Microsoft’s New Agentic OS Sparks Major Windows Overhaul

▼ Summary
– Microsoft is reuniting the core Windows engineering teams under the Windows organization after they were split in 2018.
– This change brings the Windows client and server teams together under one roof to focus on unified priorities.
– The restructuring aims to help Microsoft deliver its vision of Windows as an AI-powered “Agentic OS” that can perform tasks for users.
– Some low-level teams, including those for the kernel, virtualization, and Linux, will remain under the Azure organization.
– The move positions Windows to capitalize on AI advancements and become a platform for future AI experiences.
A significant internal reorganization at Microsoft is set to reshape the future of its flagship operating system. In a recent company memo, Pavan Davuluri, who leads both Windows and Surface divisions, revealed that the teams responsible for Windows’ core components are being reunited under the Windows organization. This marks a reversal of the 2018 decision that split these fundamental engineering groups away from Windows and placed them under the Azure cloud division.
For years, this separation meant that the teams building the underlying architecture of Windows operated separately from those designing user-facing features and experiences. Davuluri explained that bringing the Windows client and server teams back together under one leadership structure will create greater alignment. This change unifies Windows engineering work under a single organization and focuses efforts on delivering against our key priorities, he stated in the internal communication.
This consolidation arrives as Microsoft charts an ambitious new course for Windows, envisioning it as an agentic operating system. The company aims to transform Windows into an AI-powered platform where voice commands become as fundamental as traditional mouse and keyboard inputs. An agentic OS would proactively assist users by performing tasks autonomously, essentially acting on their behalf. Davuluri directly connected the organizational shift to this strategic vision, noting it will help Microsoft deliver our vision of Windows as an Agentic OS.
Not every team is returning to the Windows fold, however. Certain specialized groups working on core kernel development, virtualization technologies, and Linux integration will remain within Azure Core. These teams will continue providing essential foundational support for client scenarios, hardware silicon enablement, and the Windows Subsystem for Linux (WSL). This arrangement maintains crucial technical dependencies between Windows and Azure while centralizing primary development efforts.
With Davuluri now overseeing the majority of Windows engineering and development, the company appears positioned to accelerate innovation. In today’s rapidly advancing AI landscape, the potential of an agentic operating system represents a transformative opportunity. Microsoft seems determined to position Windows as the premier platform for next-generation artificial intelligence experiences, leveraging this reorganization to streamline development and capitalize on emerging technologies.
(Source: Windows Central)