Microsoft plans to lay off 3% of its workforce, reportedly targeting management cuts as it changes to fit a "dynamic marketplace"

Microsoft is cutting 3% of its workforce, resulting in thousands of employees being laid off, per a report from CNBC on Tuesday.

“We continue to implement organizational changes necessary to best position the company for success in a dynamic marketplace,” a Microsoft spokesperson said in a statement to CNBC.

This comes as Microsoft reported strong financial results for FY25 Q3, with $70.1 billion in revenue (up 13% year-over-year) and a net income of $25.8 billion (up 16% year-over-year).

It's not clear at this moment if certain divisions have been hit harder than others, though CNBC reports that this round of cuts is not related to performance, and instead targets reduced layers of management.

Other companies have seen massive cuts in recent weeks as well, with Intel reportedly laying off over 20,000 employees, which comes out to a gargantuan 20% cut to its total workforce.

This story is developing...