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. The tech giant is looking to manage overall expenses as it looks to continue investments in its artificial intelligence (AI) efforts.

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.

Microsoft (NASDAQ:MSFT) plans to halt hiring in part of its U.S. consulting business, according to a report by CNBC, which cited a leaked internal memo. The freeze is expected to remain in place for the remainder of the current fiscal year,