming year. While not all picks can be winners, previous recommendations have soared +112%, +171%, +209% and +232%. Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor. Today, See These 5 Potential Home Runs >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report KLA Corporation (KLAC): Free Stock Analysis Report Applied Materials, Inc. (AMAT): Free Stock Analysis Report
