#Microsoft

Microsoft has released TypeScript 7.0, a native version rewritten in Go that delivers 8 to 12 times faster build times compared to its predecessor, and supports shared-memory multithreading. Users can install it via npm, and editors supporting LSP can use the new language server. This rewrite represents a paradigm shift in compiler performance for TypeScript, one of the most widely used languages, drastically reducing build times for large projects. It also demonstrates the growing trend of using systems languages like Go to optimize tooling performance. New experimental flags --checkers and --builders allow fine-tuning parallelism for type-checking and project reference building. However, toolchains for embedded languages like Vue and Svelte are not yet ready, requiring those projects to continue using older TypeScript versions.

Microsoft announced TypeScript 7.0, featuring a major compiler rewrite that delivers up to 12x faster build times across large codebases like VS Code, Sentry, and Playwright. This release dramatically reduces compilation time for TypeScript projects, which is critical for developer productivity in large-scale JavaScript/TypeScript applications. It also signals a new era of compiler performance for the ecosystem. Based on benchmarks, TypeScript 7.0 achieved 11.9x speedup on the VS Code codebase (from 125.7s to 10.6s), 8.9x on Sentry, and 8.7x on Playwright. The release also includes new language features, though details were not specified in the brief.

Microsoft has laid off the entire idTech engine team at id Software, which may indicate a strategic shift away from the in-house idTech engine toward using Unreal Engine 5. This move could accelerate industry consolidation around Unreal Engine, reducing engine diversity and potentially impacting the unique technical identity of id Software games. The layoffs affect the team responsible for idTech, a proprietary engine powering titles like Doom: The Dark Ages, and come amid broader Microsoft gaming layoffs; no official confirmation of the switch to Unreal Engine 5 has been provided.

Microsoft announced a major reset of its Xbox division, citing thin and non-growing profit margins despite $5 billion in quarterly revenue, leading to layoffs and studio independence. This restructuring signals a strategic shift in Microsoft's gaming approach, potentially affecting the industry's hardware, subscription, and acquisition strategies, and impacting thousands of developers. The reset includes trimming operations to return to growth, with CEO Asha acknowledging corporate management failures and allowing studios to go independent, while Xbox continues to generate significant revenue.

Microsoft's latest EU regulatory disclosure reveals that nearly 40% of its global pre-tax profit for the fiscal year ending June 2025 is attributed to Ireland, despite only 3% of its workforce being located there. This highlights the company's ongoing profit shifting to low-tax jurisdictions. This disclosure sheds light on significant corporate tax avoidance practices by Microsoft, with implications for tax policy debates and the effectiveness of EU transparency rules. It may increase pressure on governments to close loopholes and reconsider how multinational profits are taxed. In the filing, Germany's reported profit share was less than 0.5% despite being a major market, while Luxembourg's 34 employees generated $283 million in pre-tax income (a 142% profit margin). Microsoft cites accounting differences and states that tax is not the sole measure of contribution.