Microsoft will cut thousands of jobs in its sales department and other teams from July, The Wall Street Journal reported. Here's how AI is contributing to mass layoffs.

Microsoft Corp. is planning to ax thousands of jobs, particularly in sales, as part of the company’s latest move to trim its workforce amid heavy spending on artificial intelligence.

Microsoft CEO Satya Nadella announced that the recent layoffs of 6,000 employees, part of a broader restructuring, were not due to performance issues but aimed at realigning teams with the company's focus on AI.

Amazon CEO Andy Jassy told employees generative AI will change the way they work and will lead to a lower number of workers overall.

Amazon CEO Andy Jassy says advancements in AI will “reduce” the company’s corporate headcount over the next few years. In a memo to employees on Tuesday, Jassy writes that Amazon expects the change due to “efficiency gains from using AI extensively across the company,” without specifying how many employees would be affected.