Rumor: Microsoft Prepares To Slash 15,000 From Workforce

Call it a sign of the times, or call it something bigger – according to DailyTech, rumors have begun circulating that suggest Microsoft plans to cut 15,000 employees in the month of January, in a massive cost-cutting move that targets underperforming segments of their business. At present, the cuts remain the stuff of rumor, but for some Microsoft employees, it’s like finding the memo in the ‘out’ tray of the office copier.

At least Microsoft was charitable enough to wait until the first normal business week of January, after the holidays were over, to make any job cuts that may be announced as part of a potential restructuring plan. It’s suspected that any restructuring that occurs may focus on the company’s MSN (Microsoft Network) division, which manages its network of MSN-branded portal sites, such as MSN Money and MSN Autos.

Whether Microsoft is simply feeling the pinch of the current recessive American economy or something larger is to blame, many believe that Microsoft will need to be more focused on doing what it does best, instead of simply trying to own everything in sight that looks profitable. Yet, according to the DailyTech article, analysts don’t predict that Microsoft will simply ‘shut down’ divisions as part of a restructuring plan, but would prefer to sell them instead.

Microsoft is looking hard at areas where it can make money or save money. Making money is the reason that Microsoft keeps postponing the retirement of Windows XP. XP is huge in the netbook market thanks to the fact that most netbooks won’t run Vista and Linux isn’t appealing to many customers.