“We continue to implement organizational changes necessary to best position the company and teams for success in a dynamic marketplace.”

Microsoft rang in fiscal year 2026 by cutting 9,000 people, bringing the 2025 total past 16,000 jobs eliminated. Nadella bragged that 30% of their code is now AI-written, then the company turned around and denied the layoffs have anything to do with replacing workers with AI. Software engineers got hit especially hard. The corporate speak about “positioning for a dynamic marketplace” translates pretty cleanly to “we think we can squeeze more out of fewer humans now.”