By Gudstory Org AI News (May 30, 2025)
In May 2025, Microsoft lays off approximately 6,000 employees—around 3% of its global workforce—as part of a broader organizational restructuring. The decision comes despite the company’s strong financial standing, including a recent quarterly net income of $25.8 billion. Microsoft cites a sharpened focus on artificial intelligence (AI) and cloud computing as the primary driver behind the layoffs. The move includes high-profile departures, such as Gabriela de Queiroz, Director of AI, and Ron Buckton, a veteran TypeScript engineer. This development signals a decisive shift in Microsoft’s strategic priorities and raises important questions about its internal direction and ethical commitments.
High-Profile Departures Signal Strategic Shifts
Gabriela de Queiroz: A Top AI Expert Lost Her Job
One of the most surprising changes is the layoff of Gabriela de Queiroz, who spearheaded AI initiatives within Microsoft for Startups. Known for her leadership in data science and machine learning, de Queiroz shared a reflective message following her departure:
“Even if you work really hard, you can still lose your job in a company restructure.”
Her exit highlights the unpredictable nature of corporate transformations, even for high-performing leaders in cutting-edge fields.
Ron Buckton: A TypeScript Stalwart Bids Farewell
Another significant departure is Ron Buckton, a key contributor to TypeScript with nearly two decades at Microsoft. Buckton played a big part in creating tools for developers, and his layoff makes people wonder what Microsoft will do next with its programming languages and how it will support developers.
Financial Performance and Workforce Reductions
Despite robust earnings, Microsoft lays off thousands in a bid to streamline operations and enhance agility. With a net income of $25.8 billion for the quarter, the decision appears counterintuitive at first glance. However, Microsoft emphasized that these cuts are part of a long-term strategy to realign resources toward growth areas—specifically, AI and cloud infrastructure.
Global Reach, Selective Impact
While the layoffs span multiple continents and departments, Microsoft’s Indian operations remain unaffected. On the contrary, the company has committed a $3 billion investment in AI and cloud infrastructure across India, reflecting the region’s critical role in Microsoft’s global roadmap. This shows that India has a fast-growing number of skilled workers and that its tech industry is very important.
Ethical AI Under the Microscope
The layoffs also impacted internal ethics teams, with Microsoft disbanding its ‘Ethics and Society’ group—once pivotal in ensuring responsible AI development. Although the Office of Responsible AI continues to operate, critics argue that removing a dedicated team weakens the company’s ethical oversight during a time when AI technologies are accelerating rapidly.
Conclusion
Microsoft lays off thousands in a move that illustrates its relentless pivot toward AI and cloud computing. While the company positions itself for future innovation, the decision carries immediate consequences for employees and long-term implications for its ethical frameworks. As Microsoft charts this new course, the tech industry and the public alike will watch closely to see how it balances innovation with responsibility and employee welfare.