Microsoft is poised to carry out its biggest round of layoffs in years, aiming to eliminate roughly 9,000 positions, which represents about 4 percent of its total workforce. This was confirmed on Wednesday, according to The Seattle Times. The exact specifics of the layoffs remain hazy, but The Verge highlighted that workers in Microsoft’s gaming sector, including those involved with Xbox, are notably impacted.

Layoffs have increasingly become a trend at Microsoft lately. This comes on the heels of a reduction of about 6,000 jobs less than two months prior. Nonetheless, this latest wave is the most substantial since 2023, when the firm slashed 10,000 positions.

In spite of the job reductions, Microsoft continues to make significant investments in AI, although these investments have not yet produced considerable returns. The company indicated that the layoffs are aimed at better positioning itself for future achievements.

“We are continuously implementing organizational modifications needed to optimally position the company and teams for triumph in a changing marketplace,” a Microsoft representative shared with CNBC.