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Bob Muglia will be leaving Microsoft and his role as president of the Server and Tools division in mid-2011. The move leaves a gap at the top of the division that develops Windows Server, Microsoft's cloud services, and other important platform products. Other recent organization changes include the departure of the Windows client OS marketing leader and a promotion for the manager of the company's cloud infrastructure.

This article covers known changes at the level of corporate vice president and above since publication of the Dec. 2010 OrgChart.

Windows Server, Azure to Get New Leader

Bob Muglia will be leaving Microsoft and his role as president of the Server and Tools division in mid-2011. The division develops Windows Server, SQL Server, developer tools, the Windows Azure cloud platform, and Microsoft-hosted business services such as Exchange Online, as well as systems management and security products. (See the illustration "Server and Tools Division".)

Muglia has led Server and Tools since 2005 and saw it grow to US$15 billion in annual revenue. In announcing Muglia's departure, Steve Ballmer said that he has decided to put new leadership in place for the division and that Microsoft will begin conducting internal and external searches for a replacement. Since joining Microsoft in 1988, Muglia has been responsible for products across the company, including Windows NT, online services, developer tools, Office, and mobile devices.

Muglia will stay on until a replacement is found. His division faces important technical milestones in 2011, including the mid-2011 launch of the Office 365 Microsoft-hosted applications, which use technology developed in the division, and a series of major upgrades to the Windows Azure cloud platform. His replacement will have to confront the division's toughest business challenge: "leading with the cloud." As Microsoft encourages customers to move to services such as Office 365 and Windows Azure, it inevitably reduces demand for on-premises installations of Windows Server, SQL Server, and other infrastructure products that have enabled the division to show consistent revenue and profit growth until now.

Windows, Cloud, Consumer Changes

Brad Brooks has left Microsoft and his position as corporate vice president, Windows Consumer Marketing and Product Management. Brooks' departure comes at a tricky time for the Windows client OS business. The business faces growing competition from the Apple Macintosh, which substantially outgrew the PC market in the quarter ending Dec. 2010, and the iPad, which sold 7.3 million units in the quarter, roughly 7% of the PC market. Brooks will lead enterprise marketing for Juniper Networks, whose CEO Kevin Johnson managed a Microsoft unit that combined the Windows and consumer online businesses.

Dayne Sampson has been promoted to corporate vice president, Global Foundation Services. He formerly held the title of general manager for the unit. As before, he will manage the data centers and other infrastructure that serve Microsoft's external-facing online services, including search and hosted business services such as Office 365. Sampson came to Microsoft in 2009 from Yahoo, where he was vice president of operations and production engineering.