Man With His Head in the Cloud is Exactly What Microsoft Needs

Microsoft today named Satya Nadella as its new CEO and successor to Steve Ballmer. Rumors about Nadella started doing the rounds at the end of January, but what does it mean for Microsoft and the products the company develops?

To answer that question, you’d need a crystal ball. We do not have one of those. But the past says a lot about the future and Nadella’s past at Microsoft is one focused heavily on the cloud. He’s joined Microsoft 22 years ago, in 1992, and is widely known for his efforts in the cloud and enterprise space and leading the company’s Server and Tools Business. Nadella spearheaded Microsoft’s move to the cloud and in doing so has impacted the development of Bing, Xbox, Office and a host of other Microsoft services. Under Nadella’s leadership, Microsoft’s revenue from Cloud Services has grown from $16.6 billion in 2011 to $20.3 billion in the summer of 2013 .

Looking at Nadella’s past, Microsoft’s path going forward seems fairly clear and it’s a space in which Redmond needs a rock solid, confident leader who knows what he’s doing. The likes of Amazon and Google are not easy competition but Microsoft already has the advantage of being the dominant OS in the work space. A place where confidence in the cloud isn't quite where it needs to be. If Redmond can leverage its position in the work place in order to expand its reach in enterprise and take it to the next level with cloud services, Microsoft is looking at a very strong future.

What Satya's past doesn't tell us is what the next ten years will mean for consumer products at Microsoft. Given the new CEO is so focused on cloud and enterprise, shareholders would be forgiven for worrying just a little about other aspects of the company. Is Microsoft's Cloud and Enterprise King going to neglect consumers? Likely no, and here's why: Uncle Bill is going to help out. Microsoft today announced that founder Bill Gates is stepping down as chairman and will instead act as a technology adviser to Nadella. Our guess is Bill is there to act as a pacifier for concerned shareholders and remind Satya that Microsoft is not all business. More on that coming up soon.

Follow Jane McEntegart @JaneMcEntegart. Follow us @tomshardware, on Facebook and on Google+.

  • spectrewind
    "Microsoft today named Satya Nadella as its new CES and successor to Steve Ballmer."Because CEOs are so last decade...
    Reply
  • JMcEntegart
    12606452 said:
    "Microsoft today named Satya Nadella as its new CES and successor to Steve Ballmer."Because CEOs are so last decade...

    Dammit!! I had to keep catching myself from typing that the whole time.

    CES leaves a scar, as you can now see. Thank you! Should be all fixed. :)
    Reply
  • vmem
    man, that title makes Satya seem like an airhead :PThat aside, I look forward to what Satya will bring, especially with Bill back in development (hopefully not rising win95 from the dead)
    Reply
  • ethanolson
    I've earned quite the living by focusing on Server and Datacenter business. This guy comes from Server/Cloud. This is a big win for the future.
    Reply
  • Jake Hall
    Just slap a new name on Windows 7 and your company will be fine. Oh, and separate from XBOX.
    Reply
  • red77star
    I could care less about Cloud, not using Cloud shit at all.
    Reply
  • coolitic
    More of this dumb cloud stuff.This shall not end well. =P
    Reply
  • hotroderx
    I would be lying if I said I wasn't a tad scared that windows 10/11 (or what ever the next windows will be in a few years) will try to force feed us the Cloud like they have Metro. Personally I don't like the cloud at all and just see it as a security risk. I know its old fashion of me but still. On the other hand since this guy was leading there enterprise division that could spell some really good things for the more tech savvy costumers. Hopefully Bill Gates keeps them grounded enough not to allow another Windows 8 Metro slip up.
    Reply
  • Datcu Alexandru
    the cloud is the future. problem is it has been marketed like shit. and it is hard to do right. main problem being they are mainly a usa company and usa has shit for broadband which is a must for using the cloud properly. Playstation now and onlive were both cloud powered services. onlive took the first hit. ps now comes with hopefully a better understanding of the problems it must overcome. on top of that we have that nvidia grid. Cloud isn't bad and it isn't even subject to personal preference. The main problem is it is dam hard to do right with today's tech.
    Reply
  • Jake Hall
    I don't like him, already.... looks too much like Xerxes
    Reply