Xbox to Slash Even More Jobs This Month, with Further Cuts in November and January

NiSource Inc. and Microsoft agreed on a 20-year energy deal for Microsoft's Indiana data center. The agreement expands expected customer savings to $1.75 billion, with Microsoft funding all generation and transmission costs. NiSource will add 1,100 MW to its pool portfolio and 600 MW of battery storage, improving grid reliability. The deal starts in 2028, protecting existing customers from incremental costs.

Alphabet (GOOGL) shares fell 2% to $331.83 despite a 1% NASDAQ 100 rally. CEO Sundar Pichai stated Google Cloud is forgoing short-term revenue to prioritize AI development, impacting its cloud growth. Microsoft (MSFT) and Amazon (AMZN) shares also dipped slightly. The trade-off's financial impact remains unclear, with the next earnings report expected to provide clarity.

Google Cloud will now host OpenAI's models, joining Microsoft and Amazon in offering GPT products. This expands access to OpenAI's AI tools for developers and businesses.

The Trump administration has suspended Microsoft, Adobe, and other tech firms from the PERM program, which aids foreign workers in obtaining green cards, citing alleged visa fraud. The suspensions, lasting up to 180 days, prevent these companies from processing new or pending labor certification applications. The move is seen as unprecedented and signals heightened immigration compliance risks for employers.

The UK's CMA proposed designating Microsoft as having strategic market status in business software, a process that could take until 2027. The CMA will investigate if rival AI tools can compete fairly with Microsoft's Copilot. The timeline and potential interventions remain uncertain, with no immediate changes to Microsoft's products or licensing terms. The CMA will gather evidence and consult on any proposed requirements or interventions.

Microsoft reaffirms its £22bn UK investment plan despite exiting an Essex data centre deal. The company cited grid connection delays as the reason for withdrawing. Microsoft's UK chief, Darren Hardman, stated the investment remains unchanged and the firm is still committed to partnering with Nscale. The announcement follows research showing a rise in AI adoption among UK businesses and workers, with 43.7% using AI in Q2 2026, up from 36.6% the prior year.