Microsoft has taken a bold step in its AI strategy by making the use of internal AI tools mandatory for all employees, positioning AI proficiency as a fundamental job requirement across the organization.
In an internal memo that has sparked discussion across the tech industry, Julia Liuson, President of Microsoft's Developer Division, made the company's position clear: "AI is now a fundamental part of how we work. Just like collaboration, data-driven thinking, and effective communication, using AI is no longer optional — it's core to every role and every level."
The directive requires managers to evaluate employees based on their use of Microsoft's suite of AI tools, including coding assistants, data analytics, and workflow automation systems. Some teams are reportedly considering implementing formal metrics to measure AI tool usage in upcoming performance reviews.
This policy shift comes as Microsoft continues to invest heavily in its AI infrastructure, particularly its Copilot tools, which have faced adoption challenges both internally and externally. Despite significant promotion, Microsoft's Copilot has struggled to gain traction against competitors like ChatGPT, which boasts approximately 400 million active users compared to Copilot's 33 million as of mid-2025.
The mandate is particularly focused on Microsoft's developers, with leadership insisting that those building AI products must also use them daily to better understand the user experience and improve the tools. This push for internal adoption comes during a period of continued workforce reduction, with Microsoft having cut over 2,500 jobs from its gaming division alone since acquiring Activision Blizzard.
As Microsoft positions AI as a core competency for its workforce, the tech industry is watching closely. This mandate could signal a broader trend where AI proficiency becomes as essential to employment as basic computer skills, potentially reshaping hiring practices and job requirements across the sector.