Microsoft Reorganizes Windows Group
Microsoft Corp. announced a broad reorganization Thursday of the unit that
produces its flagship Windows operating system, two days after the company said
the new consumer version of Windows would not be ready for the holiday season
The Redmond-based software maker said the changes are aimed at helping improve
its online strategy. Companies such as Google Inc. and Yahoo Inc. are developing
Internet-based products that pose a threat to Microsoft's desktop-bound Windows
and other programs.
The company said a reorganized Platforms and Services division will be made
up of eight new and existing groups, including the Windows and Windows Live
Group, led by Steven Sinofsky, who currently heads development of company's
Office business software system.
Other groups will focus on core operating system, online business products,
and the servers and software tools businesses.
As previously announced, Jim Allchin, co-president of the Plaforms and Services
division, will retire next year. Until then, he and co-president Kevin Johnson
will continue to lead the division, while Sinofsky will focus on planning future
versions of Windows.
Last September, Microsoft announced a restructuring -- aimed at reducing bureaucracy
and improving the company's ability to compete with Web-based rivals -- that
moved the company's seven business units into three divisions.
Microsoft shares fell 38 cents, or 1.4 percent, to $26.77 in afternoon trading
on the Nasdaq Stock Market.