It will affect up to 5 per cent of its global workforce (which consists of over 220,000) and cost the business some $1.2 billion (€1.1bn) in severance and reorganisation costs.

Microsoft chief executive Satya Nadella said that while customer spending had grown during the pandemic, more were now choosing to “exercise caution”. He added that the firm would continue to hire in key areas.

Microsoft has around 6,000 employees in the UK. It’s currently unknown if any of them will be affected by the latest cull.

Amazon, Saleforce and Facbook-owner Meta have also announced large layoffs in recent weeks.