Microsoft Is Planning Sales Reorganization Focused on Cloud

Posted July 05, 2017

Reportedly, the changes will be announced this coming week.

We're not sure how this will play out when Microsoft begins to report its number for the following quarters.

This picture taken on on May 25, 2016 shows Microsoft's Finnish headquarters in Espoo. The publication reported that the layoff will be announced as soon as next week and was said to impact Worldwide Commercial Business under Judson Althoff and Jean Philippe Courtois. The reorganization will include a merger between its enterprise customer unit and one or more of its SME focused divisions, a source said to TechCrunch.

The truest report would be from Microsoft authorities themselves but they have not come up with any statement related to dismissals or the quantity of them.

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The reorganization next week will refine the sales duo's roles, as well as boost the sales group's focus on cloud-computing services, according to the person familiar with the plans. Azure will continue to face competition from products such as Amazon Web Services.

The timing is likely because July is the end of Microsoft's fiscal year, according to TechCrunch.

Althoff has criticised Microsoft's earlier sales approach, which he described as an attempt for selling Azure, the company's on-demand platform for computing power and software services. A recent study found Microsoft to be ahead of the game already, in this regard.

With the aim to increase sales of its cloud-based products over licenses for PC and server software, Microsoft is planning a major reorganisation of its global sales force.

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"Microsoft is implementing changes to better serve our customers and partners", a Microsoft spokesperson told AFP.

In July 2015, Microsoft cut 7,800 job cuts and wrote down $7.6 billion associated with its Nokia acquisition.

Microsoft had 121,567 employees as of March 31.

One of the most visible illustrations of that shift arrived a year later with the release of Windows 10, which Microsoft has called the "last" Windows.

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Chief executive officer Satya Nadella has sought to reduce the tech giant's focus on software, shifting to cloud computing and business services.