Microsoft Major Restructuring Rumored
NEW YORK (TheStreet) - Microsoft
The new plan is set to take effect on July 1st, and will focus on the company's devices and services. That means less overall reliance on Microsoft's legendary software offerings and more of a combination of hardware and software.
Bloomberg reports Ballmer will announce four new Microsoft divisions: Applications and Services, Enterprise, Hardware and Operating Systems.
Under that plan, Microsoft would combine currently separate Windows businesses- Windows 8 and the Windows Phone operating systems - into one new division. The new OS division might be led by Terry Myerson (now the Windows Phone boss) and Julie Larson-Green (head of Windows engineering).
Industry watchers believe the restructuring plan is making many of Microsoft's current senior executives wondering what will happen to their jobs. So far, Ballmer had kept his plans close to his vest. He is expected to gather his top advisers in the next few days to let those closest to him know what he has in mind for the next fiscal year.
Microsoft shares were falling 0.67% to $33.26 at 9:40 am a.m.in New York.
This week, Microsoft is hosting its annual Build developers conference in San Francisco, where many expect the beloved Windows "Start" button, missing from Windows 8, is expected to make a welcomed reappearance in the Windows update.
The last time Ballmer made significant changes was in 2008, when he announced a restructuring of the Windows and online services businesses. The most recent restructuring was when Windows chief Steve Sinofsky was removed from his position in late 2012.
--Written by Gary Krakow in New York.
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