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December 15, 2003 4:43 PM

Reading the Windows Reorg Tea Leaves



Microsoft announced on Monday yet another corporate reshuffling of its Windows department. The overriding message: All the wood is behind one Windows arrow.

It's high time Microsoft did something like this. Remember the confusion earlier this year as to whether the company would release both a client and a server version of its next-gen Longhorn operating system? (After a lot of hemming and hawking, the ultimate answer was, yes, Microsoft will issue both. But there's still no official word on how far behind Longhorn Client the Longhorn Server release will lag.)

In spite of all the hoopla around today's reorg announcement, however, it looks like a lot of the changes Microsoft is making are cosmetic.

In short, Microsoft wants to separate Windows business and product development more completely than they already are.

Microsoft is establishing a Windows Leadership Team that sounds a lot like the existing BLT, or Business Leadership Team, that helps Chairman Bill Gates and CEO Steve Ballmer concentrate on business issues facing the company. WLT will include Windows maven Brian Valentine, will include veterans Bob Muglia and Will Poole, the current head of Windows Client. (There will be a parallel Windows Engineering Leadership Team, as well.)

As a result of today's reorg, Brian Valentine is now 100% devoted to running the impressive-sounding "Windows Core Operating Systems Division," which is focusing on Windows client and server development. In reality, Valentine's new role will not be very different from what he has been doing for some time now. As senior VP of the Windows Division, Valentine had oversight of Windows 9x, Windows 2000, Windows ME, Windows XP, Windows CE and the various Windows Server iterations.

(For Microsoft watchers, Valentine should be a household name. He's Group VP Jim Allchin's right-hand man. Very outspoken and hard-charging, yet generally well-liked by the Windows troops. And crazy enough to wear a pink tutu when the occasion calls for it.)

But even this new "Windows Core Operating Systems Division," despite all the excitement Microsoft is attempting to build around it, isn't so new. There have been "Windows Core" client and server teams at Microsoft for quite some time. Microsoft execs are saying that the new Windows Core OS Division, unlike these existing core teams, will focus on more than just the Windows kernel; instead, the new division will concentrate on the broader "Windows Platform."

So what is really new about today's reorg? If you are a Microsoft customer, partner or competitor, here's what will really matter to you:

  • BobMu is back. Bob Muglia — whose name may be familiar from his days on Windows Server, MSN and Office — has been keeping a very low profile for the past couple of years. He has been hiding out in the Microsoft enterprise storage and management divisions. As of today's reorg, he is now heading up storage, management products and Windows Server. Watch for Microsoft to bundle storage and management software even more tightly with future versions of Windows Server.

  • Bill Veghte is now where he belongs: in marketing and sales. Veghte, the current corporate VP in charge of Windows Server, has always been better about talking about ROI and big marketectures than about product nuts and bolts. Muglia will take Veghte's spot, while Veghte will move over to head North American marketing under Kevin Johnson, the Group VP in charge of worldwide sales, marketing and services.

  • Two more Windows Server veterans — Dave Thompson and S. "Soma" Somasegar — also are moving off the Windows Server team. Thompson, the current VP of Windows Server, is moving to head up the Exchange Server team. And Somasegar, the Corporate VP on Windows Server who has been managing the overall project and release duties for all of Windows, is now moving to head the developer division (a role previously held by Eric Rudder, before he got promoted to head up the entire Server & Tools P&L).

    My main takeaway from today's announcement: Sounds like someone thinks it's time to make way for new blood in the Windows space.

    Microsoft's got some very ambitious plans for Windows, going forward. And from now until 2006+, when the company delivers its Longhorn Windows client release, the Windows team will need to do some fancy footwork to keep momentum going.

    Do you think Microsoft's got its Windows act together? Or do you think there's more the company needs to do — organizationally, product-wise, or both — to keep the Windows wheels turning?

    Write me at mswatch@ziffdavis.com and
    let me know what you think.

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