
Microsoft Corp. (NASDAQ:MSFT) cut 9,000 jobs in its second 2025 layoff round while Meta Platforms Inc. (NASDAQ:META) and OpenAI ignite a talent war with compensation packages reaching $20 million annually, creating stark contrasts in Silicon Valley’s artificial intelligence landscape.
What Happened: The layoffs affect less than 4% of Microsoft’s workforce across diverse teams and regions as the company maintains cost controls while investing $80 billion in AI data centers this fiscal year. Microsoft’s gaming division, including Candy Crush parent King, eliminated 200 positions, marking the company’s continued workforce reduction following 6,000 cuts in May.