Microsoft Corp. announced a new structural reorganization that will combine the company’s wireless efforts with its Xbox video game and TV platform businesses.
The software giant said it will realign its businesses into three new divisions: Platform Products & Services, Business and Entertainment & Devices. The new Entertainment & Devices division will combine the company’s current Home and Entertainment Division with the current Mobile and Embedded Devices Division. The company said the move will consolidate its industry engagement around devices “to deliver even richer and more relevant scenarios for individuals at work, at home and when they’re mobile.”
Pieter Knook, the senior vice president of Microsoft’s former Mobile and Embedded Devices division, now will report to Robbie Bach, president of the new Entertainment & Devices division.
“These changes are designed to align our business groups in a way that will enhance decision-making and speed of execution, as well as help us continue to deliver the types of products and services our customers want most,” said Steve Ballmer, chief executive officer at Microsoft. “It’s great to have extremely successful broad leaders with strong track records in driving growth and innovation leading these three very important areas for the company. We see a new era of opportunity to provide greater value to our customers by weaving both software and services into forms that suit their needs. By bringing together the software experience and the service experience, we will better address the changing needs of our customers’ digital lifestyles and the new world of work.”
In its most recent quarter, Microsoft saw its mobile business grow steadily. The company reported $97 million in revenues from wireless during the quarter, up 39 percent from the previous year.
