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HomeTechnology › Microsoft is laying off 1,600 employees in its Xbox division amid controversy over the impact of artificial intelligence
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Microsoft is laying off 1,600 employees in its Xbox division amid controversy over the impact of artificial intelligence

Microsoft is preparing to lay off about 1,600 employees from the Xbox division, stressing that the decision does not mean replacing employees with artificial intelligence, while the controversy is escalating about the connection between the increasing waves of layoffs in the technology sector and artificial intelligence investments.

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By · Technology
9 July 2026 · 23:54 · 1 min read · 97 views Follow
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1Microsoft is preparing to lay off about 1,600 employees from the Xbox division, stressing that the decision does not mean replacing employees with artificial intelligence, while the controversy is escalating about the connection between the increasing waves of layoffs in the technology sector and artificial intelligence investments.
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Microsoft is laying off 1,600 employees in its Xbox division amid controversy over the impact of artificial intelligence
Microsoft is laying off 1,600 employees in its Xbox division amid controversy over the impact of artificial intelligence · نيو ترك بوست

According to internal memos, Microsoft is preparing to lay off about 1,600 employees from the Xbox division.

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The company stressed that the decision does not mean that “artificial intelligence is replacing employees,” despite the escalation of controversy with the technology sector’s increasing investments in artificial intelligence and its connection to waves of layoffs.

Microsoft’s human resources director, Amy Coleman, said in a memo addressed to employees that the use of technology, customer expectations, and business models are changing rapidly.

She stressed. Coleman emphasized that the roles that were eliminated were not directly replaced by artificial intelligence, but she acknowledged that artificial intelligence has changed the way work is performed, and has automated some daily tasks, which requires employees to acquire new skills.

How this story was produced

This story was produced with machine-translation assistance, then went through human editorial review for accuracy and sourcing.

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