Microsoft has announced a new series of layoffs, impacting approximately 1,000 employees across several innovative teams, including those involved in the HoloLens 2 and Azure cloud projects.
This decision follows a larger wave of layoffs last year, where more than 10,000 employees were affected as the company began realigning its hardware portfolio, according to statements by CEO Satya Nadella.
The layoffs predominantly affect the mixed reality team responsible for HoloLens 2, as well as the Azure for Operators and Mission Engineering group. The latter, established in 2021, are known for their ambitious ‘moonshot’ projects, such as Azure Space, which aims to collaborate with companies like SpaceX, and initiatives to deploy portable data centers.
Despite these cuts, Microsoft continues to express a strong commitment to its Department of Defense IVAS program, which relies on cutting-edge technology like HoloLens 2 to support military operations. A company spokesperson reassured stakeholders of ongoing support for this program, indicating the continuation of HoloLens 2 production and sales.
The restructuring in Microsoft’s workforce occurs amidst other significant developments within the company, including its recent acquisition of gaming giant Activision-Blizzard, heavy investments in artificial intelligence, and the launch of a new series of AI-powered Surface devices equipped with Qualcomm chips.
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