Promoting Satya Nadella, a 22 year employee and most recently head of the Cloud and Enterprise group, to Microsoft's CEO (as will likely be the case according to most reports) is sort of like a professional sports team hiring an Ivy League graduate over a former player. Rather than simply a big name or someone with knowledge of the general operation, the software company sought a candidate versed in the most technical aspects of the industry. Or, as search committee Chairman John Thompson described in a December update, the board wanted someone with "the ability to lead a highly technical organization and work with top technical talent," Business Week reported.
Nadella's impending promotion comes in the wake of current CEO Steve Fullmer's decision to retire once Microsoft found his replacement.
The 46 year-old has a lengthy resume relating to the finer details of Microsoft. In his current post leading Cloud and Enterprise group, he generated $20.3 billion in revenue last year, according to Business Week. Prior to that, he was in research and development. Clearly, the man is in touch with the products he's selling. The bigger question is he in touch with the people he's selling them to, and capable of handling the duties required of one of the most powerful CEO posts in the country?
"I don't see that as a negative," Norman Young, a senior stock analyst with Morningstar investment research firms, said of Nadella's lack of experience. "In many organizations, a division the size of [the one Nadella runs] would be its own company. He's got charisma, employees like him, and he's got the acumen to lead the company. Not having been a CEO is not necessarily a minus here."
Though bigger names have emerged, such as Ford CEO Alan Mulally, Qualcomm CEO-elect Steve Mollenkopf and Ericsson CEO Hans Vestberg, most believed Nadella would ultimately be the choice, given his aforementioned experience, according to Business Week.