This decision is part of Satya Nadella’s reorg plan which started with Stephen Elop leaving the company last month. While Panay’s new title is not yet known, he will be be heading the engineering division of Microsoft’s premium devices which includes Surface, Xbox, Microsoft Band, Windows Phone, Surface Hub and HoloLens. Panay will be responsible for design and engineering but not finance or supply chain management handled by Elop
Mary Jo Foley further notes at ZDNet that the consolidation efforts extend to software as well. Microsoft intends to closely align Outlook, SharePoint, OneDrive and Exchange teams along with Office365 and Yammer units going forward.