US Microsoft talent market update: Dynamics 365, AI & Cloud in demand

US Microsoft talent market update: Dynamics 365, AI & Cloud in demand

Posted August 29, 2025

The US Microsoft technology talent market continues to evolve rapidly in 2025, and demand is showing no signs of slowing down.

At the beginning of this year, we reported a 30% increase in job flow across Microsoft Biz Apps and Cloud roles, as organizations in manufacturing, healthcare, and retail kicked off digital transformation projects that had been delayed through 2024. That momentum has only accelerated through the year, with new growth areas now shaping the hiring landscape.

As Dylan Cohen, Director of Microsoft & Cloud Solutions in our New York office, explains:

“Data and AI hiring has increased massively. There is a huge demand for Data Architects and Engineers with AI expertise, mainly to help with AI readiness, Agent readiness, AI use case and value planning, along with AI user adoption.”

Colin Etheridge, CEO of North America adds broader context:

“The US market shows plentiful demand across the core commercial sectors where we operate – Cloud and Microsoft applications, Digital Transformation, Oracle ERP, and Data.”

Dynamics 365: From a slow summer to booming demand

After a relatively quiet summer, Dynamics 365 opportunities have surged back. ERP Consultants, architects, and developers are in high demand, with organizations seeking end-to-end expertise across F&O, BC, and CRM.

It’s also important to note that demand is no longer confined to “classic” ERP. According to Dylan, “There is a clear demand for Power Platform expertise across nearly all Microsoft Biz Apps skillsets. Traditional ERP candidates (D365 BC and D365 FO) need to have Power Platform to keep up with the times.”

This combination of Dynamics 365 and Power Platform is becoming the new baseline for Microsoft professionals.

AI, security & software engineering in focus

AI is reshaping hiring across the Microsoft ecosystem. Companies are moving quickly to secure contractors for AI-specific projects, while consulting firms are locking in AI thought leaders as full-time employees to future-proof their delivery.

Colin notes, “AI is a high-growth area for the top 1% of engineering talent but it is yet to reveal significant impact in the wider market.”

Beyond AI, security remains a consistent priority, with ongoing investment across industries. At the same time, we’re seeing an uptick in software engineering hiring as product companies build out new IP.

“Go To Market and business development emphasis is a huge demand driver in the broader technology space as companies large and small look to monetize investment,” says Colin. One of the most encouraging signs is the huge increase in sales hiring across Microsoft Partners and SaaS product companies.

Dylan shares, “This is generally a good sign of things to come; companies hire salespeople, they sell more projects, and this creates more demand for the delivery consultants, engineers, and architects needed to bring those projects to life.”

What hiring managers need to know

  • Flexibility is still critical: Employers demanding 100% onsite Dynamics 365 professionals – particularly in non-metro locations – are struggling to attract top talent. Remote and hybrid models continue to win. That being said, there is certainly a return to office theme, most enterprises are preferring hybrid models; this differs from 2021-2023 where it was primarily 100% remote.
  • Canada is part of the solution: US companies are increasingly hiring remote Microsoft professionals from Canada, widening their candidate pool and leveraging the exchange rate advantage.
  • Workforce planning matters: With AI, Dynamics 365, Power Platform, and security talent all in short supply, proactive planning is essential to secure the right expertise before demand peaks further.

Colin sums it up, “Overall, the market remains full of opportunity and growth. Remuneration has also stabilized since the heady days of 2022-23, giving both employers and candidates a more predictable baseline as they enter negotiations.”

The Microsoft talent market in the states is as competitive as ever, with demand for Dynamics 365, Power Platform, sales, and AI skills redefining hiring strategies in 2025. As we continue to venture into the second half of this year, business leaders who move quickly, think flexibly, and plan ahead will have the advantage.

If you’re planning your Microsoft workforce strategy, get in touch with our team to discuss how to secure the talent you need.