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Business Insider
26 days

Microsoft CEO calls job cuts in the midst of big profits the 'enigma of success' in internal memo

1. Microsoft cut 17,000 jobs while achieving significant profits. 2. Company invests $80 billion in AI amid ongoing layoffs. 3. CEO acknowledges the paradox of success and job cuts. 4. Stock is up 21% this year, reaching a record high. 5. Future mission focuses on AI empowerment for all industries.

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FAQ

Why Bullish?

Despite job cuts, MSFT's strong profit growth and AI investment indicate positive long-term health. For example, MSFT’s prior success in the cloud sector positions it favorably amid current transitions.

How important is it?

The ongoing layoffs amid significant profit growth showcase MSFT’s shift in operational strategy while maintaining investor confidence.

Why Long Term?

The significant investment in AI is likely to lead to future revenue growth, similar to past clouds strategy investments that redefined its market position.

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