Philippe, a 46-year-old MP and mayor of the northern port of Le Havre, comes from the moderate wing of the rightwing Republicans party and is seen as a pragmatist.
His appointment was seen as a strategic move by 39-year- old Macron, a former minister in the outgoing Socialist government who is trying to woo modernisers of all stripes to his new centrist party, La Republique en Marche (Republic on the Move, REM).
Like Macron, Philippe is a product of France's elite ENA college for senior public servants and worked for a while in the private sector.
Relatively unknown outside his Le Havre fiefdom, he has already crossed the floor once in his career, defecting from the Socialists to the Republicans as a young politician.
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One of Macron's aides welcomed his appointment as "a good move", telling AFP it would help him "break the right".
The fervently pro-European Macron also said he would help rebuild the flagging European Union.
He heads to Berlin later today for talks with German Chancellor Angela Merkel on how Europe's power couple can drive reforms of the bloc.
Like Macron, France's new prime minister has little truck with the entrenched left-right divide.
After campaigning for Socialist prime minister Michel Rocard as a youth, he switched to the right, becoming a close ally of centre-right former prime minister Alain Juppe.
His first task will be to help Macron finalise his cabinet choices, to be announced on Tuesday.
France's new president has said he wants a mix of experience and new blood -- a balance he has attempted to achieve in his slate of candidates for the June 11-18 election.
Macron needs a parliamentary majority to push through his ambitious plans to loosen France's strict labour laws, boost entrepreneurship and reduce class sizes in tough neighbourhoods.
In his first speech as president yesterday, Macron promised to restore France's shattered self-confidence and help rebuild the flagging European Union.
He said he wanted to convince people that France was "at the dawn of an extraordinary renaissance" and that the world and Europe "need France now more than ever".
His visit to Merkel is in keeping with France's presidential tradition of making Berlin the first foreign port of call.