Nadella's Microsoft Has a Far-Out Vision

“He said right away, ‘This is something that we’re going to do,’ ” Mr. Holmdahl said. “We are going to create a new product category, and this is the type of thing that Microsoft should be working on.”

That response says a lot about the reshaped Microsoft Mr. Nadella envisions — one with fewer internal fiefs and with more willingness to favor big bets on new technologies over protecting legacy cash cows.

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