Why Jim Cramer is not ready to blame AI for this year’s Microsoft’s layoffs
On Wednesday, Microsoft announced its largest dismissal tour this year – aiming to increase productivity and benefit from new technologies. Jim Cramer is not ready to blame AI for business cuts. The software giant said it plans to reduce the global labor force less than 4%, which has turned into approximately 9,000 positions. In June, hundreds of work deductions and more than 6,000 business deductions in May. Roughly 1% of the labor force was eliminated in January according to performance. “How much of this is the typical interview we have?” Jim, while the news was broken “Squawk on the street” drew attention. However, he stressed that Microsoft’s dismissal and the real reasons of others are “too many people and trying to make a quarter”. Microsoft did not directly explain the latest deduction round, but a spokesman CNBC technology reporter Steve Kovach said that the technology giant “company and teams continue to implement the necessary organizational changes to position the best for success in a dynamic market”. Kovach reported that Microsoft employees would spend more time to focus on meaningful work by taking advantage of new technologies and abilities. Kovach said that thought could be an artificial intelligence or a reference to Copilot, the company’s digital AI assistant assistant. Da Davison analyst Gil Luria, Microsoft is definitely trying to control costs, he said. However, the increase in productivity from the use of AI vehicles, in a short period of time to make large business deductions, he added that the company has made a good position. “Microsoft manages its costs very carefully to balance investments with continuous margin growth. Data central capital expenditures put pressure on large investment margins and Microsoft was able to balance this pressure by enabling the staff.” “Fortunately for Microsoft, they can take advantage of new AI tools to increase productivity enough to get higher output with less employees for Microsoft.” MSFT YTD Mountain Microsoft YTD on Wednesday, Davidson, Microsoft raised its price target to $ 600 per share and implied the closing of $ 492% of Tuesday’s $ 492, which was shy of the June 26 record level. Luria and his colleagues, Microsoft’s growth track in the Azure Cloud business and the expansion of the leadership of the AI said. In particular, an extraordinary Mali 2025, which silences the critics of the AI strategy and concerns about the wear and wear relationship with Openai, was encouraged after the third quarter of 2025. Microsoft shares have been rising on April 7, the lowest level of 52 weeks on tariff voltages. Microsoft was 10% higher when President Donald Trump announced two days later when he announced a “mutual” taxes. About two weeks later, the stocks reconsidered these low levels before climbing until the end of April, May and June-on Saturday, the highest level of over $ 500. In the “Mad Money” section on Tuesday evening, Jim included Microsoft with the name of Nvidia and meta platforms in the newly announced abbreviation MNM. “Not Fang.” Not the magnificent seven. “The only survivor of a ruthless quarter from the most fascinating group on the market”. (Jim Cramer’s philanthropist trust is long Msft, Meta, Nvda. See here for the full list of stocks. Jim is waiting for 45 minutes after sending a trade warning before buying or selling a share in the portfolio of charitable confidence. If Jim talked about a stock on CNBC TV, he’s waiting for 72 hours after trading warning before trading. The above investment club information is subject to our conditions and conditions and our Privacy Policy with the waiver. There is no confidence or duty or not, as you receive any information provided in connection with the Investment Club. A specific result or profit is not guaranteed.
