HOME     MENU     SEARCH     NEWSLETTER    
NEWS & INFORMATION FOR TECHNOLOGY PURCHASERS. UPDATED 4 MINUTES AGO.
You are here: Home / Microsoft/Windows / Why Microsoft Chose Nadella for CEO
Build Apps 5x Faster
For Half the Cost Enterprise Cloud Computing
On Force.com
Why Microsoft's New CEO Satya Nadella Is Smart Bet
Why Microsoft's New CEO Satya Nadella Is Smart Bet
By Jennifer LeClaire / NewsFactor Network Like this on Facebook Tweet this Link thison Linkedin Link this on Google Plus
PUBLISHED:
FEBRUARY
04
2014

After a highly-anticipated executive search, Microsoft has picked insider Satya Nadella as CEO. He becomes the software giant’s third-ever CEO.

Microsoft also announced that company co-founder Bill Gates, previously Chairman of the Board of Directors, will assume a new role on the board as "Founder and Technology Advisor," and will devote more time to the company, supporting Nadella in shaping technology and product direction. John Thompson will assume the role of chairman as well as continue in his current role as lead independent director for the board.

Nadella, who previously served as the senior vice president of Research and Development for Microsoft’s Online Services Division, said he is both honored and humbled to succeed Bill Gates and Steve Ballmer as the third CEO of Microsoft. The India native joined Microsoft 22 year ago, the company said, because he saw how clearly it empowers people to do magical things and ultimately make the world a better place.

“Our industry does not respect tradition -- it only respects innovation,” Nadella said. “The opportunity ahead for Microsoft is vast, but to seize it, we must move faster, focus and continue to transform. I see a big part of my job as accelerating our ability to bring innovative products to our customers more quickly.”

Changing the World

Nadella started his career as a member of the technology staff at Sun Microsystems. In 1992, he joined Microsoft. He was on his way to getting a master’s degree in business when the Microsoft job offer came. The company was building an operating system that ultimately would be known as Windows NT, and needed team members who understood UNIX and 32-bit operating systems, he said. Nadella wanted to complete his master’s degree and take the Microsoft job. He did both.

Nadella came to Microsoft, he told employees in an e-mail, “for the same reason I think most people join Microsoft -- to change the world through technology that empowers people to do amazing things. Many companies aspire to change the world. But very few have all the elements required: talent, resources and perseverance. Microsoft has proven that it has all three in abundance.”

We caught up with Rob Enderle, principal analyst at The Enderle Group, to get his take on the Nadella pick. Nadella was one of two people he was predicting would be the next to sit in Microsoft’s CEO seat. The other was Qui Lu, executive vice president of Microsoft’s Applications and Services Group.

No Triage Needed

“Given how well the server division has done and his cloud responsibilities, clearly the board feels Nadella is the best choice. So that rewards good work,” Enderle said. “It picks and tries to expand on success and will better assure that success than any other path.”

Enderle noted that Microsoft is doing well financially -- on paper the company is a money machine. For that reason, he said, bringing in someone from the outside risks blowing up the machine because the outsider would have to learn everything -- the culture, the various businesses -- in a mammoth company.

“Starting somebody from scratch like you would if Microsoft was a catastrophe company would lead to a triage situation -- and if you triage a healthy patient, you may kill them. A company that needs a turnaround is dying anyway so you will take that risk,” Enderle said.

“But Microsoft is not in that position, so why take the risk that the new person would kill it when you don’t have to? Instead you look internally and find a known quantity that understands the company and then you bet that they can expand their breadth to do the parts that aren’t within their area of competence,” he added.

Tell Us What You Think
Comment:

Name:

Like Us on FacebookFollow Us on Twitter
TOP STORIES NOW
MAY INTEREST YOU
Salesforce.com is the market and technology leader in Software-as-a-Service. Its award-winning CRM solution helps 82,400 customers worldwide manage and share business information over the Internet. Experience CRM success. Click here for a FREE 30-day trial.
MORE IN MICROSOFT/WINDOWS
Product Information and Resources for Technology You Can Use To Boost Your Business

NETWORK SECURITY SPOTLIGHT
An easily avoided security lapse -- failure to use two-factor authentication on a single server -- is being blamed for the massive computer breach that hit JPMorgan Chase this past summer.

ENTERPRISE HARDWARE SPOTLIGHT
Flying under the radar just before Christmas, HP has launched a new version of its Chromebook 14, most notable for its touch screen and full high-definition display, plus more powerful specs.

MOBILE TECHNOLOGY SPOTLIGHT
The Rockstar Consortium backed by Apple, Microsoft, BlackBerry, Sony and Ericsson, just sold the smartphone patents it was holding to the RPX Clearinghouse for $900M.
© Copyright 2014 NewsFactor Network, Inc. All rights reserved. Member of Accuserve Ad Network.