Microsoft Freezes Hiring in Key Divisions Amid Rising AI Investments

• Microsoft has instructed managers in its cloud unit and North American sales groups to suspend new hiring.
• The hiring freeze aims to control costs and improve margins as the fiscal year ends in June.
• Certain divisions, including teams working on the Copilot AI tool, are still recruiting.
• The move reflects broader industry trends of tech companies reining in expenses and focusing on AI.
• Microsoft faces pressure to show returns on AI investments after slower cloud growth and record AI capital expenditure.