Microsoft has trimmed its º£½ÇÊÓƵ workforce by over 200 positions despite a turnover leap to nearly £10bn, recent disclosures have unveiled.
The American tech behemoth saw its employee numbers dwindle from 5,540 to 5,337 in the year ending 30 June, 2024, according to the latest filings at Companies House, as reported by .
This headcount reduction follows a period of growth where Microsoft's staff numbers rose from 4,955 in the preceding year.
Furthermore, the financial statements reveal that the company's turnover soared from £8.38bn to £9.62bn within the same timeframe, with pre-tax profits also climbing from £652m to £756.4m.
Despite this significant uptick in sales and profit, Microsoft opted not to declare a dividend for the year, contrasting with the previous year's £150m payout.
While Microsoft's product-related turnover dipped from £1.67bn to £1.51bn, its revenue from services and other segments surged from £6.70bn to £8.11bn.
Microsoft to open 'hyperscale' data centre
These revelations follow on the heels of Microsoft's $13bn (£11bn) collaboration with OpenAI getting the green light from the º£½ÇÊÓƵ's Competition and Markets Authority (CMA) just last month.
The antitrust body concluded that Microsoft's investment did not trigger the criteria for an extensive merger probe, despite some trepidation regarding the tech titan's sway over the AI startup.
The CMA recognised that Microsoft had secured "material influence" over OpenAI via its initial 2019 stake.
Nevertheless, it judged that Microsoft had stopped short of acquiring "de facto control," implying it wasn't effectively in charge or steering the startup's strategic choices.
Last month, Microsoft warned of a widening gap between º£½ÇÊÓƵ leaders who utilise AI and those who don't, suggesting that this could jeopardise the country's economic potential and public service efficiency.
According to a report from Microsoft, organisations with clear AI strategies are significantly outperforming those without, underlining the pressing need for wider adoption of AI-driven technologies.
The tech behemoth cautioned that only half of º£½ÇÊÓƵ organisations have crafted AI strategies and acquired the necessary skills for implementation.
Conversely, the other half is stuck in a rut, lacking formal AI plans and struggling to turn AI aspirations into reality.
In June last year, Microsoft announced it was closer to constructing a 'hyperscale' data centre near Leeds after purchasing a 48-acre site from British property developer Harworth Group.
The company acquired the land, formerly the site of the Skelton Grange power station, for £106m.
