Techrights
Microsoft Buys Large Companies, Saddles Them With Microsoft's Debt, Dismantles Them
Posted by Roy Schestowitz on Oct 21, 2023
There are allegedly more LinkedIn layoffs coming soon
THIS past summer we wrote about why Microsoft wanted to "own" Activision (maybe even needed it). As an associate of ours explains, "is the Activision deal merely a means of loading debt onto the acquired company?"
Many of Microsoft's units are failing. They are not profitable. Microsoft is thus faking it. Some units are quietly dismantled.
So what's the future of Microsoft? More buzzwords and excuses/spin [1]? Buying more large companies, which cannot even make a profit?
Microsoft is lying off loads of people in Ireland [2] again and the office in San Francisco is being phased out, partly at least, so Microsoft's "mouth and ears" in the region, Aeva/Aurora, has little prospects of finding employment.
An associate recalling what happened a month ago said the the Schumer AI committee is still stacked with > 90% Microsofters in place of knowledgeable people from the actual industry and noted that "the articles about Microsoft laying off people specifically say reduced revenue. It is the n-degrees of separation articles which spin that as being due to AI investments rather than just failing economically." (see "LinkedIn Laying Off 700 as Microsoft Pivots to AI" [3] below)
Taking inflation rates into account, this "reduced revenue" is a lot worse than it sounds. █
Related/contextual items from the news:
- 1
LinkedIn layoffs: Read the full email that the company sent to employees on job cuts
Microsoft-owned company LinkedIn is laying off 668 employees..
- 2
Irish staff to be impacted in latest round of LinkedIn job cuts
LinkedIn’s Irish workforce will be impacted by the company’s plan to cut nearly 700 roles in a global round of layoffs, the Business Post can confirm.
- 3
LinkedIn Laying Off 700 as Microsoft Pivots to AI
LinkedIn didn't explain in detail why so many people were let go, but it's hard to ignore its parent company's hard pivot into AI that's seen it pour billions into the startup OpenAI and remake some of its most iconic products, including Bing, around chatbot language models.