After years as CEO of Microsoft, one of the leading software and tech companies in the world today, Steve Ballmer is going out but without any retirement package. According to the company’s regulations, no severance pay or retirement package is going to be offered to all outgoing executives. However, Ballmer, even without the separation pay, will still be on the list of the richest people, not only in the United States, but in the whole world.
Still at the top
Steve Ballmer joined Microsoft in 1980 and was among the first employees of the company. He met Microsoft founder Bill Gates in Harvard in 1973 and that was where their good partnership started. In 2000, Ballmer succeeded Bill Gates and took the reins of power, running one of the most respected tech companies today. With the birth of Microsoft, technological advancements were provided to the public and now it is an undisputed leader in the field. As far as market value is concerned, Microsoft has dominated the field and took the top spot.
How much is Ballmer worth?
The market value of the company soared in its early years of operations, and shares of stockholders also benefited. Steve Ballmer owns approximately 333 million shares of the company. This amounts to only 4% of the overall stake of Microsoft and yet Ballmer has about $11.5 billion in total. Based on accurate research by Forbes Magazine, Ballmer is currently the 22nd richest man in the United States. In the world, Ballmer is on the 51st spot on the list of billionaires.
Ballmer’s gusty move
Since Mr. Ballmer took over as CEO, Microsoft was able to double its profits and increase revenues three-fold. However, in more recent years, Microsoft’s sales and performance became stagnant. In order to provide long lasting solutions, Steve Ballmer went for restructuring. Ballmer commented that it would be best to undergo this type of transition considering the situation and the timing of events. He also added that the company needed a CEO that would have ample time to put the company in a new direction.
The mobile race
Microsoft has been criticized by many for its rather slow response in terms of providing services and products for the mobile industry. Even though majority of PC users still prefer Windows software as their platform, Microsoft has been very aloof in the fast rising mobile industry where Apple and Google have thrived and flourished. This problem was addressed by Ballmer in his memo to the company staff about developing the capability to react swiftly to changing market needs. In an analysis by Andrew Bartels of Forrester Research, Mr. Ballmer was definitely caught off-guard in the recent shift of consumers preferring mobile devices however, Ballmer’s Bing and Xbox triumph should never be overlooked.
Passing the torch
The selection process for the next Microsoft CEO will be done by a special committee specially created for the purpose of identifying the perfect candidate to replace Ballmer. Microsoft founder Bill Gates will be part of the selection committee. Gates will oversee the whole process.
Photo Credit: Steve Ballmer
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