There’s a rumor out there that MSFT is looking at shedding some headcount, too.  From Fudzilla (via ArsTechnica and via SAI):

Currently Microsoft employs about 90,000 people across the world and from what we’re hearing, some 15,000 of those are expected to be giving marching orders come January 15th. That’s almost 17 percent of Microsoft’s total work force, not exactly a small number.

I would agree with MSFT using this downturn as an opportunity to lay off, say, 1,500 people, for example, but 15,000?

MSFT is already burdened with the image of a mature stock, whose shareholders have endured a “lost decade”.

So while I am all for increased efficiency, layoffs of this magnitude would make MSFT fall in the “stock in decline” category, which will basically ensure a second decade of doom.

In today’s climate, flat is the new growth.  I doubt if even 2000’s darlings Google or Apple are growth stocks.

So far, we haven’t managed to confirm what departments or regions will be hit the worst, but we’re hearing that MSN might be carrying the brunt of the layoffs. We’re also hearing rumors about the possibility of somewhat larger staff cuts at Microsoft EMEA (Europe, Middle East and Africa).

But by cutting in growth areas, MSFT is either throwing in the towel or contenting itself to move from the monopoly category to the utility category.

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