How did Satya Nadella Save Microsoft?

After the resignation of Bill Gates as a CEO of Microsoft Corporation, the growth became slower and slower. Here is How Satya Nadella saved Microsoft.

We all know Bill Gates is co-founder of Microsoft and he is one of the richest man in the world.

Today, we need to understand that after his resignation from Microsoft as a CEO, the company struggled a lot.

It was the time when Steve Ballmer became the CEO of a company.

The world’s largest computer software company was facing huge trouble because the new CEO Steve Ballmer had taken some unnecessary decisions.

Let’s understand.

Problems with Steve Ballmer:

Steve Ballmer was 30th employee of Microsoft. He knew the foundation of the company.

That’s why board of directors nominated Steve Ballmer as a CEO of the company.

Apple Stocks:

In 1997, Bill Gates invested $150 million in Apple having $8.25 per share.

Also read: 7 Fundamental Reasons Why Apple Products are Always Expensive

Also read: 7 Major Reasons Why Apple is Failing in India

But in 2003, Steve Ballmer was the CEO at the time. He sold all the Apple shares which worth billions of dollars now! It is estimated that the value of $150 million would be more than $50 billion.

Windows OS & Nokia:

It was the time when iOS and Android were growing super fast.

Apple made an integrated operating system and launched an iPhone. After the launch of the first iPhone, the smartphone industry started booming.

In no time, Google came up with their open source Android operating system.

Because of having an open-source OS, all the big companies like Samsung, HTC and Sony started using Android as an operating system.

Microsoft launched their first windows phone in October 2010. This time, Microsoft was not the first mover.

Apple and Google had already started capturing the market rapidly.

Microsoft is and was the number 1 player in the operating system for personal computer. They still wanted to go into the mobile operating system.

To compete with Google and Apple, Microsoft bought Nokia. And this was a huge mistake!

Microsoft completely failed for making specialized integrated operating system with hardware.

After making the terrible mistake, Microsoft needed steady growth.

How Satya Nadella saved Microsoft:

Bill Gates nominated Satya to become the CEO of a company.

He made so many changes in the company that not only saved Microsoft but also make one of the most valuable companies in the world.

Sold Nokia to HMD Global:

Microsoft had to do it. Nokia was making the loss of millions of dollars.

That’s why Microsoft sold the 500 design patents to HMD Global.

It was the toughest move!

Acquire GitHub:

Microsoft acquired the world’s best platform for computer science projects GitHub.

GitHub has 30 million active users who build computer science projects.

Acquire LinkedIn:

Microsoft’s biggest move was acquiring LinkedIn.

LinkedIn is a social networking for professional people.

It has over 500 million members.

LinkedIn had also bought Lynda which is online educational platform for $1.5 billion.

Microsoft Azure:

Microsoft Azure is a cloud computing platform.

After Amazon Web Services(AWS), Microsoft is the biggest cloud computing service provider in the world.

Also read: 3 Amazing Business Plans of Amazon

Microsoft Azure is making billions of dollars in profits and cloud computing has a huge potential.

Businesses have been shifting from offline to online. This is the biggest sign that Microsoft Azure has a massive potential to grow.

Microsoft Cash-Reserve:

I wrote this article a year ago in 2019 and I am editing this article in 2020. It is the time when most businesses in the world are shut down due to COVID-19 pandemic.

When there is an economic crisis or financial crisis, cash-reserve is very important for businesses. If the company has a sufficient amount of cash, it can easily survive, no matter how big the economic crisis is.

You may be surprised, Microsoft has huge amount in cash. $136.6 billion.

Let me examine.

$136.6 billion is greater than India’s biggest company that is Reliance Industry LTD.

Watch here:

Conclusion:

That’s why we can clearly see how Satya Nadella changed the business model from product base to service base.

One Small Request:

If you enjoyed reading this article, kindly give it a share.

Hit the bell icon below on the right side of the screen to never miss any update.

Thank You