Microsoft Lays Off 15,000 Globally Amid $4B AI Workforce Initiative

Microsoft is making a bold strategic shift by investing $4 billion in AI workforce development through its Elevate program, even as it executes significant layoffs affecting around 15,000 employees worldwide. President Brad Smith acknowledges the hardships these layoffs cause, emphasizing the importance of reskilling workers for an AI-driven economy and encouraging thoughtful, responsible use of AI technology. Analysts from Wedbush foresee Microsoft joining the exclusive $4 trillion market cap club soon, driven by rapid AI adoption among enterprise customers and the integration of Nvidia's GPU technology fueling Azure's AI growth, with AI deployments expected to add substantially to the company's revenue by fiscal 2026. This milestone would mark a pivotal point in the AI revolution, positioning Microsoft alongside Nvidia as foundational leaders in the tech industry's next growth phase. Despite competitive pressures from AWS and Google Cloud, Microsoft's AI-first cloud services provide a distinct advantage in large-scale scenarios. Market analysts maintain an "Outperform" rating on Microsoft, reflecting strong confidence in its AI-driven growth trajectory and valuation potential.