Microsoft will lay off thousands of employees across the globe as part of its plan to change the company’s sales organization. According to TechCrunch, Microsoft will merge parts of its enterprise customer business with its small-and-medium-enterprise business unit.
According to a comment Microsoft made to GeekWire, “Microsoft is implementing changes to better serve our customers and partners.”
The goal is to focus more on the growing cloud computing business side of things, including Microsoft’s rapidly expanding Azure business. As of the fiscal quarter that ended in March, Azure’s run rate reached $15.2 billion. In the same time period, its intelligent cloud group roped in $6.8 billion.
This is significant revenue for Microsoft, and there is no question on why it would choose to focus more of its attention on this aspect its business. However, it is undisclosed as to whether the layoffs in other departments will be followed by openings for cloud-related positions.
As of March 31, Microsoft employed 121,567 worldwide.