Microsoft Switches Things Up Internally

In a move that pundits say is preparing their organization to absorb Yahoo in the event of a successful hostile takeover, Microsoft has been playing musical executives. From the outside looking in, the moves seem to make little sense at first. Then it becomes apparent that Microsoft is strengthening its online executive base and positioning its people to focus more toward online activities, and the moves make more sense.

Executives already in charge of online portions of Microsoft's empire are finding added duties coming their way. Specifically, Windows Live, Search and MSN will be added to the umbrella of responsibility currently held by several executives. That includes the executives in charge of Windows Business Group and Online Services; Search, Portals and Advertising Group; and the Advertiser and Publisher Solutions Group.

Steve Berkowitz is rumored to be stepping away from his post as Senior Vice President of the Online Services Group in the Fall of 2008. Representatives at Microsoft claim he will continue on with the company in some capacity though they have declined to say what that capacity will be. In response to queries about the continued uncertainty of the Yahoo deal, Microsoft representatives said: "It's still up in the air, though it seems unlikely that Microsoft would walk away after a bid like this."

Pieter Knook, Senior Vice President of Microsoft's Mobile Communications Business, let his post to join Vodafone earlier this week. Microsoft is bringing someone from their Server and Tools Marketing and Solutions Group to take over his role: Andy Lees. Microsoft's recent announced purchase of Danger would fall under Lees' jurisdiction. How all the upheaval will affect Microsoft (and possibly Yahoo) consumers is unclear.