Microsoft Corp. Is on the verge of announcing an internal reorganization to boost sales of cloud computing services that could see several employees dismiss Monday, according to a report.
Bloomberg said on Saturday that the reorganization is fairly typical of Microsoft at this time of year when entering the new fiscal calendar. But it will focus on the business organization of the company, and aims to improve the way it sells its cloud services and software.
The move follows a series of organizational changes made in January affecting Microsoft sales and marketing teams. This reorganization saw several of these teams move under the command of Judston Altoff, Microsoft Executive Vice President, Worldwide Commercial Business Group.
Bloomberg said the latest reorganization could see Microsoft announce significant layoffs, but a subsequent report by Jo Jo Foley of ZDNet said the number of jobs to be cut may not be so great. Instead, Microsoft will try to reassign as many of the relevant staff as possible.
Foley added that Altoff has focused on getting Microsoft Azure’s sales teams give priority to selling and other cloud computing services. Most of the sales force of the company is more accustomed to selling software for personal computers and servers but the new Microsoft strategy gives a higher priority to convince customers to buy cloud services hosted in their Centers.
Now Microsoft wants to accelerate this transformation in an effort to catch up with Amazon Web Services Inc., which is currently the leader in public cloud infrastructure. To this end it is said that the company has been working on new ways to sell support services in order to increase their overall spending.
Last month, Microsoft reorganized several silent teams working on their cloud research units, businesses and artificial intelligence. The objective of this measure was to consolidate some of the business units of Cloud Computing Company under a new AI-Cloud Platform, covering Azure Search, Azure Machine Learning, Microsoft Bot Framework, R Server and equipment and Algorithms The science solution of data.