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[SomeNorseGuy]

Nadella responds to job concerns and lays out the why, what, and how of Microsoft.

Satya Nadella seeks to reassure Microsoft employees in layoffs memo

Nadella finally responds to employees concerns

www.theverge.com

"I want to speak to what's been weighing heavily on me, and what I know many of you are thinking about: the recent job eliminations," says Nadella in a memo to all Microsoft employees today. "These decisions are among the most difficult we have to make. They affect people we've worked alongside, learned from, and shared countless moments with — our colleagues, teammates, and friends."

While Nadella expresses gratitude for affected employees, he doesn't guarantee there won't be more waves of layoffs in the near future, and notes that Microsoft's headcount is "relatively unchanged" despite the cuts:

"I also want to acknowledge the uncertainty and seeming incongruence of the times we're in. By every objective measure, Microsoft is thriving — our market performance, strategic positioning, and growth all point up and to the right. We're investing more in CapEx than ever before. Our overall headcount is relatively unchanged, and some of the talent and expertise in our industry and at Microsoft is being recognized and rewarded at levels never seen before. And yet, at the same time, we've undergone layoffs.

This is the enigma of success in an industry that has no franchise value. Progress isn't linear. It's dynamic, sometimes dissonant, and always demanding. But it's also a new opportunity for us to shape, lead through, and have greater impact than ever before."

After addressing the layoffs, Nadella also lays out Microsoft's mission, priorities, and culture. The mission, as you might expect, revolves very much around the potential of AI. He asks more than 200,000 Microsoft employees to "imagine if all 8 billion people could summon a researcher, an analyst, or a coding agent," and how this "could unlock entirely new levels of agility and innovation."

Nadella also outlines three key business priorities: security, quality, and AI transformation. Security was made Microsoft's number one priority last year, after a series of attacks and trust waning in Microsoft's security efforts. Now, Nadella says Microsoft is "doubling down on the fundamentals" while also focusing on AI. "Security and quality are non-negotiable. Our infrastructure and services are mission critical for the world, and without them we don't have permission to move forward," says Nadella.

Nadella now wants employees to keep the "growth mindset" culture in mind while the AI platform shift is reshaping Microsoft's products and business models. "It might feel messy at times, but transformation always is," says Nadella. "Teams are reorganizing. Scopes are expanding. New opportunities are everywhere."

 

[Sebastian1295]

So if he thinks that a.i can replace jobs and he wants microsoft employees to accept a.i and embrace it, then why dosen't he quit his job so that a.i can do it for him. It'd probably do a better job then him considering he's running the company straight into the ground and has decimated the xbox brand.

 

[roosnam1980]

 

[rm082e]

All corpo-speak bullshit. He's not talking to the employees, he's performing for the Board of Directors.

 

[clarky]

So if he thinks that a.i can replace jobs and he wants microsoft employees to accept a.i and embrace it, then why dosen't he quit his job so that a.i can do it for him. It'd probably do a better job then him considering he's running the company straight into the ground and has decimated the xbox brand.

This doesn't look like "being run into the ground"

But I don't follow MS that much so maybe I'm missing something?

 

[T-0800]

Sounds like AI wrote that nonsense he just spewed.

 

[IDKFA]

Replacing human roles with AI means more money in the bag and more growth.

I get that, but I can't see the chase for endless growth ending well. If more companies lay off their work force and replace them with AI, the world is going to have a massive unemployment problem.

When people are unemployed they tend not to splash the cash on products and services. In which case, wouldn't using AI to chase the infinite growth be detrimental in the long run? Serious question as well, because I honestly don't see how this is beneficial for any business in the long run.

 

[CuteFaceJay]

This doesn't look like "being run into the ground"

But I don't follow MS that much so maybe I'm missing something?

When so much currency gets printed it will look this good

 

[clarky]

When so much currency gets printed it will look this good

Are they still doing that over there?

 

[Sebastian1295]

This doesn't look like "being run into the ground"

But I don't follow MS that much so maybe I'm missing something?

A caveman could make a profit running microsoft because of windows. It's impossible to tank a company like microsoft into the ground nowadays even if you're one of the worst ceo's ever. I'm referring to the xbox brand specifically and nadellas insistence on a.i and the all in mentality he has with it.

 

[Sebastian1295]

 

[clarky]

A caveman could make a profit running microsoft because of windows. It's impossible to tank a company like microsoft into the ground nowadays even if you're one of the worst ceo's ever. I'm referring to the xbox brand specifically and nadellas insistence on a.i and the all in mentality he has with it.

Ah right, I took it you meaning MS as a whole. I'd blame Don and Phil for the decline of xbox personally.

 

[Sebastian1295]

Ah right, I took it you meaning MS as a whole. I'd blame Don and Phil for the decline of xbox personally.

Don and phil are some of the worst ceo's ever but satya is phil's boss so i put phil's failures on him. Phil should've been fired ages ago and the entire xbox division seems like it has no direction nor purpose anymore. Studios are just floundering with no leadership, and developers are taking too long to release anything because of mismanagement. Satya should've brought the hammer down on everyone in a leadership position like phil, matt booty, etc and cleaned house.

 

[darrylgorn]

If this speech is the best their AI can come up with, they're fucked.

 

[L*][*N*K]

"We would like to reassure our employees that their jobs are safe…..for now"

 

[clarky]

Don and phil are some of the worst ceo's ever but satya is phil's boss so i put phil's failures on him. Phil should've been fired ages ago and the entire xbox division seems like it has no direction nor purpose anymore. Studios are just floundering with no leadership, and developers are taking too long to release anything because of mismanagement. Satya should've brought the hammer down on everyone in a leadership position like phil, matt booty, etc and cleaned house.

Agreed. How they've got away with it for so long is beyond me.

 

[Felessan]

A caveman could make a profit running microsoft because of windows. It's impossible to tank a company like microsoft into the ground nowadays even if you're one of the worst ceo's ever. I'm referring to the xbox brand specifically and nadellas insistence on a.i and the all in mentality he has with it.

Because of... what?
Windows is not a profit driver for MS for a long time - you can get one (and Office) for cheap or even free.
MS actually use Windows/Office and their free availability to solidify their ecosystem. That is 99% corporate and extends far beyond win/office.

And Xbox just some small side business that only alive due to Phil begging.

 

[Thief1987]

So if he thinks that a.i can replace jobs and he wants microsoft employees to accept a.i and embrace it, then why dosen't he quit his job so that a.i can do it for him. It'd probably do a better job then him considering he's running the company straight into the ground and has decimated the xbox brand.

And AI probably has more "soul" than this suit too

 

[Wildebeest]

He is right in that the markets want them to focus on growth and at the moment computer games are not seen as an area for strong growth. Other than that we will have to see if these huge AI bets pay off but it is not a question of Microsoft but most of the US tech sector.

 

[Sebastian1295]

Because of... what?
Windows is not a profit driver for MS for a long time - you can get one (and Office) for cheap or even free.
MS actually use Windows/Office and their free availability to solidify their ecosystem. That is 99% corporate and extends far beyond win/office.

And Xbox just some small side business that only alive due to Phil begging.

Theirs a good article on visualcapitalist that breaks down how much revenue microsoft brought in from each of it's sectors last year. The top 3 sources of revenue for microsoft last year were server products and cloud services, office products and cloud services, and windows. You're right in that windows was only about 10% of the total revenue for microsoft last year which is lower then i expected.

https://www.visualcapitalist.com/how-microsoft-makes-its-billions/

 

[Salz01]

In the future AI will be able to do the job responsibilities of a CEO too….and for a fraction of the cost.

 

[crackajack]

Replacing human roles with AI means more money in the bag and more growth.

I get that, but I can't see the chase for endless growth ending well. If more companies lay off their work force and replace them with AI, the world is going to have a massive unemployment problem.

When people are unemployed they tend not to splash the cash on products and services. In which case, wouldn't using AI to chase the infinite growth be detrimental in the long run? Serious question as well, because I honestly don't see how this is beneficial for any business in the long run.

That's a problem for society and politics. No company or any boss has to think in that scale. Even though some companies have bigger budgets than small countries and too much power, in general and over politics. At one point, when unemployment gets too big and the wealth imbalance is too huge, politicians will have to make laws benefiting average joes, redistribute everything differently. Which is not even necessarily fairer, but just needs to be sustainable. Unless they want guillotine 2.0.

 

[Sebastian1295]

And AI probably has more "soul" than this suit too

He comes off as out of touch and his statement reads like he had a.i type it up. He legitimately dosen't care that any of those people lost their jobs and he's not fooling anybody.

 

[Topher]

Let me explain the layoffs.....

"And yet, at the same time, we've undergone layoffs.

This is the enigma of success in an industry that has no franchise value. Progress isn't linear. It's dynamic, sometimes dissonant, and always demanding. But it's also a new opportunity for us to shape, lead through, and have greater impact than ever before."

....and say absolutely nothing at the same time.

 

[GHG]

"imagine if all 8 billion people could summon a researcher, an analyst, or a coding agent," and how this "could unlock entirely new levels of agility and innovation."

Statements like this are so out of touch it's unbelievable.

 

[Topher]

In the future AI will be able to do the job responsibilities of a CEO too….and for a fraction of the cost.

At least AI doesn't pretend to have a soul

 

[PauloRoberto]

Microsoft was never a company that rewarded collaboration, I saw that when, 11 years ago, i worked as a contractor for then... two specific employees simply could not work together because everyone knows they would fight eah other - I'm literally talking about fist fight!

That being said, if no ones smart enough in MS would share its knowlege to another person to hold his/her ob... what about now that soneone 'can' be replaced by something?!

 

[clarky]

At least AI doesn't pretend to have a soul

Not yet..........

 

[Karim]

Nadella responds to job concerns and lays out the why, what, and how of Microsoft.

Satya Nadella seeks to reassure Microsoft employees in layoffs memo

Nadella finally responds to employees concerns

www.theverge.com

"I want to speak to what's been weighing heavily on me, and what I know many of you are thinking about: the recent job eliminations," says Nadella in a memo to all Microsoft employees today. "These decisions are among the most difficult we have to make. They affect people we've worked alongside, learned from, and shared countless moments with — our colleagues, teammates, and friends."



"I also want to acknowledge the uncertainty and seeming incongruence of the times we're in. By every objective measure, Microsoft is thriving — our market performance, strategic positioning, and growth all point up and to the right. We're investing more in CapEx than ever before. Our overall headcount is relatively unchanged, and some of the talent and expertise in our industry and at Microsoft is being recognized and rewarded at levels never seen before. And yet, at the same time, we've undergone layoffs.

This is the enigma of success in an industry that has no franchise value. Progress isn't linear. It's dynamic, sometimes dissonant, and always demanding. But it's also a new opportunity for us to shape, lead through, and have greater impact than ever before."




Nadella now wants employees to keep the "growth mindset" culture in mind while the AI platform shift is reshaping Microsoft's products and business models. "It might feel messy at times, but transformation always is," says Nadella. "Teams are reorganizing. Scopes are expanding. New opportunities are everywhere."

 

[CoreyFlawless]

Ai gonna take some jobs away that for sure. It sucks. You can see it happening now.

 

[Shifty1897]

AI is a race to the bottom, where "good enough" is the best case scenario.

 

[Hudo]

He should lead by example and let AI replace him.

 

[winjer]

 

[Instant_Classic]

Microsoft was never a company that rewarded collaboration, I saw that when, 11 years ago, i worked as a contractor for then... two specific employees simply could not work together because everyone knows they would fight eah other - I'm literally talking about fist fight!

That being said, if no ones smart enough in MS would share its knowlege to another person to hold his/her ob... what about now that soneone 'can' be replaced by something?!

Are you saying MS employees were against knowledge sharing, or...?

 

[diffusionx]

Meanwhile the Amazon CEO is simultaneously saying that people need to relocate or be fired and that AI will lead to mass layoffs. Like yea bro I'm going to relocate my family so you can lay me off in 6 months because you think a computer can do my job (it can't).

These CEOs are psychotic and the business model of the west is broken. They need to be reigned in.

 

[Miles708]

It's always fun when these corporate drones act like they have some shred of humanity still in them.

They almost look like people, if you squint enough

 

[xrnzaaas]

I'd love if one of the big companies actually went with the idea of firing their CEO and replacing them with AI, even only for show and to have some extra media presence. Seeing those fuckers actually panicking about their own job security would be hilarious.

 

[Ar¢tos]

I see MS is still carrying on with their mission to destroy the industry..
It amazing how they never create*, they only destroy.

* Forza being the exception, but they are already destroying it too.

 

[Angry_Megalodon]

Meanwhile the Amazon CEO is simultaneously saying that people need to relocate or be fired and that AI will lead to mass layoffs. Like yea bro I'm going to relocate my family so you can lay me off in 6 months because you think a computer can do my job (it can't).

These CEOs are psychotic and the business model of the west is broken. They need to be reigned in.

They are both some of the worst scum in the corporate world, the kind of character you see in dystopian fictions.

 

[drganon]

The ai bubble can't bust soon enough.

 

[Tiago Rodrigues]

A caveman could make a profit running microsoft because of windows. It's impossible to tank a company like microsoft into the ground nowadays even if you're one of the worst ceo's ever. I'm referring to the xbox brand specifically and nadellas insistence on a.i and the all in mentality he has with it.

Mentioning Xbox makes little sense. It's not even 10% of MSs numbers every quarter. Wasn't it below 5% before Activision was acquired?

The ai bubble can't bust soon enough.

Will it burst though?

 

[kruis]

In the future AI will be able to do the job responsibilities of a CEO too….and for a fraction of the cost.

Absolutely. But that will never happen, because CEOs think every single person in the company is replaceable except themselves. The 1% will happily replace the 99% with AI bots first.

 

[drganon]

Mentioning Xbox makes little sense. It's not even 10% of MSs numbers every quarter. Wasn't it below 5% before Activision was acquired?


Will it burst though?

Sure hope so. Its a worthless technology only morally bankrupt ceos like.

 

[Fess]

Maybe if they stop firing people and instead educate them in AI they wouldn't be as concerned?

Just a thought…

This bumpy transition periods corporations talk about needs to involve educating the current workforce, otherwise people will lose their job.

 

[Tajaz2426]

Woah, hold on people, we need you to train this stuff before we fire you.

 

[dragonyeuw]

The kinds of people who ascend to CEO of a mega corp are the type who can gleefully speak to layoffs while self-fellating about how successful the company is without so much as a stutter. At the rate we're going it's going to be just the CEO and shareholders left.

 

[dragonyeuw]

Absolutely. But that will never happen, because CEOs think every single person in the company is replaceable except themselves. The 1% will happily replace the 99% with AI bots first.

Exactly this. These CEOs all believe in their own brilliance and that they weren't mostly sociopathic enough to play the game all the way to the top. Those kind of people will never see themselves as replaceable.

 

[Windle Poons]

'AI is the future hence I am standing down today and letting it do my job' - Satya Nadella.

Or

'All you cunts can go - but I'm still getting millions in stocks and shares' - Satya Nadella.

 

[Fake]

What a out of touch. Holy shit.

 

[StereoVsn]

Are you saying MS employees were against knowledge sharing, or...?

MS has graded work performance of individuals and teams on a "curve" so to speak. So employees within your own team and employees on other teams aren't incentivized to collaborate and knowledge share that deeply.

After all a manager has to grade some employees as "low performing" as that's the mandate. That extends to VPs and the teams under them. And "low performing" graded employees are fired. Doesn't matter if they aren't really "low performing" but that the manager had to mark them as such.