Microsoft to step up 'Net moves

[notiCIas]

Report: Microsoft to step up 'Net moves

Gates says software giant to focus on software, services for fast-growing Internet market: paper.

November 9, 2005: 6:09 AM EST

NEW YORK (CNN/Money) - Microsoft Chairman Bill Gates has advocated major changes for his company in light of recent successes by Internet competitors like Google, according to a news report Wednesday.

In an e-mail to top Microsoft (Research) executives, Gates said the company must adapt to the new wave of money-making technologies on the Internet, including advertising and subscription content, The Wall Street Journal reported, citing a company memo.

The bulk of Gates' message was a memo from Microsoft's chief technology officer, Ray Ozzie, who acknowledged major advances from companies like Google (Research), Salesforce.com (Research), and Skype Technologies, the newspaper said.

Ozzie encouraged each of Microsoft's three main business divisions to design a strategy for online offerings, and said he would appoint new executives in each division.