Microsoft Israel Lays Off Dozens in R&D Center

By מאיר אורבך, כלכליסט

Translated & summarized from Ynet by baba

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Microsoft Israel Research and Development has initiated layoff proceedings for about 50 employees at its Copilot Studio group. The layoffs stem from a global organizational restructuring impacting the Israeli R&D center, which employs approximately 3,000 people. The company stated it is supporting affected employees with sensitivity and respect during this transition.

The story in 5 lines · by baba

Microsoft Israel is laying off approximately 50 employees from its Copilot Studio R&D group.
The layoffs are part of a global organizational restructuring affecting the Israeli development center.
Copilot Studio is a platform for developing AI agents and automating business processes.
Microsoft employs around 3,000 R&D staff in Israel.
The center's director, Michal Blumenstik-Broverman, is departing and will be replaced by Oded Yassin.

Microsoft Israel Lays Off Dozens in R&D Center — Editorial illustration generated by baba News, not a photograph of the event.

Microsoft Israel Research and Development has summoned dozens of employees at its Israeli development center for hearings prior to layoffs. The move affects approximately 50 employees in the "Copilot Studio" group, with estimates suggesting about half may retain their positions within the R&D center. This organizational change at Microsoft's global operations is impacting the Israeli division.

Copilot Studio is a Microsoft platform designed for developing AI agents and automating business processes. It enables organizations to create AI assistants capable of performing actual tasks, beyond simply answering questions. Microsoft employs around 3,000 R&D staff in Israel.

Recently, the company announced that Michal Blumenstik-Broverman, who had directed the center for years, is stepping down and will be succeeded by Oded Yassin. A Microsoft spokesperson told Calcalist, "We continue to examine the company's operations and organizational structure to adapt them to changing needs and challenges. This process includes changes in team structures and, in some cases, difficult decisions that directly affect employees. We are aware of the personal significance of these changes and will do everything possible to support the affected employees during this period with sensitivity, respect, and assistance."