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Amy Coleman, Microsoft’s executive vp and chief people officer, stated the layoffs were not the outcome of staff being replaced by AI, however acknowledged that AI is altering how work is completed. Amid the layoffs, Microsoft additionally closed its office in Pakistan and laid off its staff there as part of its transfer towards a software-as-a-service and AI working model. On October 7, Microsoft acquired Ally.io, a software program service that measures firms’ progress towards OKRs, planning to incorporate it into its Viva household of worker expertise merchandise. In October 2021, Microsoft announced that it began rolling out end-to-end encryption (E2EE) support for Microsoft Teams calls to find a way to secure enterprise communication whereas using video conferencing software.
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In June 2025, a United Nations report on firms complicit in the Gaza genocide showed that Microsoft was certainly one of several firms “central to Israel’s surveillance apparatus and the continued Gaza destruction.” In mid-2025, Microsoft’s Russian division, Microsoft Rus LLC, filed for bankruptcy after President Vladimir Putin stated that international services providers must be throttled in Russia to make means for home software. The outage was traced back to a flawed update of CrowdStrike’s cybersecurity software, which resulted in Microsoft methods crashing and inflicting disruptions throughout varied sectors. On July 19, a world IT outage impacted Microsoft providers, affecting companies, airways, and monetary institutions worldwide. Meanwhile, that month, the corporate introduced a subscription offering of synthetic intelligence for small companies through Copilot Pro. Nonetheless, the plan was short-lived, as Altman was subsequently reinstated as OpenAI’s CEO and Brockman rejoined the company amid pressure from OpenAI’s workers and investors on its board.
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