Microsoft Server and Tools boss Muglia given president title

Microsoft has promoted Bob Muglia, a long-serving executive, to president of the company's Server and Tools Business, a unit that has turned 25 consecutive quarters of double-digit growth. The promotion, announced Monday, makes Muglia one of four presidents at the company.

"The core of our success at Microsoft has always been great people — people who combine talent, drive, vision, customer focus and leadership," Microsoft CEO Steve Ballmer said in an e-mail announcing the promotion.

"... Few people at Microsoft embody these qualities more fully than Bob Muglia, and few people have contributed more to the company's success."

The Server and Tools Business is Microsoft's third act, after the extremely lucrative Windows and Office franchises. The business includes programming tools and software for the powerful server computers used by corporations and Internet sites.

It is commonly cited as an example of how the company was able to grow into a new market.

Ballmer commended Muglia's leadership and success in the effort.

"Bob has established Microsoft as the industry leader in providing great server products to companies of all sizes," Ballmer said in the e-mail. "... In the process, he has helped build a remarkably successful business that has grown from virtually nothing a decade ago to more than $13 billion in [Microsoft's last fiscal year]."

That's more than 20 percent of Microsoft's revenue, Ballmer noted.

Muglia's business is facing one of its most challenging periods, with corporations expected to trim spending in the down economy.

At the same time, he's helping oversee Windows Azure, a major pillar of Microsoft's cloud-computing efforts.

In the past, Muglia has taken on important yet unglamorous tasks at Microsoft, including leading a huge technical-documentation project required under the company's antitrust settlement.

He also has held positions in several other Microsoft businesses, including MSN, Office and Windows NT.

Muglia joined Microsoft in January 1988 and is a consummate IT guy, having installed a server room in his house to better familiarize himself with operations.

Muglia is one of four business organization presidents at Microsoft. The others are Robbie Bach, Entertainment and Devices Division; Stephen Elop, Microsoft Business Division; and Qi Lu, Online Services Group.

Benjamin J. Romano: 206-464-2149 or bromano@seattletimes.com

Information in this article, originally published January 6, 2009, was corrected January 6, 2009. A previous version of this story incorrectly stated Microsoft picks new server chief rather however, Microsoft picked the president for the Server and Tools unit.