The Channel logo


By | Kelly Fiveash 20th January 2009 15:19

Microsoft halts construction plans, won't renew leases

Huffs, puffs, blows house down

Microsoft is reportedly boarding up a number of its Seattle-based properties by not renewing the leases, and is postponing construction plans on a number of buildings to help cut costs.

According to, when Microsoft reports its second quarter earnings on Thursday, the software giant will bring in a series of belt-tightening measures that will affect expansion plans for facilities across the Puget Sound region.

Redmond is understood to be delaying construction of all new buildings in Seattle, with the exception of one, for at least three years. Meanwhile, leases up for renewal this year and in 2010 will simply be dropped by Microsoft.

El Reg has asked Microsoft if it can confirm the accuracy of Seattle PI’s report, but the firm was not immediately available at time of writing.

Rumours have been circulating for the best part of a week that suggest Microsoft could also be mulling culling some jobs at the firm where it currently has a headcount of around 91,000 staff.

However, there's still no official word from MS on whether it plans to cut back that deep. ®

comment icon Read 14 comments on this article alert Send corrections


Frank Jennings

What do you do? Use manual typwriters or live in a Scottish croft? Our man advises
A rusty petrol pump at an abandoned gas station. Pic by Silvia B. Jakiello via shutterstock

Trevor Pott

Among other things, Active Directory needs an overhaul
Baby looks taken aback/shocked/affronted. Photo by Shutterstock

Kat Hall

Plans for 2 million FTTP connections in next four years 'not enough'
Microsoft CEO Satya Nadella


Suit-and-tie-wearing man tries to meditate, take deep breaths in faux yoga pose. Photo by Shutterstock
Emotional intelligence, not tech skills, is the way to woo suits
League of gentlemen poster - Tubbs and Edward at the local shop. Copyright BBC
One reselling man tells his tale of woe