Pros
Microsoft is a cutting edge company that is not afraid to expand its horizons or move into new areas of software development. Largely the management staff treats employees fairly and takes the annual review seriously. Valid and reasonable attempts are made at constructive criticism with an emphasis on growth paths, including education. If you approach your manager that you would like to advance your career he or she will likely make an effort to find a path for your to succeed. If they feel that you are not ready yet, specific areas for improvement will be indicated so that you can work towards your goal.
Cons
Interviewing internally for a lateral job change can sometimes be a real challenge. Often groups are interested in you fitting a very specific description, failing to make allowance that when entering a new job one must learn a huge amount of job-specific information. Previous, specific job characteristics seem to carry a greater weight than your proven ability to adapt and succeed at a new position. While the company often touts that it makes a strong distinction between home and work life, it is sometimes not realistically reflected by your management team. All too often the "extra mile" is required from you in an on-going basis. Sure, you get the vacation you have earned, but the well known "vacation penalty" that you have to pay by catching up on work and email is sometimes staggering. Even though you get time off, you are treated with deadlines as if those days work days. This makes life difficult if you have a family.
