It wasn't that long ago that Stephen Elop appeared to be on the shortlist to become Microsoft's next CEO, but the former head of Nokia is now set to leave the company altogether. That move was announced today by Microsoft CEO Satya Nadella as he detailed a set of broader changes at the end of the company's fiscal year.

In a memo to employees, Nadella said, "Stephen and I have agreed that now is the right time for him to retire from Microsoft," adding, "I regret the loss of leadership that this represents, and look forward to seeing where his next destination will be."

Not mentioned in the memo, however, is the name "Nokia," which Microsoft acquired just over a year ago for more than $7 billion, bringing Elop into the fold in what seemed at the time to be a more concerted push into mobile devices.

Another big change in the reorganization involves current Microsoft exec Terry Myerson, who will now be charged with leading a new "Windows and Devices Group," which will combine the current Operating Systems Group and Microsoft Devices Group and be responsible for both the Windows ecosystem and devices like Surface, Hololens and Xbox.

In a statement, Nadella said, "we are aligning our engineering efforts and capabilities to deliver on our strategy and, in particular, our three core ambitions," adding, "this change will enable us to deliver better products and services that our customers love at a more rapid pace."