Digital Journal — Once the iconic bespectacled face behind Microsoft, company chairman Bill Gates will soon hand the torch to a relative newbie when he transitions out of his daily duties at the technology behemoth.
Gates will remain the chairman and largest single shareholder of the company while also advising on key development projects. Beginning immediately, chief technical officer Ray Ozzie will take over as chief software architect and begin working with Gates on all technical and product oversight responsibilities, Microsoft said.
But will this seismic shift in personnel change how the company does business? Will Gates’ departure affect end users?
Undoubtedly, yes. Although Gates relinquished his CEO position to colleague Steve Ballmer six years ago, Gates always remained the heart of the company. He and Ballmer were relentless in their pursuit to have Microsoft dominate every market it entered, from enterprise software to video game consoles. A take-no-prisoners style made the company respected and feared, but also despised by the upstarts it quashed.
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From left to right: Microsoft Chairman Bill Gates, Chief Research and Strategy Officer Craig Mundie, Chief Software Architect Ray Ozzie and CEO Steve Ballmer. Gates recently announced his plans to transition out of a day-to-day role in Microsoft. |
As much as Microsoft influences the tech industry, it also relies on aging properties such as Windows and Office monopolies. It’s been forced to play catch-up to Internet leaders like Google and its Xbox franchise was a distant second to Sony’s PlayStation. Now with Gates shifting focus to his charitable organizations, the entire company could change direction under Ozzie. A rookie at Microsoft — he has been at the Redmond-based software giant for only one year — Ozzie is in fact one of the PC industry’s most celebrated innovators. Nevertheless, investors and analysts are unsure of what to expect.
In the 1980s, Ozzie brought to market desktop collaboration software called Notes. Today, the software is used by approximately 125 million users worldwide. He also started Groove Networks, software that allows people to work on the same project even if they aren’t in the same company. More recently at Microsoft, Ozzie pushed the company into online services known as Microsoft Live. “The world of online services and software-as-a-service has been passing Microsoft by, and I credit Ozzie with getting the company more fully in the game,” analyst Dwight Davis told Business Week.
Now at the helm of one of the most powerful companies in the world, investors are hopeful Ozzie can take Microsoft to the next level. He needs to introduce new ideas that will make market watchers and consumers forget about the Windows Vista delays. He needs to loosen Microsoft’s rules to success by focusing on core sectors where the company excels. If Gates was Mr. Miyagi, Ozzie has to be the next-generation Karate Kid.
Gates is promising a lucrative future for his darling company. “As I prepare for this change,” he said in a statement, “I firmly believe the road ahead for Microsoft is as bright as ever.”
No surprise ol’ Gates is optimistic, considering Microsoft’s No. 1 position in too many tech sectors to name. But the changing of the guard will open the door to much speculation: Can Microsoft deliver products that are both safe and reliable? Will their licensing practises still give the impression of a monopoly run amok? Will Vista live up to the hype?
The answers will surely come before Gates’ official exit in July 2008. For Microsoft supporters, they want the new faces of the company to smile with the knowledge that the company will soar past competitors. And investors want Microsoft to bring innovative strategies to a reputable brand.
