Microsoft is cutting roughly 3% of its global workforce as the company shifts more resources toward the race to develop advanced artificial intelligence, the company confirmed on Tuesday.

Microsoft CEO Satya Nadella said in the case of a recession, the company would focus on both helping its customers and buttressing its stock price. Amid an uncertain economic outlook in the fallout of Trump’s so-called “Liberation Day” tariffs, Microsoft posted a strong quarter and all three of its businesses exceeded expectations.

When Satya Nadella became Microsoft’s third-ever CEO in 2014, his predecessor Steve Ballmer gave him some helpful advice.

The amount of code being written by AI at Microsoft is increasing steadily, the chief executive said during a conversation with Meta’s Mark Zuckerberg.

On the company’s earnings call with analysts, Microsoft CEO Satya Nadella was asked about navigating a potential recession.

At Meta’s LlamaCon conference, Satya Nadella shared whether AI is better at writing Python or C++ and asked Mark Zuckerberg how much Meta code is written by artificial intelligence.

Microsoft, based in Redmond, Washington, said the layoffs will be across all levels and geographies but the cuts will focus on reducing the number of managers.

Microsoft, which is cutting 3% of its headcount, had 228,000 employees as of last June. The maker of Windows and Word is aiming to reduce management layers. Microsoft on Tuesday said that it's laying off 3% of employees across all levels, teams and geographies, affecting about 6,000 people.

Microsoft CEO Satya Nadella speaks at OpenAI DevDay on Nov. 6, 2023 as Sam Altman looks on. (GeekWire File Photo / Todd Bishop) The news: OpenAI and