Microsoft Corp. is intensifying its push to showcase artificial intelligence as a key driver of internal transformation, even as it trims its global workforce.

In a recent internal presentation, Chief Commercial Officer Judson Althoff said AI tools are delivering measurable productivity improvements across sales, customer service, and software engineering, according to a person familiar with the matter.

Althoff revealed that Microsoft saved over $500 million in its call center operations last year through AI integration, citing improved employee performance and customer satisfaction.

He added that the company is increasingly using AI to manage engagement with smaller customers—an initiative still in early stages but already generating tens of millions of dollars in revenue.

AI is also reshaping Microsoft’s software development. Althoff noted that 35% of the code for new products is now being generated by AI, accelerating time-to-market.

Microsoft’s GitHub Copilot, a flagship AI coding tool, reached 15 million users as of April.

The company declined to comment.

Microsoft’s move mirrors a broader industry shift as tech firms deploy AI to boost efficiency and reduce reliance on human labor.

Salesforce recently said AI handles 30% of its internal work, while executives at Alphabet Inc. and Meta Platforms Inc. have reported that large portions of code are now AI-generated.

As Microsoft doubles down on AI, it continues to streamline operations, underscoring the technology’s dual role in enhancing productivity and reshaping workforce dynamics.