Microsoft CEO Satya Nadella on Tuesday made headlines when he said during an earnings call that the company would “streamline” Windows into one operating system.

“We will streamline the next version of Windows from three operating systems into one single converged operating system for screens of all sizes,” he told investors.

So, no more separation between the Windows desktop OS and Windows Phone? The same experience across laptops, tablets, and phones? Not exactly. Later in the call, Nadella clarified that the streamlining was largely in reference to internal teams.

In recent years, “we actually did not have one Windows; we had multiple Windows operating systems inside of Microsoft,” Nadella said. “We had one for phone, one for tablets and PCs, one for Xbox, one for even embedded.”

“So now we have one team,” Nadella said, a move that actually
happened last year before he was named CEO. Under the “One Microsoft” strategy revealed by former chief Steve Ballmer, Terry Myerson was named executive vice president of the operating systems engineering group, which now covers “all our OS work for console, to mobile device, to PC, to back-end systems,” Ballmer said at the time.

Where you’ll probably see some merging, however, is on app sales. A “layered architecture” approach allows for “one store, one commerce system, one discoverability mechanism,” Nadella said yesterday. “It also allows us to scale the UI across all screen sizes; it allows us to create this notion of universal Windows apps and being coherent there.”

At this point, however, Microsoft is not changing its SKU strategy.

“We will have multiple SKUs for enterprises, we will have [one] for OEMs, we will have [one] for end-users,” he said. Streamlining the OS has “more to do with how we are bringing teams together to approach Windows as one ecosystem very differently than we ourselves have done in the past.”

Microsoft, meanwhile, reported an 18 percent growth in revenue, over the quarter, though profits dropped from $4.96 billion in 2013 to $4.61 billion this quarter. The results come as Redmond is moving ahead with a restructuring plan that expects layoffs of about 14 percent of its current employees.

For more, check out PCMag’s review of Microsoft Windows 8.1 Update (slideshow above) and Windows Phone 8.1.

Also watch PCMag Live in the video below, which discusses Microsoft’s changes.