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Microsoft Reorganization Aimed at Google, Yahoo

Microsoft is reorganizing its corporate structure - moving toward more internet-based service offering and giving one of its newest executives broader powers - so that it can better compete against Google and Yahoo, according to an AP story. Ray Ozzie, a software veteran who came to Microsoft when it acquired his company, Groove Networks, will coordinate and improve internet-based offerings, including the MSN consumer online unit (web-based email, instant messenger and search technology); Xbox Live online videogame service; and Windows Update, the online tool for issuing security fixes.

Microsoft also plans to reorganize from seven broad business units to three new business divisions: Microsoft Platform Products and Services, Microsoft Business Divison, and Microsoft Entertainment and Devices Division.

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