Microsoft to axe thousands of jobs amid focus on cloud computing

US tech giant Microsoft is set to cut thousands of jobs from its global workforce as it aims to keep up with competitors in the cloud computing sector.

The company said in a statement that it had notified some employees that their positions would be eliminated, with most of the layoffs expected to come outside of the US.

Microsoft currently employs 121,000 people globally, with about 3,000 of those in the UK.

Cloud services has become an increasingly lucrative area for tech companies, with Amazon in particular capitalising to become one of the key players in the sector. Now Microsoft is aiming to better the Seattle firm’s exploits.

"Microsoft is implementing changes to better serve our customers and partners," it said in a statement.

"Like all companies, we evaluate our business on a regular basis. This can result in increased investment in some places and, from time-to-time, re-deployment in others."

The cuts are expected to have a significant effect on Microsoft’s sales team, as it shifts the focus to selling the cloud services.

Cloud computing involves the storage of data on huge databases where it can be accessed from anywhere.