Multiple outlets report that Microsoft is preparing another round of layoffs affecting less than 2.5% of its workforce, citing a Business Insider report and unnamed sources. The job cuts are described as potentially affecting thousands of roles across the company, rather than a single business unit. Coverage says the reductions could be announced as early as next week. The reported areas of impact include sales and consulting functions, as well as positions related to Microsoft’s Xbox gaming division. Some reports frame the decision within broader corporate moves seen across the technology sector, including efforts to control costs while continuing investments, including in artificial intelligence infrastructure and related technology development. One outlet also notes that Microsoft previously conducted layoffs in July 2025, when it cut around 4% of its workforce.

Microsoft has not issued an official statement in the articles provided, and the details rely on reporting from sources. The reports consistently characterize the planned cuts as under 2.5% of employees, with the exact number and timing still subject to confirmation.