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It has been criticized for monopolistic practices, and the company's software received criticism for problems with ease of use, robustness, and security. Most notably provides the Azure cloud computing platform, Microsoft SQL Server database software, and Visual Studio. Its flagship hardware products are the Surface lineup of PCs and the Xbox brand of video game consoles, the latter including the Xbox network. Its best-known software products are the Windows line of operating systems and the Microsoft Office and Microsoft 365 suite of productivity applications, which most notably include the Word word processor, Excel spreadsheet editor, and PowerPoint presentation program. A Big Tech company, Microsoft is the largest software company by revenue, one of the most valuable public companies, and one of the most valuable brands globally. The company became influential in the rise of personal computers through software like Windows and has since expanded into areas such as Internet services, cloud computing, artificial intelligence, video gaming, and more. In addition to the code exercises, you can download a free 170-page PDF titled Test Yourself On Build a Large Language Model (From Scratch) from the Manning website.

In March 2026, Microsoft-controlled discussion forums banned the nickname Microslop, used to express pushback against Microsoft's Copilot-based and GenAI efforts. In June 2025, a United Nations report on corporations complicit in the Gaza genocide showed that Microsoft was one of several companies "central to Israel's surveillance apparatus and the ongoing Gaza destruction." In mid-2025, Microsoft's Russian division, Microsoft Rus LLC, filed for bankruptcy after President Vladimir Putin stated that foreign services providers should gtspin casino be throttled in Russia to make way for domestic software. The outage was traced back to a flawed update of CrowdStrike's cybersecurity software, which resulted in Microsoft systems crashing and causing disruptions across various sectors. In March 2024, Inflection AI's cofounders Mustafa Suleyman and Karen Simonyan announced their departure from the company in order to start Microsoft AI, with Microsoft acqui-hiring nearly the entirety of its 70-person workforce. However, the plan was short-lived, as Altman was subsequently reinstated as OpenAI's CEO and Brockman rejoined the company amid pressure from OpenAI's employees and investors on its board. The announcement came a day after hosting a Sting concert for 50 people, including Microsoft executives, in Davos, Switzerland. In January 2023, CEO Satya Nadella announced Microsoft would lay off 10,000 employees.

The program authorizes the government to secretly access data of non-US citizens hosted by American companies without a warrant. In April 2016, the company sued the U.S. government, argued that secrecy orders were preventing the company from disclosing warrants to customers in violation of the company's and customers' rights. Following media reports about PRISM, NSA's massive electronic surveillance program, in May 2013, several technology companies were identified as participants, including Microsoft. Microsoft provides information about reported bugs in its software to intelligence agencies of the United States government, prior to the public release of the fix. Amid the layoffs, Microsoft also closed its office in Pakistan and laid off its employees there as part of its move toward a software-as-a-service and AI operating model. In May 2025, Microsoft announced that it is laying off more than 6,000 employees, around three percent of the company's entire workforce.

The group, accessed "a very small percentage" of Microsoft corporate email accounts, which also included members of its senior leadership team and employees in its cybersecurity and legal teams. In December 2013, the company made a statement to further emphasize that it takes its customers' privacy and data protection very seriously, saying that "government snooping potentially now constitutes an 'advanced persistent threat,' alongside sophisticated malware and cyber attacks". A Microsoft spokesperson stated that the corporation runs several programs that facilitate the sharing of such information with the U.S. government. Amy Coleman, Microsoft's executive vice president and chief people officer, said the layoffs were not the result of employees being replaced by AI, but acknowledged that AI is changing how work is done. The cuts affected multiple divisions, including Xbox, with 830 positions eliminated at its Redmond, Washington headquarters. In July 2025, Microsoft announced another round of layoffs, cutting approximately 9,000 employees in its largest workforce reduction in over two years. The layoffs primarily affected Activision Blizzard employees, but some Xbox and ZeniMax employees were also affected.

In November 2018, the company won a $480 million military contract with the U.S. government to bring augmented reality (AR) headset technology into the weapon repertoires of American soldiers. Consequently, in February 2011 Microsoft released a corporate bond amounting to $2.25 billion with relatively low borrowing rates compared to government bonds. The company is run by a board of directors made up of mostly company outsiders, as is customary for publicly traded companies. Microsoft is ranked No. 14 in the 2022 Fortune 500 rankings of the largest United States corporations by total revenue; and it was the world's largest software maker by revenue in 2022 according to Forbes Global 2000. Microsoft also confirmed that its Maia 200 AI accelerator, first revealed in January 2026, had entered production deployment in data centers in Iowa and Arizona, powering workloads including Microsoft 365 Copilot and OpenAI's GPT-5.2 models. At Microsoft Build 2026 in June 2026, Microsoft announced the preview availability of Azure Cobalt 200 virtual machines, its second-generation Arm-based custom CPU, offering up to 135% better performance for cloud database workloads and 50% overall CPU performance improvement over the previous generation Cobalt 100. On 9 March 2026, Microsoft unveiled the Copilot Cowork tool, which is based on Claude Cowork, tapping into the growing demand for autonomous agents.

This characterization is derived from the perception that Microsoft provides nearly everything for its employees in a convenient place, but in turn overworks them to a point where it would be bad for their (possibly long-term) health. The company is often referred to as a "Velvet Sweatshop", a term which originated in a 1989 Seattle Times article, and later became used to describe the company by some of Microsoft's own employees. Historically, Microsoft has also been accused of overworking employees, in many cases, leading to burnout within just a few years of joining the company. The company has also been criticized for the use of permatemp employees (employees employed for years as "temporary", and therefore without medical benefits), the use of forced retention tactics, which means that employees would be sued if they tried to leave. Frequently criticized are the ease of use, robustness, and security of the Microsoft's software. Among grant recipients from the Asia-Pacific region are the Sri Lankan IT company Fortude, the Thailand-based Vulcan Coalition, and the Indonesian organization Kerjabilitas. In June 2022, Microsoft published the report on Russian cyber attacks and concluded that state-backed Russian hackers "have engaged in "strategic espionage" against governments, think tanks, businesses and aid groups" in 42 countries supporting Kyiv.

Other companies like Borland, WordPerfect, Novell, IBM and Lotus, being much slower to adapt to the new situation, would give Microsoft market dominance. Microsoft has been dominant in the IBM PC–compatible operating system and office software suite markets since the 1990s.

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