Microsoft said to again reorganize marketing operations; may include hundreds of job cuts

“Microsoft Corp. is making plans for a companywide restructuring of its marketing operations, a move that may include hundreds of job cuts, according to people familiar with the matter,” Dina Bass reports for Bloomberg. “The plans haven’t been settled and could change, according to the people, who asked not to be named because the review isn’t public… Initial steps could be announced within the next 30 days, according to one person.”

Bass reports, “The changes would eliminate overlap in job responsibilities and are designed to help the company better respond to threats from Apple Inc., Google Inc. and Amazon.com Inc., which are increasingly targeting Microsoft’s corporate-computing customers. Microsoft Chief Executive Officer Steve Ballmer doesn’t think the company is getting enough return on the billions it spends annually on marketing, the people said.”

“Consumer-focused technology companies like Apple are making inroads in the business world, forcing the information- technology industry to regroup. Apple will sell $10 billion worth of iPads and $9 billion of Mac computers to corporate customers this year, a 58 percent jump, Forrester Research Inc. said in a report last week,” Bass reports. “Microsoft announced its first-ever companywide firings in January 2009, a move that included more than 5,000 jobs by the time it concluded.”

Read more in the full article here.

Captain Steve Ballmer

MacDailyNews Take: Time for Microsoft’s annual “reorganization.”

We can hear Balmy now:

I don’t like our strategy. I don’t like our strategy a lot.

Rearrange the deck chairs again!

[Thanks to MacDailyNews Readers “Fred Mertz” and “Bev M.” for the heads up.]

Related articles:
Ballmer rearranges the deck chairs again; seeks to get engineers into executive ranks – February 8, 2011
Microsoft CEO Steve Ballmer’s answer to Apple’s revolutionary iPad: Clueless gobbledygook – August 2, 2010
Microsoft rearranges the deck chairs again; reorgs cellphone, games division – May 25, 2010
Microsoft rearranges the deck chairs – February 15, 2008
Microsoft announces sweeping reorganization – September 20, 2005

25 Comments

  1. Ding, ding, ding goes the ahop’s alarm bells.

    “Captain, sir, we’ve struck an iceberg. It’s ripped a gash 90′ long along the side of the hull below the waterline! We’re taking in water at an enormous rate. Shall I close the watertight doors?”

    Captain Ballmerooney: “No need for that. Steady as she goes. Just dump a few pursers off the side of tthe ship to lighten it. We don’t need those bozos.”

    “Aye, aye, sir. You there! Off the deck!”

  2. M$ has major technology problems, e.g., lousy phone and tablet OS, lousy phone, declining market share in corporate and consumer desktop, laptop, and ultra book OS. So naturally the solution is a marketing problem. Go Stevie! Go! 🙂

  3. “Microsoft Chief Executive Officer Steve Ballmer doesn’t think the company is getting enough return on the billions it spends annually on marketing, the people said.”

    If your products are useless, no amount of marketing will help.

    1. Exactly–this is why haters who say Apple’s success is 100% marketing are morons. Marketing is like a resume–if it’s good, it gets you in the door for an interview. The initial impressions and hands-on testing of a product are the interview and 3-month probation. And if it turns out a product sucks, or is too much a hassle, it’s fired (or, it’s kept around only long enough to get the user to the replacement product).

    2. Totally agree, kenh and rastamouse, no amount of marketing is going to improve the sales of now substandard products. MS, RIM etc will continue to die until they realize this. MS would better spend their money on a total rewrite of their software and forget marketing and even research. They should give up thinking that Apple is out to get them; Apple’s focus is the customer and innovative products. I bet if you asked Cook what he thought of Microsoft, he’d say, “Who?”

  4. Microsoft doesn’t get it, and this is proof. They focus should be on products, not marketing. A car dealership could have the best sales campaign of all time, but it would do no good if they were selling Trabants. Once again, Microsoft is focusing on their core incompentency.

    Microsoft is not a software manufacturer so much as it is a sales and acquisition company that happens to make software on the side.

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