Microsoft says
Microsoft is integrating AI in its operation to promote efficiency and cut costs, even it shuts up thousands of employees. The company says that the AI is helping in major saving and productivity benefits.
Listen to the story
In short
- Microsoft revealed that AI saved more than $ 500 million company in operating call center
- Employees use Github Copilot to write 35 percent code for new products
- However, the company recently announced that it would shut down 9,000 employees
Microsoft is doubling on Artificial Intelligence (AI) as the main driver of efficiency and productivity in its operation. The company is using AI Tools to streamline tasks and promote productivity in sales and customer service, automatic work to be automated and improve customer interactions. However, the AI change comes between large -scale trimming as the company kills thousands of jobs.
Microsoft’s Chief Commercial Officer, Judson Althaoff, recently told employees (through Bloomberg) that AI had saved the company over $ 500 million (about Rs 4,285 crore) in the operation of its call center alone last year. Savings, he said, came up with customers’ satisfaction and improving internal efficiency. Althoff’s comments made during a company presentation highlight how Microsoft AI is on AI, which is to change its tasks from sales and customer service to software development.
The company is allegedly using its Kopilot AI assistant to help the sales teams to generate more leads, rapidly rapidly deals, and increase revenue by 9 percent. The company revealed that AI now writes 35 percent code for new products, even speeds up the launch time. Microsoft’s Github Copilot Tool, AI-operated coding solution, have also received significant traction with more than 15 million users globally.
Microsoft is also testing AI in customer interaction, especially with small customers, where it is already generating tens of million revenue.
Human employees
However, this AI-fuel change in Microsoft is coming to a human cost. A few days before these internal claims about the increasing influence of AI, Microsoft confirmed a new round of pruning affecting around 9,000 employees. This is the third major workforce of the company in recent months and affects about 4 percent of its global employees.
In 2023, the company has the largest trimmed since 10,000 job cuts. A Microsoft spokesperson said that the cuts are part of “organizational changes” to streamline the cut teams, reduce managerial layers and increase productivity using new techniques.
In particular, Microsoft is not alone. These job cuts follow a wave of equal functions in Silicon Valley, as technical companies are moving towards automation and AI to manage costs and improve production. Companies such as salesfors, meta and alphabet have quoted all AIs as a reason to re -evaluate hiring needs and job structures. Microsoft CEO Satya Nadella herself said earlier this year that 20 to 30 percent of the code of the company is now being written by AI.
