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Why Microsoft divides Windows in its last major reorganization

Business: Making Connections: Here are some of the why's and how of Microsoft's latest reorganization - and especially how it affects the Windows & Devices division.



The word is dropped: Microsoft embarks on a new reorganization, arguably the most important since taking office four years ago of Satya Nadella as CEO. In this one, Windows will be fragmented - the purpose, to allow Microsoft to focus on its high-growth businesses.

Here are the changes announced on March 29 by Microsoft's top executives:

Microsoft divides the Windows and Devices division and transfers the components to two new engineering units: Experiences & Devices under Executive Vice President Rajesh Jha and Cloud + AI under Executive Vice President Scott Guthrie. Some activities currently attached to Microsoft's IA + Research join the new entity led by Guthrie. Windows and Devices director Terry Myerson leaves the company as part of the reorganization.

Windows is dreaming of Office 365
Microsoft has decided these changes because of the stagnation of the PC market. Its cloud and subscription businesses, on the other hand, are growing.

In this context, some of the publisher's recent strategic decisions make more sense. Last year, Microsoft laid the groundwork for a recurring subscription activity for Windows through Microsoft 365, a bundle of Windows 10, Office 365, and Enterprise Security + Mobility. That's also why Microsoft started designing products to bring together Surface, Office, and Windows operating systems, rather than leaving everyone in their respective silo.

Microsoft hopes to achieve with Windows what he has done for Office. The Redmond company has managed to turn its Office on-premise individual products into a cloud offering with Office 365 - which is even more advanced than Microsoft expected. (Microsoft executives predicted that two-thirds of Office users would be in the cloud by 2019.)

Now, the publisher is working to make a similar change for Windows with Microsoft 365, that is to say, to create a set of cloud services based around Windows 10 and allowing it to generate recurring revenue.

With its reorganization, Microsoft does not throw in the towel on Windows or its Surface range.

Panos Panay wins a new position - Product Manager - and still manages the terminals. Joe Belfiore is piloting the "Windows Customer Experience", that is, shell and multi-terminal experiences such as Edge and Launcher. Kudo Tsunoda remains the spearhead of NEXT (New Experiences and Technology), which was reorganized earlier this year. Corporate Vice President Brad Anderson, whose team joined the Windows division in late 2017, will continue to lead Windows Enterprise Deployment and Management. All these executives will be attached to Rajesh Jha.

AI, another priority
Microsoft transfers other former Myerson lieutenants to Guthrie's Cloud & AI division. Jason Zander, who is promoted to Executive Vice President at Guthrie, will lead the new Azure and Windows platform teams. By bringing together the Windows client, the server and the cloud, Microsoft hopes to be able to better build an infrastructure and an application model common to all Windows versions. Roanne Sones, who leads the technical engagement with processors manufacturers and suppliers, will also be part of the Zander team.

Technical Manager Alex Kipman will also take on a new role as part of this reorganization. He will continue to work on HoloLens, while leading a new team called Guthrie's AI Perception & Mixed Reality Services. This new team will oversee all developments in the areas of voice, vision, mixed reality and others. It will also pursue the development of internal experiences and cloud services for others on Azure. Kipman and his team will work closely with Harry Shum on everything related to AI.

Apart from Windows & Devices, some other significant organizational changes have been revealed, especially around AI. Kipman oversees AI services related to "perception". In contrast, the AI ​​platform as a whole, tools and cognitive services, including Azure ML, Cognitive Services and Bot Framework, will be integrated into a new team led by Eric Boyd: "AI Platform, Tools and Cognitive Services". Cloud AI Platform Corporate Vice President Joseph Sirosh will join this new group. (These products / services were previously owned by Shum's AI + Research division)

I learn from my contacts that the reorganization will not be accompanied by any dismissal. The agreed changes will not affect the way Microsoft presents its re

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