Dive Brief:
- Microsoft is set to begin a review of its $1.3 billion marketing business in order to find a holding-company solution.
- Incumbent agencies WPP and Publicis will be included, and Interpublic Group is rumored to be involved, as well.
- The review follows the departure of CEO Steve Ballmer, who has yet to be replaced.
Dive Insight:
It seems Microsoft is turning away from from a policy set last year requiring agencies to bid on a per-project basis. That move likely knocked out any smaller agencies that could have had a chance to work with Microsoft and now only leaves bigger players like WPP and Publicis to handle a bigger piece of the marketing pie. Since the creation of the single centralized marketing group, it makes sense that the group would want to deal with as few agencies as possible.