Microsoft names Judson Althoff CEO of its commercial business as Nadella zeroes in on AI

Microsoft has elevated longtime sales chief Judson Althoff to CEO of its commercial business, a newly framed role that pulls sales, marketing, and operations under one leader. The move frees CEO Satya Nadella to focus more directly on datacenter build-out, systems architecture, AI research, and product innovation.

In an internal memo published on the company blog, Nadella said Althoff will lead a new commercial leadership team and that CMO Takeshi Numoto will report to Althoff while continuing a dotted-line to Nadella for corporate brand, planning, and consumer marketing. Microsoft’s operations group is also shifting to report to Althoff; EVP & COO Carolina Dybeck Happe will keep reporting to Nadella while partnering closely with Althoff.

Why it matters: This consolidates Microsoft’s go-to-market engine under a single executive as the company spends heavily on AI and Copilot, aiming to tighten the loop between customer needs and product delivery—while keeping engineering leadership separate from Althoff’s remit.

The promotion follows years of Althoff leading MCAPS (Microsoft Customer and Partner Solutions), which Nadella called the company’s “most important growth engine.” Multiple outlets characterize the shake-up as a bid to accelerate AI initiatives, not a succession plan.