14 DAY TRIAL // Microsoft CEO Steve Ballmer is getting ready to announce a new major restructuring plan for the Redmond-based software maker that would put Windows head Julie Larson-Green in charge of the hardware engineering business.
Citing insiders who asked not to be named for obvious reasons, Bloomberg reports that Skype president Tony Bates will be responsible for acquisitions and relationships with software developers, a new role that perfectly outlines Microsoft’s efforts to get closer to developers.
Specifically supposed to get the company closer to the devices and services approach Steve Ballmer has talked about so much lately, the reshuffle could be announced next week, as the CEO could still change some key positions in the next few days.
Julie Larson-Green, currently in charge of the Windows division and seen as one of the potential CEOs after Ballmer’s retirement, would be responsible for everything related to hardware engineering, including devices such as Xbox gaming consoles and Surface tablets.
At the same time, Windows Phone software chief Terry Myerson will gain new responsibilities in the Windows engineering business, the source wrote.
Despite Microsoft’s recent products updates, analysts believe that the software giant urgently needs a major internal reshuffle to bring a new wave of fresh ideas in key products such as Windows and Xbox.
Gregg Moskowitz, a Cowen & Co. analyst, explained in a short statement that while Windows 8.1 Preview indeed seems to be a major improvement for Windows 8, it’s not a game-changing product.
The “great inefficiency” affecting Microsoft should be tackled as soon as possible, and this new restructuring plan seems to be the best way to do it, the analyst said.
“It’s difficult to say how substantive the changes will actually be. We see a great deal of inefficiency at Microsoft,” Moskowitz explained.
CEO Steve Ballmer will publicly announce the reshuffle next week, so more details are expected to be provided in just a few days.