Microsoft Advertising is closing the Xandr DSP, layoffs pending

The software giant is contacting media buyers informing them it will close in February 2026.

May 14, 2025 - 21:58
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Microsoft Advertising is closing the Xandr DSP, layoffs pending

Microsoft Advertising is closing its demand-side platform, with the online giant informing clients the ad tech unit no longer aligns with its AI priorities according to separate Digiday sources.

Rumors of such a closure have been circulating for some time, with Microsoft Advertising contacting media buyers earlier Wednesday (May 14), informing them of the planned sunsetting of the DSP, according to two sources familiar with the developments.

One source, who asked not to be named in order to maintain relationships, said the closure of the Xandr DSP would involve multiple layoffs, with those impacted being informed on the day of the announcement. When asked to comment, Microsoft spokespeople pointed to a company blog post. They did not immediately respond when asked for clarity on the extent of the layoffs.

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