Microsoft (MSFT) Leverages AI to Boost Efficiency Amid Workforce Changes

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7 days ago
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Microsoft (MSFT, Financial) is actively showcasing how artificial intelligence (AI) is transforming its workplace, even as it undergoes significant employee layoffs. According to insiders, Chief Commercial Officer Judson Althoff highlighted in a recent presentation that AI tools are enhancing productivity across various sectors, including sales, customer service, and software engineering.

In particular, AI has reportedly saved Microsoft over $500 million in call centers last year while improving employee and customer satisfaction. The company has also begun utilizing AI to manage interactions with smaller clients, generating tens of millions in revenue, despite being in its early stages.

Tech industry leaders are increasingly vocal about AI's potential to automate tasks currently handled by humans. Salesforce has indicated that 30% of its internal tasks are now managed by AI, allowing for a reduction in certain hiring needs. Similarly, executives from Alphabet Inc. and Meta Platforms Inc. have acknowledged that a significant portion of their code is being generated by AI.

Althoff noted that at Microsoft, AI is responsible for creating 35% of new product code, accelerating product launch timelines.

Disclosures

I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.