The news was communicated to his staff on Tuesday, and Jadallah will spend the rest of this month "transitioning" out, he told Computer Reseller News, a sister publication to VARBusiness.
Jadallah's most recent title is vice president of worldwide enterprise sales. His direct reports, including Paul Bazley, who runs small and medium enterprises; Bryan Watson, who runs education; Eduardo Rosini, large enterprise; and Pete Conway, responsible for corporate account technical marketing, will now report directly to John Connors, vice president of the worldwide enterprise group.
Jadallah says he will join a Web start-up and remain in the Seattle area.
"There is a unique opportunity in the Internet; you can contribute inside and outside of Microsoft," he says. Jadallah stresses that the decision was a tough one and that he has a great relationship with Microsoft: "We've had a great relationship. . . . I love the company and this is a challenging decision."
Connors stressesd that Microsoft remains committed to its bevy of channel partners. "The bottom line for us [is] we've built [an] incredible franchise around the channel and it's integral to our success. We'll do everything we can to protect that asset."
He also acknowledges that Microsoft, with its incredible growth, will see some high-profile departures. "The way to look at it is the incredible success we've had in reaching a market cap of $400 billion is that individuals at young ages have some alternatives, and Sam, in particular, is interested in doing something ona smaller scale with a smaller business and is well-suited to do it. The timing was good for him to pursue something different."
Chris Peters, known as one of Microsoft chairman Bill Gates' favorites, and the former vice president of the Office Division, also has quit and is now pursuing his dream of becoming a professional bowler.
Jadallah's first job at the company was systems engineer out of Microsoft's then-tiny Washington, D.C., office. He is credited by many with building the company's formidable base of Solution Providers.
The company will continue to integrate its sales and channel marketing organizations. For the next few years, the company must ensure that its sales and channel strategies are linked "and, most importantly, we do a good job having channel partners prepared and skilled, and have them work closely with the geography sales organizations," Connors says.
The company already has brought the small, medium and large enterprise groups under one umbrella organization reporting to Connors, and that type of integration will continue, he says.
