The head of Microsoft's German subsidiary, one of the group's largest, has thrown in the towel over differences with the U.S. headquarters.

Jürgen Gallmann, CEO of Microsoft Deutschland and vice president of Europe, Middle East and Africa (EMEA), resigned Friday and will be replaced immediately by Klaus Holse Andersen, current vice president Microsoft Business Solutions and Small and Midmarkt Solutions & Partner Group, Microsoft said.

Anderson will report directly to Jean-Philippe Courtois, president of Microsoft International.

Gallmann asked to be released from his contract due to differences in views about the future strategy of Microsoft Germany, the company said.

German newspapers, including Financial Times Deutschland and Frankfurter Allgemeine Zeitung, have obtained a copy of an email sent by Gallmann to Microsoft's German employees in which the executive complained of the group's world headquarters in Redmond, Washington, imposing increasing restrictions on the German operations and showing little interest in local requirements.

A spokesman for the German subsidiary declined to comment.

A former manager with IBM, Gallmann joined Microsoft in 2002 and, in addition to his German and EMEA responsibilities, also became a member of the Senior Leadership Team of the Sales, Marketing and Services Group (SMSG).

Under his direction, the German subsidiary increased its workforce from around 1,500 to more than 2,000.

The IDG News Service is a Network World affiliate.