I haven't had success switching teams at all. I had a few that wanted to still interview me. I had a vp say he won't let me switch. The only time I ever switched teams, I had that decision made for me, worked out fortunately.
Having another internal team still want to do a technical interview was ridiculous to hear though.
I have a friend at Microsoft that decided to switch teams. He absolutely regretted it. This isn't to say Microsoft is bad (he had plenty of good things to say about it) but he said that switching teams gets really messy. The people on the previous team feel betrayed, the people on the new team feel like you are an opportunist, and unless you are running away from a specific department manager there is likely going to be very little change between the teams. He also complained that he feels like he started a new job, is starting on the bottom of the new team, but without the benefits of new job title or salary.
He regretted switching to the new team, when he expressed his disastisfaction to the new team manager the team manager felt like he simply wasn't a good fit and transferred him to a third team. Now he is the guy who has been on 3 teams in 6 months and he feels all the same problems as before, but with the label of being a "team switcher" whenever something doesn't go right.
Over Christmas he told me he plans to start applying for new jobs outside of the company at the start of the year.
As a manager, I have personally moved employees from other teams to my team twice and neither time did it work out well. There is often a reason that the previous team wasn't working out. Many people see switching teams as an easy and secure way to get a new job. But it is a lateral move and not a job switch. I haven't seen it work out well in either of the two times I have allowed it. Both employees lasted less than 6 months after switching teams.
A lot of this comes down to company culture and size. In some companies it's completely expected and even encouraged to switch teams. In others you're treated basically like an external hire.
This is almost as bad as those folks who have to interview for their own jobs...usually during lay offs, or in the midst of big organizational changes. Maybe on paper some of these ideas seem ok, but it really is either silly or humiliating or both.
EDIT: To clarify, I'm referring here to folks who are already employed at some firm, and that same firm is asking them to interview (again) for their existing job, or a new job that is almost identical to the legacy job...all within the same firm.
Having another internal team still want to do a technical interview was ridiculous to hear though.