Microsoft’s AI-Driven Restructuring Fuels Stock Rally Amid Workforce Reduction
Microsoft shares climbed 1.58% to $498.84 as the tech giant implements a dual strategy of workforce optimization and aggressive AI integration. The company will eliminate 9,000 positions while mandating employee performance metrics tied to adoption of GitHub Copilot and other AI tools.
Q3 FY2025 results reveal robust financials with $70.1B revenue and $26B net income. Microsoft projects 14% YoY growth for the June quarter, powered by Azure cloud services and enterprise software sales. This strategic pivot underscores the company's bet on AI as the next competitive frontier in enterprise technology.