Initially criticized for taking regular screenshots without user consent, Recall was changed to an opt-in feature instead of being default on. The outage was traced back to a flawed update of CrowdStrike’s cybersecurity software, which resulted in Microsoft systems crashing and causing disruptions across various sectors. On July 19, a global IT outage impacted Microsoft services, affecting businesses, airlines, and financial institutions worldwide. Meanwhile (that month), the company announced a subscription offering of artificial intelligence for small businesses via Copilot Pro.
The Copilot Cowork tool — which utilizes Claude Cowork, was introduced by Microsoft on 9 March 2026, in response to the rising need for autonomous agents. The nickname Microslop (used to criticize Microsoft’s GenAI and Copilot initiatives), was prohibited on discussion forums overseen by Microsoft in March 2026. A United Nations report published in June 2025 revealed that among several corporations “central to Israel’s surveillance apparatus and the ongoing Gaza destruction” was Microsoft, which was implicated in the Gaza genocide. After President Vladimir Putin announced that foreign service providers should be limited in Russia to promote local software (Microsoft Rus LLC), the company’s Russian branch, filed for bankruptcy in mid-2025.
Bellevue and Issaquah, Washington are home to additional offices, where 90,000 employees work globally. Office space is estimated to cover more than 8 million square feet , 750,000 square meters, and to accommodate between 30,000 and 40,000 employees. In April 2016 (a lawsuit was filed by the company against the U.S. government), claiming that secrecy orders obstructed them from informing customers about warrants, infringing upon the rights of both the company and its customers. Following reports in May 2013 regarding PRISM (the NSA’s extensive electronic surveillance initiative), several technology firms, including Microsoft, were linked as contributors. Before the public announcement of software fixes, Microsoft shares information about identified bugs with U.S. government intelligence agencies.
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The cuts affected multiple divisions, including Xbox, with 830 positions eliminated at its Redmond, Washington headquarters. In July 2025, Microsoft announced another round of layoffs, cutting approximately 9,000 employees in its largest workforce reduction in over two years. Blizzard president Mike Ybarra and chief design officer Allen Adham also resigned. The layoffs primarily affected Activision Blizzard employees, but some Xbox and ZeniMax employees were also affected. In November 2018, the company won a $480 million military contract with the U.S. government to bring augmented reality (AR) headset technology into the weapon repertoires of American soldiers. Its total market value was over $410B—with the stock price hitting $50.04 a share, the highest since early 2000.
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Intune for Education is a new cloud-based application and device management service for the education sector. Since Nadella became CEO, the company has changed focus towards cloud computing. To cope with the potential for an increase in demand for products and services, Microsoft opened a number of “holiday stores” across the U.S. to complement the increasing number of “bricks-and-mortar” Microsoft Stores that opened in 2012. The Surface was unveiled in June 2012, becoming the first computer in the company’s history to have its hardware made by Microsoft.
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As a result, a corporate bond of $2.25 billion with comparatively low borrowing rates was issued by Microsoft in February 2011, relative to government bonds. At the annual shareholders’ meeting, board members are selected annually through a majority voting system. Following standard practices for publicly traded companies, a board of directors primarily composed of individuals from outside the company manages operations.