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Microsoft Appoints CEO Satya Nadella as Chairman of the Board

Microsoft Co., Ltd.

MSFT -0.38%

CEO Satya Nadella will also become chairman of the company, the company said Wednesday.

Nadella, 53, became CEO of Microsoft in 2014 and helped software companies recover their wealth by betting on the company’s strong-growing cloud computing business.

He turned Microsoft into the second largest company in the United States after Apple. Microsoft currently has a market value of over $ 1.9 trillion.

John W. Thompson, former chairman of Nadella, has returned to his position as chief of independent director from 2012 to 2014. He recently served as CEO of Virtual Instruments.

Nadella and Thompson are discussing the possibility of shifting chairmanship in late 2020, a company spokesman said, unrelated to Gates’ resignation from the board. Last year’s move was longtime rival Apple Inc. It has been one of the largest board departures in the tech industry since the death of co-founder Steve Jobs.

Gates gave up after deciding that a member of the board needed to resign because he pursued an investigation into Billionaire’s previous relationship with a female employee at Microsoft that was deemed inappropriate. .. The Wall Street Journal reported last month..

A Gates spokeswoman said “there was an incident that ended amicably almost 20 years ago,” and said his decision to leave the board was irrelevant. Gates intends to focus more on philanthropy when his departure is announced,

Berkshire Hathaway Co., Ltd.

Microsoft was one of the beneficiaries of a pandemic company as home-based consumers, workers, and students adopted many of its tools and cloud computing services became widespread. Sales linked to Microsoft’s Azure cloud service Last quarter increased by 50% year-on-year..

Total sales for the March quarter increased 19% to approximately $ 41.7 billion, and the company posted a profit of $ 15.5 billion.

The company’s video gaming business is also growing rapidly, with people trapped in their homes, but Surface laptop sales have skyrocketed over the months of telecommuting and distance learning.

Pandemics also enhance Microsoft’s Teams Workplace Collaboration Suite to offer competing capabilities such as:

Zoom video communication Co., Ltd.

And

Slack Technologies Co., Ltd.

Nadella Praised the team as important to Microsoft’s future, Acts as a hub for your company’s Word, Excel, and PowerPoint products.

According to Nadella, team usage has increased from 20 million active users before the November 2019 pandemic to more than 145 million active users.

The CEO says he currently expects to spend about 5% of GDP on technology. Continues to accelerate even after the pandemic has declined.. “It will double to 10% in the next 10 years,” he said earlier this year.

Nadella is increasingly stamping Microsoft, including through many high-profile acquisitions.

In April, Microsoft announced that it had agreed to acquire an artificial intelligence company.

Nuance Communications Co., Ltd.

For $ 16 billion, The latest in a series of blockbuster acquisitions for Mr Nadella. Shortly after Nadella took command, the company agreed to pay $ 2.5 billion to Minecraft video game owner Mojang AB. The company was a professional network Linked In Corp in 2016. Spent about $ 26 billion, following the $ 7.5 billion purchase of code collaboration site GitHub two years later. Last year, Nadella tried to get part of the short video app TikTok before the negotiations collapsed.

Write to Kimberly Chin kimberly.chin@wsj.com

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Microsoft Appoints CEO Satya Nadella as Chairman of the Board

Source link Microsoft Appoints CEO Satya Nadella as Chairman of the Board

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