Microsoft's Layoff Plan Is Why I Am Ok With A Premium Over Other Hyperscalers

Microsoft Corporation offered voluntary exits to ~27% of its workforce just days before a record quarter, with revenue up 19% and Azure up 48%. OpEx grew only 6%, while CapEx grew 30%, and headcount fell ~2%, a sign AI spending is replacing payroll in Microsoft's budget. I expect other hyperscalers to follow with cuts of their own, as compute becomes the main cost of running an AI cloud.