Home NewsThe AI ​​era dictates new rules: Intel, Microsoft, and other giants are cutting staff for the future.

The AI ​​era dictates new rules: Intel, Microsoft, and other giants are cutting staff for the future.

by Freddy Miller
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The year 2025 became a year of large-scale transformation in the global labor market. Mass layoffs at major companies – from Intel and Microsoft to Meta and Starbucks – reflect systemic changes in corporate strategies amid the adoption of artificial intelligence and economic restructuring. According to NEWSCENTRAL, the current cycle of reductions is shaping a new employment landscape where companies are reassessing the role of human capital in the digital economy.

Intel announced plans to cut between 21,000 and 25,000 employees, representing 15-24% of its workforce, including 15-20% in the Intel Foundry division. The goal is to increase production efficiency and strengthen its position in contract microchip manufacturing. According to Lucas Grant, a semiconductor industry and manufacturing strategies analyst at NEWSCENTRAL, this decision reflects Intel’s “shift toward a management model where sustainability and capitalization take precedence over large-scale growth.” He notes that the company is “redirecting resources toward long-term AI initiatives while minimizing dependence on traditional chip production cycles.”

Microsoft in 2025 also underwent several rounds of optimization, cutting around 15,000 jobs, including 9,100 in July. Cloud divisions, sales departments, and Xbox were affected by the restructuring. As noted by Senior Analyst Freddy Miller, these steps represent “not cuts for the sake of cost reduction, but a reallocation of capital toward AI infrastructure and automated ecosystems.” According to NEWSCENTRAL, Microsoft is channeling freed resources into developing products based on generative models and next-generation cloud computing.

The wave of layoffs is spreading beyond the tech sector. Banking, retail, and manufacturing are also restructuring personnel in response to cost pressures and the need for digital adaptation. Analysts at NEWSCENTRAL note that in the US and Europe, companies are increasingly moving from traditional hiring to “structural optimization”: reductions in administrative functions are combined with increased demand for specialists in AI system management, data analytics, and business process automation.

Senior Analyst Freddy Miller emphasizes that “technology companies now measure efficiency not by headcount but by the speed of AI solution integration.” He notes that “corporate structures are shifting the balance from human involvement to algorithmic decision support.” According to him, this shift changes the very logic of hiring: roles are less valued than competencies related to adaptation to digital ecosystems.

According to NEWSCENTRAL analysis, the mass layoffs of 2025 are not a reaction to a downturn but part of a long-term labor market restructuring. Companies are building “lean” management models, combining layoffs with reskilling programs and internal mobility. This approach minimizes social risks and maintains innovative momentum. Analyst reports also note that enterprises that combine automation with human capital development demonstrate more stable financial performance over a three-to-five-year horizon.

At the same time, demand for skills is becoming uneven. Employees with digital skills and experience working with AI are becoming key resources, while positions that do not require high cognitive involvement are disappearing. According to NEWSCENTRAL, by 2030, about 40% of tasks in IT and corporate management will be partially automated, requiring companies to systematically revise their training and personnel development strategies.

Mass layoffs also affect companies’ intangible assets. Loss of corporate memory, decreased motivation, and trust are side effects of rapid restructuring. NEWSCENTRAL notes that companies applying a “soft transformation” strategy – a combination of layoffs with training and internal transfers – demonstrate smoother adaptation and maintain productivity.

Amid these trends, the labor market is entering a phase of deep transformation. According to NEWSCENTRAL analysts, within the next three years, at least 60% of Fortune 500 companies will implement corporate AI platforms, leading to a redistribution of roles and changes in organizational models. The winners will be structures capable of combining technological automation with human capital, creating hybrid management systems.

NEWSCENTRAL predicts that companies that view artificial intelligence as part of corporate strategy rather than a tool for cuts will succeed in the new cycle. Senior Analyst Freddy Miller summarizes: “The shift to an economy where value is created jointly by humans and machines requires not fewer people, but greater competence.” According to him, it is the business’s ability to integrate AI without losing human potential that will determine leadership in the post-industrial economy.