Bill Gates could be history at Microsoft if a few major shareholders get their way. The company’s founder currently serves as chairman.
The rumors surrounding Gates came more than a month after CEO Steve Ballmer announced he will retire as soon as a replacement is named.
Three investors, who own about five percent of the software giant, are apparently worried that Gates’ presence as chairman of the board is preventing change .
They may also be worried that Gates will play too big of a role in selecting the next Microsoft CEO. Norman Young, an analyst with Morningstar, explained, “While larger strategic decisions were likely passed by [Gates], I don’t believe he has a lot of say or influence in the day-to-day business.”
However, that may not be enough for the company’s top investors. Bill Gates and Steve Ballmer met in 1973 while attending Harvard University. In 2000, Gates stepped down as CEO and gave the position to Ballmer.
While he no longer works with Microsoft, Gates still owns a 4.5 percent stake in the company. However, investors are apparently concerned that he has more power than his holdings should allow.
Gates owned 49 percent of Microsoft before it went public in 1986. He sells about 80 million of his remaining shares per year, a number that means he will have no financial stake in the company by 2018.
News that Bill Gates may be ousted as chairman of Microsoft was met with mixed feelings by other investors. While some thought that Gates’ departure is long overdue, others believe the company shouldn’t ditch its founder quite yet.
Kim Cauchey Forrest, a senior analyst at Fort Pitt Capital Group, believes Gates should play a larger role in the company. She explained, “I’ve thought that the company has been missing a technology visionary. Bill [Gates] would fit the bill.”
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