Technology

Global disruptions to Microsoft services

Many Microsoft services are currently not working. The group speaks of a disruption in the network infrastructure.

Microsoft is reporting disruptions to its online services worldwide. “We are investigating issues affecting multiple Microsoft 365 services,” the company wrote on Twitter.

According to a company service page, the following programs are affected: Microsoft Teams, Exchange Online, Outlook, SharePoint Online, OneDrive for Business and Microsoft Graph.

Microsoft announced that they want to get to the bottom of the cause. They have identified a network problem and want to “determine the next troubleshooting steps”.

Not only do the group’s in-house offerings rely on Microsoft’s cloud services such as Azure, but many start-ups and large companies also use the programs for everyday work. Teams chat and video conferencing software is used by around 280 million people worldwide.

Bad economic conditions at Microsoft

The cloud division was one of the few bright spots in Microsoft’s balance sheet for the past quarter. It grew by 31 percent, while sales increased by two percent, which is too little for years.

However, the company’s current-quarter cloud revenue guidance of $21.7 billion to $22 billion fell short of the median market expectation of $22.14 billion.

10,000 employees have to go

Last week Microsoft announced significant job cuts. The company plans to lay off about 10,000 employees by the end of March. That is less than five percent of the employees, emphasized the US group.

Microsoft cited “macroeconomic conditions and changing customer priorities” as the reason. In an email to his employees, CEO Satya Nadella wrote: “During the pandemic, our customers have reduced their digital purchases. Now we see that they are optimizing their digital spend to do more with less”.

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