The co-founder, chairman and chief executive officer of Salesforce, Marc Benioff, has poked at rival Microsoft by asking the employees who are being retrenched by the biggest software maker in the world to considering working at his business software firm. This was revealed in a tweet that he sent out on Thursday.
Salesforce CEO tweeted amidst a corporate restructuring that is being undertaken by Microsoft as plans for kicking off a new fiscal year get underway. Last week the largest software maker in the world revealed that thousands of jobs would be eliminated. This would be about 10% of the workforce in sales.
According to insiders, the employees in sales to be retrenched will not just be the traditional sales staff but also support staff and sales engineers as well. Those to be retrenched were informed of the decision during the annual partner conference of Microsoft that was held in Washington D.C. More than 75% of those to be laid off will be outside Microsoft’s domestic market of the United States.
The layoffs at Microsoft are part of a corporate reorganization aimed at focusing efforts on the Azure cloud platform. In recent quarters, the cloud business of Microsoft has boomed with last quarter results showing that sales from the division had grown by 93%. The restructuring is meant to shift to selling software products and platforms that are based on the cloud.
Microsoft also clarified that the move wasn’t meant to reduce costs but rather was resulting from a shift in how sales are handled at the largest software company in the world. The plan will involve using employees with wide and deep knowledge on particular verticals to ensure that they sold bigger packages. In the United States the number of employees that Microsoft has is 71,000 while globally the number 121,000.
Though Salesforce and Microsoft enjoy a business partnership, the relationship between the two software companies soured after Microsoft acquired LinkedIn. It is understood that Salesforce was also eyeing the professional social networking company. As Microsoft sought the go-ahead from regulators, Salesforce objected to the acquisition by telling regulators in Europe that the deal was a threat to competition.
Besides Microsoft, Benioff is also known to poke at another software rival Oracle.