Microsoft leadership publicly refuted reports suggesting the company is considering job cuts of 11,000 to 22,000 positions across Azure Cloud, Xbox and global sales. In a memo circulated internally and excerpts shared with press outlets, CFO Amy Hood emphasized that headcount planning remains aligned with the company’s strategic priorities in cloud infrastructure and AI development. She noted that Microsoft’s global employee count stood at approximately 220,000 at the end of 2025, representing a year-over-year increase of 8%. Hood attributed recent investor concerns to industry-wide cost-management discussions but reaffirmed that no formal proposal for mass layoffs has been presented to the board. Satya Nadella, in a follow-up interview, underscored continued hiring in key engineering and data center operations roles to meet projected Azure capacity growth of 45% in fiscal 2026.

In November 2025, Microsoft finalized a long-term partnership with Constellation Energy to restart and co-manage the Crane Clean Energy Center in Pennsylvania. Under the five-year agreement, Microsoft will source up to 835 megawatts of carbon-free nuclear power—enough to support data center operations projected to deliver 30% annual growth in AI compute capacity through 2028. This initiative aligns with the Department of Energy’s goal to triple U.S. nuclear output by 2050 and reduces the company’s reported scope 2 emissions by an estimated 2.4 million metric tons annually. Financially, Microsoft committed to a ten-year power purchase agreement valued at $4.2 billion in aggregate, with fixed pricing that is expected to save the company roughly 12% versus spot market rates over the contract term. Azure’s enterprise customers will benefit from both increased reliability—Constellation’s plant operates at an average annual availability of 93%—and guaranteed access to high-performance compute with a stable, low-carbon energy supply.