Matt Bencke, General Manager for Developer and Marketplace, has been moved (within Microsoft) to the Xbox Live department. The move was announced internally at the end of last month, ZDNet learned from contacts within the company. Bencke had been in the role at Windows Phone since November 2010 (according to his LinkedIn profile - which has not been updated with his new Xbox position) and was part of the team that worked on Microsoft's partnership with Nokia.
Prior to his previous position, Bencke had been a General Manager on the Premium Mobile Experiences (the team responsible for the Kin). The reasons behind the shuffling are speculated to be either technology advancement or simply marketing. For technology, Microsoft is strongly believed to be making alterations to the engineering side of Windows, substituting components of the platform for Embedded Compact guts currently powering the Windows Phone OS. ZDNet notes that the software giant could make the change as early as mid-to-late fall 2012 with its "Apollo" Windows Phone release. On the other hand, it's hypothesised that Microsoft could be preparing to move the Windows Phone team under the Windows umbrella.
The move fits in with Andy Lees being replaced, which we reported on earlier this month. Whatever the outcome is, we're definitely going to see more fusion between Microsoft products.