Microsoft CEO Satya Nadella cautions the staff about the challenges of the AI age and references the downfall of DEC and promises to clean up the culture due to recent job cuts.

Satya Nadella, Microsoft CEO, has expressed his anxieties over the future of the company as the world appears to be moving at a dizzying pace in terms of AI. During a town hall meeting exclusively for his employees, Nadella revealed that he is haunted by the thought of Microsoft becoming irrelevant in the rapidly changing world of technology.

The CEO used the example of Digital Equipment Corporation (DEC) as warnings sign of a company that was once dominating the market but vanished and was unable to adjust to the new technologies. Nadella pondered on the value of innovation and hiring the best talents to make sure Microsoft does not face the same destiny.

Coming to the employees, the CEO recognized cultural shifts in the company and reported on feedback regarding a more frozen and less empathic workplace. Nadella insisted that Microsoft had to regain trust and change the leadership style and added, I think we can do better, and we will do better.

His comments are made against the backdrop of massive layoffs of workers, and thousands of workers in different departments were laid off in recent times. According to analysts, the transparency of the CEO is an indicator that he is determined to align the company culture with its long-term technological interests.

The CEO message reinforces the fact that legacy tech giants still face the challenge of staying nimble and compliant in an AI-driven world, with strong leadership as the key to handling the technological bloodshed, as well as the morale among employees.