Microsoft revamps structure and management

As expected, Microsoft CEO Steve Ballmer today announced a major structural overhaul of the software giant, an approach that he dubbed "One Microsoft." This step is intended to better align the company's organizational structure with its new corporate strategy.

Microsoft said it would dissolve its eight product divisions in favor of four new ones arranged around broader themes, a change meant to encourage greater collaboration as competitors like Apple and Google outflank it in the mobile and Internet markets.

"Improving our performance has three big dimensions: focusing the whole company on a single strategy, improving our capability in all disciplines and engineering/technology areas, and working together with more collaboration and agility around our common goals," Ballmer said. "We are rallying behind a single strategy as one company — not a collection of divisional strategies."

"Going forward, our strategy will focus on creating a family of devices and services for individuals and businesses that empower people around the globe at home, at work, and on the go, for the activities they value most," Ballmer added.

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