Microsoft Reorganization Official, Splits Xbox One OS And Hardware

Game Informer - As we suspected earlier this morning, Microsoft has made its reorganization official. CEO Steve Ballmer has sent an email to staff titled "One Microsoft," in which he details the new way the business will be operated.

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ala_7671717d ago

Microsoft is going through a hard day!

Cam9771717d ago (Edited 1717d ago )

Yes they are, I wonder how this'll play out later on when the ONE launches. However, this may be good for them, the article, however, states it won't.

Letros1717d ago (Edited 1717d ago )

@Cam977 "can someone explain what this reorganization means"

MS has had issues in the past with teams working and communicating together, this reorganization is focusing on a structure within to alleviate that, and harmonize their product teams instead of pointing guns at one another. It's actually a good day for MS as a whole, don't mind the ignorant trolls.

On top of that check out the Lumia 1020, big day for Nokia as well.

DiRtY1717d ago

It is nonsense.

MS is restructuring the company and they are doing this on a pretty high level.

The shares are actually up 1.35% today.

dedicatedtogamers1717d ago (Edited 1717d ago )

Hopefully this will allow faster development for games and a bigger focus on core games.

The downside is that the two people in charge of Xbox have virtually no gaming experience. Julie-Larson Greene formerly headed up the Windows Division and now she's in charge of hardware (Xbox One, 360, Surface, etc). And she's also in charge of all games, music, video, basically all multimedia on those devices. The other guy is Terry Myerson who is in charge of OSs (and I'm assuming the X1 OSs, too)

So instead of a dedicated Xbox boss who reports directly to Ballmer, we have an "all in one" division that covers games, music, movies, hardware, TV, etc.

mewhy321717d ago

Well I feel like this was going to happen even before the big xbone debacle. I agree that change can be good and bad at the same time. It was clear that they needed a change when they tried the DRM thing. That clearly showed that they had no idea what their customer base really wanted. Also the heavy incorporation of tv into the xbone shows that they still don't really understand what their customers want. Change will be good and hopefully get them back on track.

jimbobwahey1717d ago

Nice, the lady responsible for running Windows into the ground and absolutely zero background in the gaming business is now in charge of the Xbox brand.

This is going to suck for Xbox One fans but oh well.

Godmars2901717d ago

Given MS's reported history, pointing guns at each other has been SOP almost day one. Hard to believe that that's going to change easily, or that its really going to effect how they conduct themselves outside the company. That they aren't still migrating from a product to a service based business model, which really doesn't provide that much service. Wants and expects to make a profit from every service they can provide.

torchic1717d ago (Edited 1717d ago )


having the Xbox Hardware & Software divisions split is actually a very good idea.

because now the hardware team can design hardware which they think will define the future SEPERATE from the software team, who will also design OS and features which are core to what they think is important to the needs of the present and future.

then after the intial design stages the two teams will converge and simultaneously shape the next Xbox.

this is much different to what most probably happened to the Xbox One

Xbox One was IMO the result of the software people dictating the direction of the console leaving the hardware team to build their ideas around those.

it's essentially how Apple go about their business, and to a somewhat lesser extent how Mark Cerny designed the PS4.

Gasian1717d ago

@letros Off-Topic but does Nokia's new phone have earth devastating technologies or no?

Syntax-Error1716d ago

Not really a hard day, but a step in the right direction. With Steve Ballmer at the helm he will be able to readjust what Mattrick did before his departure. I think they will surprise everyone at the conference with the new revamped outlook.

badz1491716d ago

kinda ironic, no? the email was titled "One Microsoft" and the console is XBOX "One" but nothing about the console is even "One" to begin with!

the console is a 'TWO' because Kinect 2, which is a mandatory hardware is a separate device. since launch, there has never been 'One' synchronized explanation regarding their own policies as different people said different things and now even the ecosystem itself is separated between hardware and software. smh

miyamoto1716d ago (Edited 1716d ago )

Even in company reorganization Sony is being copied...One Sony says hi XD


Oh this is so entertaining. ROFL!

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warewolfSS1717d ago

It's business. It's a business. You know why there aren't any reports about all of Sonys internal doings. Because Xbox fanboys aren't lunatics, hellbent on hating a company.

Marked1717d ago

This has to be one of the more delusional statements this week. All fanboys are lunatics....same thing as a religious fanatic.

My friend you are as simple as a black and white cartoon ;)

Angeljuice1717d ago (Edited 1717d ago )


You're doing a pretty good job of proving otherwise!!

dp2774071717d ago

Whatever, when Sony had to sell some assets or do anything to restructure it was on here. People talk about Sony fanboys on this site and honestly I see more hate from Xbox guys just cause whoever you backed "lost" in the end doesnt mean you have to come in here and be idiots. I have all the systems but I stil like Playstation better but Its stupid too think I won't buy something just because Sony has a product out.

first1NFANTRY1717d ago

cry more loser. either deal with the change in wind or move along. this site was way worse during the 360 fanboy era back in 2006-2010.

funny how when the tables are turned the lil xbros all of a sudden are crying in every article about sony fanboys this and that. besides sony fanboys aren't the only ones displeased by M$'s attempt to screw the gamer.

don't cry because people won't side with your beloved monopolizing corporation.

ALLWRONG1717d ago (Edited 1717d ago )

"This has to be one of the more delusional statements this week."

This is N4G and his comment is spot on, get out of denial. Who you trying to fool on this site?

BlackTar1871717d ago

Warewolf the irony in your posts on the thread is almost suffocating

Kleptic1717d ago

"Xbox fanboys aren't lunatics" -An Xbox fanboy


"Terrorists aren't lunatics" -A Terrorist

S2Killinit1717d ago

why are you bringing up PS fans?

KwietStorm1716d ago

Internet newborn, you must be.

iamgoatman1716d ago


"this site was way worse during the 360 fanboy era back in 2006-2010."

Ha! Moving the goal posts again I see. This site was a Xbox fanboy haven in 2010 you say? Now that is funny.

Give it a month and you'll be saying back in 2012 this place was overrun with Sony haters. Give it a rest already.

Kryptix1716d ago

Sony did something similar splitting their entertainment and electronic divisions. The reason is because their electronic division (televisions, mp3 players, etc) was holding the entertainment division back. (Playstation, movies, music, etc) Any positive change is welcomed, people just don't like it when a company fails to deliver. Everything Microsoft did in the past few months have stuck with us, so it's not our fault that it's still fresh in our minds because it was really that bad. But if this helps Microsoft show they can do much better in the future, then that's a positive. It's funny how you say Xbox fanboys aren't lunatics and suggesting Sony fanboys are when really though...Microsoft fanboys are currently the most delusional bunch here with the cloud and not realizing Microsoft tried screwing them over in the past months. The reason they keep getting attacked is because they won't accept the truth.

oof461716d ago

I see a lot of pots and kettles in the house.

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Marked1717d ago

To me this sounds like layoffs pending. Well we see the console not doing as well....lets merge two departments and layoff employees in the confusion.

I would be paranoid to work for microsoft for the next few years.

warewolfSS1717d ago

Your a Sony fanboy, your paranoid already.

Marked1717d ago

What do I have to be paranoid for? I do most of my gaming on PC and I have no money invested in MS or Sony. The only thing I have to lose is respect for nitwits like yourself

JBSleek1717d ago

They are at record highs I think they will be fine.

Marked1717d ago


I hope so. When large corporate companies have investors to please. Employees and their families see the brunt of the burden.

I've worked for several companies that restructure a few months before closing satellite offices and trimming extra fat.

Death1717d ago

This is hardly a restructuring. The Entertainment and Devices Division has always included Xbox, Zune, and any other piece of hardware. If Surface is underperforming, it would make sense to include it with the same group as Xbox which generates a profit for the company. That is why EDD was created in the first place. Zune needed to have it's losses offset.

Microsoft was never a hardware company. They are evolving with the times to keep profitable. By selling hardware under the Microsoft brand they have more control over their vision instead of relying on partners to do it. Their goal is to have all hardware connected to make everything more seamless. This is a good fit for their strategy.

Syntax-Error1716d ago

Layoffs? For what? They aren't in financial trouble they are restructuring the company. Mattrick leaving left a few chinks in the armor. Plus they are doing damage control before it affects the brand

Cueil1716d ago

no... it's a bottom up approach... this puts leadership in direct control of every major area and will allow for units to move independently from each other while still moving towards the same goal... also we'll have a clearer picture on who's in charge of what and people who screw up will be easier to point out.

Rhythmattic1716d ago (Edited 1716d ago )

Mmmm.... this got me thinking...

I wonder what would've happened if Matrick was still there?

Would've his position be redefined and in effect result in him being demoted?

I wonder if Matrick saw this coming,
or MS held of until his departure
or if its just coincidence?

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MizTv1716d ago

It never ends with xboxone.......

jc485731716d ago

wow, they should've done that years ago.

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bligmerk1716d ago

Split the OS from the hardware, hahaha, good one, right at the time XBone uses a Windows 8 kernel and Xbox GameOS running as virtual machines tied together by the hypervisor. Which just happens to need 3GB of dedicated RAM space compared to the PS4 just-one GameOS needing 1GB of dedicated RAM space. Oh, this just gets better and better, lol!

showtimefolks1716d ago

hopefully this will mean better communication with their consumer and end result being better products overall

CommonSense1716d ago

How does this translate to a "hard day?"

you people are such idiots. really.

you want to hate MS so much that you will find fault in literally anything they do. it's incredibly childish.

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ShadowGhost1717d ago

Didn't Kaz Hirai name his restructuring Sony one? Looks like Ms just loves using word one, lol. Still good for Ms though.

Animal Mutha 761717d ago (Edited 1717d ago )

Wait for it......

Doom, Doom its all Doom I tell ya!

fossilfern1717d ago

With this woman what are the chances she will make Kinect optional and drop the price?

JBSleek1717d ago

No one would do it. There is no price drop and there will not be a Kinect optional sku.

negative1717d ago

And it shouldn't be.

The new Kinect is an core piece of the new XBox OS. Plus many many more developers will not utilize it due to that fact.

fossilfern1716d ago

It didn't stop MS from making the hard-drive in the 360 optional, which was stupid if you ask me. But Kinect is NOT a vital.

Syntax-Error1716d ago (Edited 1716d ago )

@Fossilfern, unless you helped build the dont know jack about it. Just because they did one thing before doesn't mean that's in the new structure. Kinect is no longer a peripheral. It's not like they really care about having Kinect games to compete with the likes of Nintendo. They showed no real Kinect games at E3. Ever wonder why? Kinect was bought for the technology. Try thinking outside the damn box for a change. That technology has many possibilities for the future and that's why it's an integral part of the Xbox One's DNA

Thomper1716d ago

A snowballs chance in hell.

And rightly so. K2 looks cool to me