Microsoft Israel cuts hit AI agent team, with 50 Copilot Studio employees summoned to pre-dismissal hearings
The move is part of a global organizational shift affecting the Israeli R&D center. About half of the employees are expected to remain in roles within the center.
Microsoft Israel’s R&D center has summoned dozens of employees to pre-dismissal hearings as part of a global organizational restructuring. The move affects approximately 50 employees on the Copilot Studio team, with estimates suggesting that about half will remain in roles within the R&D center. The changes stem from a broader organizational shift at Microsoft that is also affecting its Israeli operations.
Copilot Studio is Microsoft’s platform for developing AI agents and automating business processes. It allows organizations to build AI assistants that can carry out tasks, rather than simply answer questions.
Microsoft employs approximately 3,000 people at its Israeli R&D center, which develops technologies and products used by customers worldwide. The center has become an important hub for the company’s AI and cybersecurity development.
The cuts come amid a leadership transition at the center. Microsoft recently announced that Michal Braverman-Blumenstyk, who has led the Israeli R&D operation for six and a half years, will step down. Ohad Jassin has been named her successor and is expected to take over in November.
A Microsoft spokesperson told Calcalist: “We continue to evaluate the company's operations and organizational structure to align them with changing needs and challenges. This process involves changes to team structures and, in some instances, difficult decisions that directly impact our employees. We are aware of the personal impact of these changes, and we will do everything in our power to support the affected employees during this time with sensitivity, respect, and assistance.”
