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Microsoft hits Alt-F4 on 3000 global sales staff
07 July 2017, 12:46 | Shelley Chandler
Image Credit Stephen Brashear Getty Images Microsoft
The cuts could result in as many as 3,000 employees losing their jobs, with the restructuring largely being focused on Microsoft's sales group, according to CNBC. The major job cut will amount to less than ten percent of the company's total sales force with 75 percent of them being outside of the United States.
The firm said its "intelligent cloud" products generated $1.7bn (£1.3bn) in revenue for the nine months to the end of March, driven by doubling revenue from its cloud computing platform Azure.
Microsoft's shares are down 0.7% at $68.63 today.
"Microsoft is implementing changes to better serve our customers and partners", Microsoft told CNBC.
The company sent a memo to employees this week detailing how its sales organization would be restructured, according to GeekWire, who obtained a copy of the memo. At the time he stated his intention of turning Microsoft into a cloud services company, and has made good on that promise with the company now issuing updates on a near-weekly basis.
Sales and marketing jobs in the future will often require more technical and industry-specific knowledge than before, Mr. Shaw said. This move has perhaps been taken keeping in mind the growth of their cloud computing business.
Fortt said that the 3,000 number was just one of many "thousands numbers" that are floating around speculatively and so not out of keeping with expectations. MicrosoftAzure is a growing collection of could services that allow developers and IT professionals build, deploy and manage applications.
Microsoft completed its $26 billion acquisition of the professional social network LinkedIn late past year as part of its new strategy.
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