Microsoft CEO and Chairman Satya Nadella addressed the company's recent layoffs in a company-wide memo to over 200,000 employees, acknowledging that the decision to cut more than 15,000 jobs was among the most difficult the organization has faced. Nadella described the layoffs as part of Microsoft's transition into the AI era, which may feel disruptive but is necessary for the company's evolution. Despite the job cuts, Nadella emphasized that Microsoft is thriving, with record profits and strong market performance driven by significant investments in artificial intelligence and a focus on security and quality. He also noted that talent at Microsoft was being rewarded at unprecedented levels even as the layoffs occurred. The CEO expressed that the layoffs have been weighing heavily on him personally. The company's CFO has called for renewed intensity following blowout earnings, underscoring the company's commitment to growth amid these changes.