In addition, the consulting unit plans to reduce its marketing and nonbillable external resource spending by 35%.

Microsoft is planning to halt hiring in part of its consulting business in the U.S. in a bid to cut costs, CNBC reported on Tuesday, citing an internal memo.

Microsoft has announced a hiring freeze, which is expected to impact its consulting business in the U.S. as part of its broader plans to cut costs.

Microsoft plans to pause hiring in part of its US consulting business, impacting less than 1% of its workforce. The company targets 35% cuts in marketing and nonbillable spending while urging remote sessions over internal travel.