Mere days after announcing a delay in the release of Windows Vista, Microsoft has massively reorganized its Platforms & Services Division (PSD), which will now be made up of eight groups. The idea, the company says, is to better align its Windows and MSN efforts with its new "Live strategy."

As part of the shakeup, Microsoft Office head Steven Sinofsky will now lead the Redmond company's Windows and Windows Live efforts, taking over development of future Windows releases. That effort was previously headed by Jim Allchin, who will be retiring next year.

Sinofsky is known for his tough management style, something Microsoft CEO Steve Ballmer seems more interested in promoting among company executives these days, say sources.

However, Sinofsky will not be granted free reign of the Windows division like Allchin had. Instead, he will report to Kevin Johnson, who was named co-president of the PSD last year. Sinofsky will also not take over the completion of Windows Vista; that role will be given to Brian Valentine.

Valentine, who also was the point man for getting Windows 2000 out the door, will specifically head up the Core Operating System Development (COSD). Microsoft's Security Business Unit will be integrated into COSD, with current SBU head Mike Nash taking a sabbatical from the company.

"My expectation is that the announcement is more coincidental to Tuesday's Windows Vista delay than a result of it; the Platform Products & Services Division is responsible for Windows. I presume this plan has been underway for some time," Jupiter Research senior analyst Joe Wilcox commented on the reorganization.

MSN Platform chief Blake Irving will logically oversee the Windows Live Platform Group, including the MSN to Windows Live transition and the development of Windows Live Search. The business side of Microsoft's online efforts will be managed by David Cole, who will head up the PSD's Online Business Group.

Mike Sievert will be put in charge of marketing the Windows client, including Vista. Will Poole, meanwhile, will lead a new Market Expansion Group focused on bringing Windows to new form factors. Poole's group will include the new Ultra-Mobile PC platform Microsoft announced earlier this month.

Bob Muglia, senior VP of the Server and Tools Business Group, and Sanjay Parthasarathy, corporate VP Developer and Platform Evangelism, will both retain their current roles.

"As we launch new Windows Live services and finalize Windows Vista, we're looking ahead to how we deliver the best possible experience for customers, now and into the future. Today we are enhancing the leadership team and structure across the division to ensure we have the right organization to support our technology vision," Johnson said in a statement.