Microsoft announced a major reorganization this morning, which is aiming to create a more unified and hollistic approach to product develoment.

Naming Julie Larson-Green, previously head of Windows products, as head of a new division called "Devices and Studios Engineering Group." The New division, under Larsen-Green will "take responsibility for our studios experience including all games, music, video and other entertainment."

"We are rallying behind a single strategy as one company - not a collection of divisional strategies," CEO Steve Ballmer wrote in an employee memo this morning,

"Although we will deliver multiple devices and services to execute and monetize the strategy, the single core strategy will drive us to set shared goals for everything we do."

Microsoft has experenced some serious shake-ups in the last month. After a public relations bomb at E3 forced Microsoft to change is DRM policies for the Xbox One. Then in a curious move, former face of Xbox One, Don Mattrick, left Microsoft to join the long-suffering Zynga.

Speculations abound, but it's clear that to make consoles profitable companies are moving from gaming machines to entertainment machines featureing movies and video call integration. This is just a sign of the times.

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[Via Microsoft]