Microsoft Shuffles the MSN Deck

Microsoft announced a major restructuring of its Platforms and Services division on Friday, including the appointment of senior vice president Yusuf Mehdi as chief advertising strategist.

According to Microsoft materials, Mehdi’s new position will make him responsible for working with the leadership team to shape Microsoft’s strategy for the online advertising market, with a specific focus on integrating online ads into Microsoft’s Web-based Live software applications. Mehdi will report directly to Microsoft platform and services division co-president Kevin Johnson.

The reorganization also sets up a new Online Business Group, which will oversee ad sales, business development and marketing for the software maker’s Live, Windows and MSN products. The online business group will be led for the moment by David Cole, senior vice president of MSN and the Microsoft Personal Services Group. Cole has announced his departure from the company when a successor can be found.

Prior to his new role, Mehdi led the MSN information services engineering group, which drove Microsoft’s entry into the online search business, with its first algorithmic engine and the adCenter online advertising platform.