Windows Weekly Episode 932 Summary: "The Last Australian - Microsoft Lays Off 3%, Windows 10 ESU, 'Hey Copilot'"

Release Date: May 14, 2025

Hosts: Leo Laporte, Paul Thurrott, and Richard Campbell

1. Microsoft’s Financial Success vs. Massive Layoffs

Despite Microsoft reportedly earning a staggering $70 billion [00:05], the company announced a significant workforce reduction, laying off 6,000 employees globally, equating to approximately 3% of its total staff [70:15]. This move has left industry observers puzzled, given Microsoft's robust financial performance.

Paul Thurrott reflects on the situation, stating, "Microsoft is going gangbusters. It is, at any given time, the biggest or second biggest company in the world by market value" [70:20]. The hosts discuss potential reasons behind the layoffs, suggesting a focus on increasing agility and efficiency by reducing layers of middle management [73:15].

Richard Campbell shares personal anecdotes, mentioning recent calls from colleagues affected by the layoffs, highlighting the emotional toll on employees [74:17]. The trio contemplates whether these reductions are part of a strategic shift towards higher-performing teams or a response to broader market pressures, concluding that the exact rationale remains unclear [75:46].

2. Windows 10 End of Support and Extended Security Updates (ESU)

As Windows 10 approaches its end of support, Microsoft offers Extended Security Updates (ESU) for a fee of $31 [53:15]. Paul Thurrott explains that businesses, which make up the majority of Windows 10 users, can extend their security updates for an additional year beyond the standard support period.

He notes, "If you're running Windows 10 on whatever computer right now, you probably have not thought about this or thought about it enough" [53:27]. The hosts discuss alternatives for users who may not upgrade to Windows 11, including installing Linux distributions or utilizing Chrome OS Flex [54:06].

3. "Hey Copilot" and Windows 11 Copilot Enhancements

Microsoft is rolling out a new voice invocation phrase for its AI assistant, transitioning from "Hey Cortana" to "Hey Copilot" [31:16]. This feature is part of the Copilot app in Windows 11, aiming to provide a more seamless and integrated AI experience across devices.

Paul Thurrott shares his enthusiasm: "This is obviously a replacement for 'Hey Cortana,' that phrase we all know and love and miss" [34:00]. The new Copilot features include Recalling and Click to Do functionalities, which are now stable and accessible to users with a Copilot Plus PC [05:04].

Students and professionals can leverage these AI enhancements for improved productivity, though Paul expresses some skepticism about the naturalness of interacting with AI assistants [37:19].

4. Windows 11 Taskbar and Start Menu Changes

The episode delves into recent updates to the Windows 11 taskbar and Start menu. Users now have more flexibility with taskbar placement, thanks to third-party tools like Windhawk, which allow repositioning beyond the default bottom placement [10:28].

Paul Thurrott criticizes the initial design choices, mentioning that the taskbar and Start menu were rebuilt from scratch, leading to the removal of familiar customization options [17:24]. However, recent updates have introduced features allowing users to adjust the Start menu's size and toggle sections like Recommended or All Apps [20:02].

Leo Laporte adds, "It's funny how much energy is put into this, but it is probably the most important UX feature" [14:24], emphasizing the daily impact of these UI changes.

5. Antitrust Issues: Microsoft’s Activision Acquisition

The discussion shifts to Microsoft's ongoing antitrust challenges surrounding its Activision Blizzard acquisition. The Federal Trade Commission (FTC) has initiated an internal proceeding to investigate potential violations, diverging from their traditional external legal battles [81:20].

Paul Thurrott highlights the awkward nature of the FTC's approach, suggesting that internal investigations may stem from individual biases rather than substantive antitrust concerns [82:21]. The hosts express frustration with the FTC's persistence despite the lack of clear competitive harms, questioning the rationale behind halting such a significant merger [83:14].

6. Browser Competition and Chromium’s Dominance

The conversation touches on the dominance of Chromium as the foundation for most modern browsers. Paul Thurrott advocates for transferring the control of Chromium from Google to a more neutral party like Mozilla to promote true open standards [85:27].

He argues, "Most of the key maintainers are Google employees... Why not give it to Mozilla?" [85:31], suggesting that a collective industry effort could foster a more competitive and diverse browser ecosystem. Richard Campbell counters by noting that while forking Chromium is technically possible, it requires significant industry collaboration to maintain multiple rendering engines [86:31].

7. AI Assistants' Natural Language and User Interactions

AI assistants are becoming increasingly natural in their interactions, leading to more intuitive and engaging user experiences. However, Paul Thurrott expresses concern over becoming overly polite and anthropomorphic with AI, potentially blurring the lines between human and machine interactions [37:19].

He observes, "It's getting a little too natural," questioning whether this enhances usability or introduces unexpected complexities in user relationships with AI [38:09].

8. Managing Annoying Notifications in Windows 11

A significant segment of the show focuses on the frustration with Windows 11's notification system. Paul Thurrott criticizes the lack of centralized control over notifications, making it difficult for users to disable unwanted alerts without navigating through multiple settings [123:21].

"Even compared to iOS, Windows 11 notifications are uniquely terrible," Paul advises, suggesting that users either turn off notifications entirely or utilize Do Not Disturb mode to mitigate the annoyance [123:46]. The hosts agree that simplifying notification management is essential for improving the overall user experience [126:03].

9. Console Market and Competition: Nintendo, Sony, and Xbox

The hosts briefly discuss the state of the console market, focusing on Nintendo's struggles and Sony's PlayStation 5 sales. Nintendo announced the launch of the new Switch 2, expecting to sell 15 million units within the fiscal year ending March 31st [106:00], despite being six months behind schedule [108:55].

In contrast, Sony reported 18.5 million PS5 consoles sold in the previous fiscal year, maintaining a strong market presence despite an 11% decline from the year before [110:00]. The discussion highlights the competitive dynamics and strategic challenges both companies face in a saturated market [110:20].

10. Final Thoughts and Future Outlook

As the episode wraps up, the hosts express concerns over Microsoft's strategic decisions and the broader implications for the tech industry. They anticipate upcoming announcements from Microsoft Build and Google I/O, focusing on AI-driven innovations that could reshape user interactions and developer tools [90:50].

Leo Laporte encourages listeners to stay informed and engaged with the latest developments, emphasizing the importance of understanding these changes for both personal and professional growth [141:00].

Notable Quotes:

• Leo Laporte [01:08]: "It's the only Microsoft podcast you'll ever need."

• Paul Thurrott [05:04]: "This is the biggest patch Tuesday of 2025."

• Richard Campbell [10:42]: "They just throw everybody."

• Paul Thurrott [14:00]: "We have to keep track of that."

• Leo Laporte [31:07]: "Hey copilot now."

• Paul Thurrott [34:00]: "Here's why you listen to Spotify or any service."

Conclusion:

Episode 932 of Windows Weekly offers an in-depth exploration of Microsoft's current strategies, including significant layoffs despite financial success, critical updates to Windows 11's UI and AI integrations, and ongoing antitrust challenges. The hosts provide thoughtful analysis on these issues, supplemented by personal anecdotes and expert insights, making the episode a valuable resource for listeners keen on understanding the evolving landscape of Microsoft's ecosystem and the broader tech industry.