Washington – Microsoft is headed for a big change and it’s making executives very nervous.
“Microsoft has not seen a change like what is expected to come since some similarly dramatic rejiggerings were done by former CEO and co-founder Bill Gates during his tenure. It feels like it is going to be titanic — that Steve (Ballmer) is doing this change for his legacy,” a source said. It has been noted that most of the top executives in Microsoft have been left out in the decision making process and that has made them feel on edge about their fate.
In a shareholder letter that Steve Ballmer sent out last fall, he stated that a major management reshuffling plan was in the works. He mentioned that his plans were geared towards making Microsoft a “devices and services company”. This is to maximize Microsoft’s growth and revenues over the next decade.
Ballmer is set to unveil his reorganization plans on Monday, July 1.
Rumor has it three Microsoft executives will gain new power when the plans take full effect – Satya Nadella (Microsoft Server and Tools president),Tony Bates (Skype and Lync), and Don Mattrick ( head of Interactive Entertainment division and Xbox).
The three executives were profiled by Kevin Laughlin in the beginning of the month.
The lack of internal information about the upcoming management changes is causing a bit of discomfort among Microsoft employees. However, some are still hopeful that Ballmer’s plans won’t cause a major cutback on the workforce.
A symbol. The Apple brand dethrones Microsoft Monday beating the record for the largest market capitalization of all time. Boosted by speculation about the imminent release of new products, Apple jumped to 665.15 dollars a barrel. Multiplied by the number of outstanding shares, it reached a total market capitalization of 623.52 billion dollars.
The previous record was held by the competitor Microsoft, which reached on December 30 1999, at the meeting, at the height of the Internet bubble, a market capitalization of 620.58 billion dollars, according to statistics from the agency rating Standard and Poor’s. In closing this session capitalization was 616.34 billion. It has since largely melted, about $ 257 billion. New products, new horizons action Apple, which circulates in the sweet name “AAPL” attracts investors by the prospect of a new product release cycle with the iPad Mini and the new iPhone. The expansion of business to China, where a burgeoning middle class turns to high-tech products, also creates enthusiasm among investors. According to many specialized websites, the California group will present the iPhone 5 during a conference on September 12. Observers also plan to launch in the coming months a miniature version of the iPad tablet computer, as well as a new generation TV. Many ads that are quickly forgotten forecasts lower growth than expected, the group announced last month. According to analysts, the record reached Monday should “strengthen the positive sentiment towards action” and the stupendous rise of the title, which has increased by nearly 60% since the beginning of the year. “The portfolio managers will have to have the Apple” in their product, “due to its weight in the index and its impact on annual performance,” said Michael James, an analyst at Wedbush Morgan Securities. Before the end of the session, Apple had already beaten the record. It was enough for him to finish with action greater than or equal to 657.50 dollars to beat the record capitalization fence.