Microsoft restructuring expected this week

Microsoft Corporation is expected to announce a dramatic restructuring this week with the new structure expected to focus on services and devices, according to media reports.

The chief executive officer Steve Ballmer had signalled in a letter to shareholders last fall that he intended to reorganise the company, with the new structure expected to focus on services -- or software -- and devices, both in the consumer and business sectors, reports said, yesterday, citing ‘numerous sources close to the situation.’

The Redmond-based corporate behemoth head Julie Larson-Green is expected to oversee hardware engineering for all devices throughout the entire company -- a position for which former Microsoft gaming chief Don Mattrick was reportedly being considered

before his exit a week ago to take over at troubled game maker Zynga.

Reports said the exact timing of the announcement could change, though it is due out this week.

The reorganisation is likely to see Skype President Tony Bates take over acquisitions and relationships with software developers.

Ballmer might have already laid the groundwork for that transition last year when he wrote a note to shareholders declaring that ‘this is really a new era for our company.’ Windows OS engineering would be folded into the portfolio of current Windows Phone software head Terry Myerson, while Satya Nadella, who currently heads the server business, would control a division focused on cloud computing and other enterprise products.

Qi Lu, who runs the online group, would manage an engineering unit controlling Bing as well as Office and Skype engineering, sources said.m