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Thursday, June 22, 2006

Top Microsoft exec heading Google challenge leaves company - Jun. 21, 2006:
"...SAN FRANCISCO (Reuters) - Microsoft said Tuesday the executive leading the world's largest software maker's marketing strategy to challenge rival Google has left the company, at a time when Microsoft struggles to solidify new sources of revenue growth.

Microsoft did not detail why Martin Taylor left the world's biggest software maker after the 13-year company veteran was appointed in March to lead marketing efforts for Windows Live.

Microsoft's suite of Windows Live services, which includes e-mail, search, mapping and social networking, aims to unite the company's various Web programs under a unified brand and look so it can better compete against Yahoo (Charts) and Google (Charts) in the fast-growing online advertising market.

The move by Taylor also comes as Microsoft, whose Windows operating system runs an estimated 90 percent of the world's personal computers, struggles to find new sources of growth in a software market that is rapidly evolving.

"Advertising is a key component that didn't exist before," said Tim Bajarin, analyst at market research firm Creative Strategies. "Subscriptions are a key component that didn't exist before."

Taylor's departure follows the decision announced last week by Microsoft's co-founder and the world's richest man Bill Gates that over the next two years he would ease out of a day-to-day role at the company to focus more on philanthropy.

Gates, who also stepped down last week as chief software architect for Microsoft, passed the technical mantle to Ray Ozzie. Ozzie joined the software maker last year and is at the heart of its push to maintain its dominance by transforming software into services that generate an ongoing stream of revenue instead of just a one-time sale.

"The fact is that with Ray Ozzie as chief software architect he probably wants to have his own team of people around him," Bajarin said. "In a lot of cases, people from the past don't fit in."..."

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