Microsoft is consolidating its Windows engineering teams under a single organizational structure in a major reorganization announced today. The move brings key teams responsible for Windows client and server development back together under one leadership umbrella, marking the first significant structural change to the Windows division since Pavan Davuluri was promoted to president of Windows and Devices earlier this month. In an internal memo shared with The Verge, Davuluri explained that the reorg unifies the engineering work across Windows, stating, “This change unifies Windows engineering work under a single organization.” He emphasized that combining the teams working on Core OS, Data Intelligence and Fundamentals, Security, and Engineering Systems under his leadership will improve focus and alignment around Microsoft’s strategic priorities. This shift reverses a structural split that began in 2018, when former Windows chief Terry Myerson left the company. At that time, the core Windows platform team was moved to Microsoft’s Azure division, while client-focused Windows development was placed under a new Experiences & Devices group. Although former Windows and Surface chief Panos Panay later reclaimed some foundational teams in 2020, the engineering teams responsible for building the core Windows operating system remained largely separate from those shipping products like Windows 11. Now, most of the engineering work for Windows is centralized under Davuluri. While some lower-level components—such as storage, networking, and security—will continue to be supported by the Azure organization, the majority of Windows development is returning to a unified leadership structure. Davuluri noted that collaboration with Azure will continue in key areas, including kernel and virtualization technologies, Linux integration, and support for Windows Subsystem for Linux (WSL), which are essential for silicon enablement and client-side functionality. The reorganization comes at a pivotal moment as Microsoft pushes to transform Windows into an “Agentic OS”—an intelligent, AI-driven operating system that can act on users’ behalf. The company has already launched the Windows AI Labs program to test experimental AI features in Windows 11 and has rolled out several AI-powered tools, including Copilot Vision and an AI-powered Settings agent. With this new structure, Davuluri now holds broader responsibility for shaping the future of Windows, particularly as Microsoft integrates AI deeply into the core of the operating system. The move signals a renewed focus on unifying Windows development, improving execution, and accelerating innovation in a competitive landscape where AI is reshaping the future of computing.