Technology giant Microsoft has announced a major round of layoffs, but the Xbox and HoloLens teams do not appear to be affected. Following aNew York Times report this morning, Microsoft issued a press release that confirmed it will cut up to 7,800 jobs, mostly in its phone hardware business.
The job cuts, which total around 6 percent of the company's workforce, are part of a wider restructuring effort of the company's phone business "to better focus and align resources." The layoffs will take place over the next several months.
"As a result, the company will record an impairment charge of approximately $7.6 billion related to assets associated with the acquisition of the Nokia Devices and Services (NDS) business in addition to a restructuring charge of approximately $750 million to $850 million," Microsoft explained.
“We are moving from a strategy to grow a standalone phone business to a strategy to grow and create a vibrant Windows ecosystem including our first-party device family," Nadella said. “In the near-term, we'll run a more effective and focused phone portfolio while retaining capability for long-term reinvention in mobility."