Microsoft Overhauls 10,000-Strong Security Division Around AI, Replacing Top Executives and Cutting Costs

Microsoft is restructuring its roughly 10,000-person security organization around artificial intelligence, replacing a swath of senior leaders and trimming investment in products that generate less revenue. The overhaul is being led by Hayete Gallot, who joined as executive vice president of security in February 2026 from Google Cloud and reports directly to Chief Executive Satya Nadella.