Microsofts Server and Tools Rudder-less

While the division has been without Eric Rudder at the helm for the last several weeks, it has been and will be anything but rudderless.

Microsofts Server and Tools Division is now Rudder-less, but that does not mean it is without direction.

Microsoft on Thursday announced more fallout from its recent reorganization, this time naming company veteran Bob Muglia as the replacement to Eric Rudder as senior vice president of server and tools.

Rudder has received rave reviews from peers for having set the tone that many expect Muglia to follow for the division.

Last month, Microsoft CEO Steve Ballmer announced the reorganization of the company into three divisions and as part of the changes, announced that Rudder, who had been running the server and tools business, would leave that post to report directly to Microsoft chairman Bill Gates on setting the companys overall technical vision.

On Thursday, Microsoft announced that Muglia would take over servers and tools and report directly to Jim Allchin, co-president of the Platforms Products & Services Division at Microsoft.

Meanwhile, sources said upon hearing the news last month Rudders reaction was volatile despite his new position being viewed by many as possibly a period of preparation to succeed Gates in setting the companys technology vision down the road.

/zimages/1/28571.gifClick here to read more about Microsofts reorganization plan.

And while the division has been without Rudder at the helm for the last several weeks, it has been and will be anything but rudderless.

In a memo viewed by eWEEK that was distributed to the Server and Tools business unit Thursday, Platforms Products & Services Division co-presidents Allchin and Kevin Johnson wrote: "As you all know, Bob has been leading the Windows Server business for the last 2 years, with both business and development responsibility for Windows Server and our enterprise storage and management businesses.

"Bob is a 17-year Microsoft veteran, and has served in a variety of business and technical positions, including managing the development of MSN, Office, Windows Server, and Visual Studio. We are very fortunate to have the combination of Bobs rich Microsoft history and passion for customers and engineering excellence in this STB leadership position as part of the broader Platforms and Services Division."

Moreover, "The Server & Tools business (STB) has been, and will remain, a key contributor to Microsofts growth, the memo said.

"In FY05, you contributed $10 billion in revenue and 16 percent growth to the companys overall financial performance! With a strong STB innovation pipeline coming to market, we want to continue to build on that great momentum."

Next Page: Structural changes.