Microsoft confirms reorganization of sales and marketing teams, but doesn't mention layoffs

Microsoft's rumored reorganization has been making waves for some time now. Company executives have now communicated to employees, via a memo, that there will be a shake-up in its sales and marketing teams but, interestingly, didn't mention the rumored layoffs.

With FY2017 coming to an end for Microsoft (the company's fiscal year starts in July), the company is set for yet another restructure. The Redmond giant has developed a recent trend of annual layoffs, primarily from its failed phone business. With rumors rife of another bout of downsizing, one would assume that the company would want to clear the air sooner.

The re-shuffle is reported to impact teams under Chief Marketing Officer Chris Capossela, Executive Vice Presidents Judson Althoff, and Jean-Philippe Courtois. The executives' memos to their teams did not mention any layoffs. Althoff works with partners to spread the adoption of Microsoft technology, while Courtois leads global sales, marketing, and services for 122 subsidiaries worldwide.

A Microsoft spokesperson told Reuters that the company “is implementing changes to better serve our customers and partners.” The Wall Street Journal reports that the rejig will target Microsoft's sales efforts in two areas: large enterprise customers and small and medium businesses. Earlier, the company focused its sales efforts on the commercial side of things, namely the public sector, startups and specific industries.

Recent reports had suggested downsizing of thousands of employees in order to align its marketing strategies to drive Azure at the company's forefront. Since assuming his new position, Althoff has stated that it is his objective to bring Azure to the forefront of Microsoft's sale strategies.

Sources: Reuters

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