Software engineers bear brunt of Microsoft layoffs in age of AI

Microsoft's recently announced job cuts fell hardest on those who build the company's products, showing that even software developers are at risk in the age of artificial intelligence.

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NEW YORK -

In Washington, Microsoft's home state, software engineering was by far the largest single job category to receive layoff notices, making up more than 40 per cent of the roughly 2,000 positions cut, according to state documents reviewed by Bloomberg.

Microsoft on May 13 said it would cut about 6,000 workers across the company. The Washington state data represents about a third of the total.

As Microsoft and its rivals make steep investments in AI, they are scrutinising costs and reprioritising budgets. In recent weeks, Microsoft executives have pledged to keep a lid on spending amid huge investments in data centre construction.