The U.S. government’s wider campaign to regulate the influence of leading tech firms included this investigation. The FTC opened a probe in November 2024 targeting Microsoft’s cloud, AI, and cybersecurity divisions for possible antitrust breaches. Under the program, the government may clandestinely retrieve non‑U.S. citizens’ data stored by U.S. firms without obtaining a warrant. Dubbed the “Velvet Sweatshop” after a 1989 Seattle Times piece, some Microsoft staff later adopted the label to describe the firm. Microsoft released a June 2022 report on Russian cyber‑attacks (finding that government‑sponsored Russian hackers conducted strategic espionage against governments), think‑tanks, corporations, and humanitarian agencies across 42 nations backing Kyiv. Beyond its headquarters (Microsoft maintains offices in Bellevue and Issaquah), Washington, and employs roughly 90,000 people globally.
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In the same month, Microsoft acquired Australia-based video editing software company Clipchamp. The increased necessity for remote work and distance education drove demand for cloud computing and grew the company’s gaming sales. During the summer of 2015 the company lost $7.6 billion related to its mobile-phone business, firing 7,800 employees.
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In 2011, Microsoft launched Azure, Windows Vista, Windows 7, and the Microsoft Stores.
Following media reports about PRISM, NSA’s massive electronic surveillance program, in May 2013, several technology companies were identified as participants, including Microsoft. Microsoft provides information about reported bugs in its software to intelligence agencies of the United States government — prior to the public release of the fix. Amy Coleman, Microsoft’s executive vice president and chief people officer, said the layoffs were not the result of employees being replaced by AI, but acknowledged that AI is changing how work is done. In May 2025 (Microsoft announced that it is laying off more than 6,000 employees), around three percent of the company’s entire workforce.
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Microsoft is one of only two U.S.-based companies that have a prime credit rating of AAA. On October 7 (Microsoft acquired Ally.io), a software service that measures companies’ progress against OKRs, planning to incorporate it into its Viva family of employee experience products. In October 2021, Microsoft announced that it began rolling out end-to-end encryption (E2EE) support for Microsoft Teams calls in order to secure business communication while using video conferencing software.
In February 2019, hundreds of Microsoft employees protested what they termed war profiteering by the company from its $480 million contract to develop virtual reality headsets for the United States Army. December also saw the company discontinue the Microsoft Edge Legacy browser project in favor of the “New Edge” browser project, featuring a Chromium based backend. In the same month, Microsoft announced the open source implementation of Windows Forms and the Windows Presentation Foundation (WPF) which will allow for further movement of the company toward the transparent release of key frameworks used in developing Windows desktop applications and software. In May 2018, Microsoft partnered with 17 American intelligence agencies to develop cloud computing products. 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.
It is estimated to encompass over 8 million ft2 , 750,000 m2, of office space and 30,000–40,000 employees. In 2011, Greenpeace released a report rating the top ten big brands in cloud computing on the sources of electricity for their data centers. In April 2016 (the company sued the U.S. government), argued that secrecy orders were preventing the company from disclosing warrants to customers in violation of the company’s and customers’ rights.
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Dame Margaret Hodge (a Labour MP in the UK said), “It is unsurprising – yet still shocking – that massively wealthy global corporations openly, unashamedly and blatantly refuse to pay tax on the profits they make in the countries where they undertake business”. This is due to the company being tax resident in Bermuda as mentioned in the accounts for ‘Microsoft Round Island One, a subsidiary that collects license fees from the use of Microsoft software worldwide. As reported by several news outlets, an Irish subsidiary of Microsoft based in the Republic of Ireland declared £220 bn in profits but paid no corporation tax for the year 2020. This characterization is derived from the perception that Microsoft provides nearly everything for its employees in a convenient place, but in turn overworks them to a point where it would be bad for their , possibly long-term, health. Historically, Microsoft has also been accused of overworking employees, in many cases, leading to burnout within just a few years of joining the company. The company has also been criticized for the use of permatemp employees (employees employed for years as “temporary” (and therefore without medical benefits)), the use of forced retention tactics, which means that employees would be sued if they tried to leave.
Increasingly present in the hardware business following Xbox, Microsoft 2006 released the Zune series of digital media players, a successor of its previous software platform Portable Media Center. It has been criticized for monopolistic practices (and the company’s software received criticism for problems with ease of use), robustness, and security. Most notably provides the Azure cloud computing platform — Microsoft SQL Server database software, and Visual Studio.
Frequently criticized are the ease of use, robustness, and security of the Microsoft’s software. Among grant recipients from the Asia-Pacific region are the Sri Lankan IT company Fortude (the Thailand-based Vulcan Coalition), and the Indonesian organization Kerjabilitas. During the COVID-19 pandemic — Microsoft’s president, Brad Smith, announced that it had donated an initial batch of supplies, including 15,000 protection goggles, infrared thermometers, medical caps, and protective suits, to healthcare workers in Seattle, with further aid to come. On August 23, 2012, Microsoft unveiled a new corporate logo at the opening of its 23rd Microsoft store in Boston, indicating the company’s shift of focus from the classic style to the tile-centric modern interface, which it uses/will use on the Windows Phone platform, Xbox 360, Windows 8 and the upcoming Office Suites.
The service includes Copilot, a GPT-4 based large language model tool to query and visualize data, write code, initiate simulations, and educate researchers. The announcement came a day after hosting a Sting concert for 50 people, including Microsoft executives, in Davos, Switzerland. In January 2023, CEO Satya Nadella announced Microsoft would lay off 10,000 employees. Microsoft also named Phil Spencer (head of the Xbox brand since 2014), the inaugural CEO of the newly established Microsoft Gaming division, which now houses the Xbox operations team and the three publishers in the company’s portfolio (Xbox Game Studios, ZeniMax Media, Activision Blizzard).