Bill Gates, founder of Microsoft, a software company has been told to step down from his position as the Chairman of Microsoft. He founded Microsoft about 38 years ago and owns 4.5% of the total $277 billion of the company.
Investors telling Gates to step down is actually the first time such thing will ever happen in Microsoft, but these investors have earlier pressurised Ballmer the present CEO to improve the company’s performance and share price.
Three out of 20 investors of Microsoft are behind the push of Microsoft’s chairman to step down. But there is no indication that Microsoft’s board is ready to heed the wishes of the three investors who collectively hold more than 5 percent of the company’s stock, according to the sources.
The investors are concerned that Gates’ roles as chairman blocks the adoption of new strategies and this would limit the power of the incoming chief executive. Especially, his role in on the special committee who are in search of the CEO’s successor.
This issue of Bill Gates stepping down has caused mixed reactions among shareholders and individuals. Below are some of the views of the shareholders;
“This is long overdue,” said Todd Lowenstein, a portfolio manager at HighMark Capital Management, which owns Microsoft shares. “Replacing the old guard with some fresh eyes can provide the oxygen needed to properly evaluate their corporate strategy.”
Kim Caughey Forrest, senior analyst at Fort Pitt Capital Group, suggested now was not the time for Microsoft to ditch Gates, and that he could even play a larger role.
These are some of the views of individuals;
“Microsoft will always need an iconic leader like Mr. Gates. Moreover the company is taking steps (acquisition of Nokia) to regain it’s lost ground,” said by Rohit Akiwatkar.
RG, from India also commented that, “It true from Investors side to demand more for exponential growth of Company, but Mr. Gates can also be a part of solution. A man who can build an empire, he can run also.”
Some say that Gates has been one of the greatest investors in the the technology industry, but the investors believe that Gates will function better as the chief executive of Microsoft.
Although Microsoft is one the largest company in the technology world and was able to make about $22 billion profit from last fiscal year. But its under pressure due to the decline in personal computers in replacement with smartphones and tablets by consumers