Microsoft Reportedly Seeking Management Changes

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Look for more management changes at Microsoft Corp., as chief executive officer Steve Ballmer tackles an internal restructuring, according to a Bloomberg report.

The article explains that the industry giant is hoping to add senior product executives with an engineering background to its management board and that these changes are likely to be announced this month.

Back in January, Ballmer announced that Bob Muglia, the founder of Microsoft’s server division, was stepping down. In an email to employees, Ballmer wrote: “Bob Muglia and I have been talking about the overall business and what is needed to accelerate our growth. In this context, I have decided that now is the time to put new leadership in place for STB. This is simply recognition that all businesses go through cycles and need new and different talent to manage through those cycles. Bob has been a phenomenal partner throughout this process, and he and his leadership team have the right strategy in place.”

By promoting managers with engineering skills, the Bloomberg article suggests that Microsoft is positioning itself to catch up with rivals such as Apple Inc. and Google Inc. “in Web services, smartphones and tablet computers.”

Last month, TechZone360.com reported that investors are growing increasingly concerned about whether Microsoft can outperform rivals in the mobile and tablet markets, according to Reuters.

Reuters also noted that shares of Microsoft stock dropped 2.4 percent in the last 12 months, whereas the tech-heavy Nasdaq saw a 24 percent increase.

Microsoft’s Windows 7 remains popular but sales numbers are not as high as a year ago, according to Reuters. Steve Ballmer is in his 12th year as CEO of Microsoft.




Edited by Jamie Epstein

TechZone360 Contributing Editor

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