Microsoft getting ready to lay off 17% of staff?

Fudzilla is reporting that Microsoft is preparing to lay off 17% of its staff by 15th January.

Microsoft currently employs just over 90,000 people across the world and according to an internal source that spoke to Fudzilla, 15,000 of those are expected to be giving marching orders come January 15th. If you do the math that's almost 17 percent of Microsoft's total work force, a pretty big dent.

According to the site, Microsoft's MSN division may be hit the worst along with Microsoft EMEA (Europe, Middle East and Africa). Could this be paving the way for another Yahoo bid to fill the failing MSN outfit?

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This is a sad day for all divisions of Microsoft, long time friends of mine have been given their notice (Mostly over at MSN). I only hope that by the third quarter of this year things turn around, because if MSN is being cut now I fear that Windows Live will be hit next.

They should start in the Marketing Department where it seems an endless stream of stupid decisions have been made for over a decade now. That was the case when I worked there in the 90's and obviously is still the case. Second cut all the low to middle management that has been there for years doing nothing and soaking up the once valuable options. I was there for over five years, had over a dozen managers and only three were any good at all.

There are a lot of amazing technologists at MS but they have a very tiny voice in the cacophony of yes-men and idiots that make up so much of the organization.

microsoft has become microsoft&fat.

about freaking time they get rid of their excess fat. and believe me, they have a lot of fat that has been hiding in their organization structure for years.

After doing a lot of searching on stocks, I noticed once major companies announce they are cutting workers, their stocks immediately plummet. Microsoft was sitting higher then most major web companies, but I can surely bet come next week, they will all be heading down hill

The MSN side of Microsoft needed to be cleaned up a long time ago. Why does Microsoft still even do MSN, why not just dump it and make Live the homepage for everyone?

why do people find it surprising that MS is taking advantage of the downturn to clean out the dead wood? they're no different to any other business

Indeed, where does the current economic climate lead to moronic analysts wanting to know how "MS will contain costs"? MS have to continue shipping products and doing R&D on the next gen products. Since their profit margins on software are so astronomically high, and they have massive cash reserves, why exactly would MS cut anything right now? They are going to sell less for the next few years due to the recession/depression, but that's normal. I guess it's designed to keep the total NET profit as high as possible, even though MS fundamentals haven't changed an iota...ahem.

excalpius said,
Indeed, where does the current economic climate lead to moronic analysts wanting to know how "MS will contain costs"? MS have to continue shipping products and doing R&D on the next gen products. Since their profit margins on software are so astronomically high, and they have massive cash reserves, why exactly would MS cut anything right now? They are going to sell less for the next few years due to the recession/depression, but that's normal. I guess it's designed to keep the total NET profit as high as possible, even though MS fundamentals haven't changed an iota...ahem.

I could not have said it any better!

"Microsoft's MSN division may be hit the worst along with Microsoft EMEA (Europe, Middle East and Africa)."

MS can't afford to employ europeans at the rate the EU is suing them...LOL

As long as it's people that don't work and don't pull their weight I'm all for it. I'm glad this recession is teaching people that you can't make money by doing nothing (e.g. browsing the Internet all day at work) although I do feel sorry for people that get made redundant and are very hard workers.

From your blog:

According to rumors from different sources: “The rumor that Microsoft was set to lay off people in January 15th 2009 is no longer a rumor but a fact."
So there's a rumour that the rumour isn't a rumour? And what's with the blatant plugging of your blog?

I hate when people make smart ass remarks, even more-so when they tend to make it sound as if they are not, but many of us know when it happens, and we simply do not need people like this in our community. People are entitled to their own opinion, respect it!