Former Microsoft CEO Steve Ballmer has vacated his seat on the company's board to focus on his new acquisition, the NBA team Los Angeles Clippers.
Ballmer, who was replaced by Satya Nadella in February, left Microsoft after a 34-year long stint with the company. He started his employment at the firm when it was a start-up in 1980. He eventually succeeded the company's co-founder, Bill Gates, who stepped down as CEO on January 2000. His departure, along with Gates' exit as chairman earlier this year, means that the two most important figures in Microsoft's history would have practically no say in the company's future trajectory.
In a letter to Nadella, Ballmer gave several reasons for his departure. "I had not spent any time really contemplating my post-Microsoft life until my last day with the company. In the six months since leaving, I have become very busy. I see a combination of the Clippers, civic contribution, teaching and study taking a lot of time," he said.
"I think it would be impractical for me to continue to serve on the board, and it is best for me to move off. The fall will be hectic between teaching a new class and the start of the NBA season so my departure from the board is effective immediately."
In spite of his exit, Ballmer remains the company's largest shareholder with a four percent stake.
Ballmer purchased the Clippers for a record price of $2 billion. The path to the Clippers opened for Ballmer when the team's previous owner, Donald Sterling, was caught on tape making racist remarks to his girlfriend.
Ballmer departure gives Nadella more freedom in deciding on Microsoft's future strategies. There were already indications that the new head of Microsoft would not simply continue on his predecessor's path. Last July, Nadella redirected Microsoft's focus, declaring the firm as a productivity and platform company for the mobile-first and cloud-first world. Previously, Ballmer had designated Microsoft as a "devices and services" company.
In his letter, Ballmer mentioned the company's new focus, saying that software development is the key to success with such a strategy. He also urged the Microsoft board to encourage "fearlessness" in making profits for investors. Under Nadella, the company has already shown a lack of fear in the name of pursuing investor interest. Last month, the company announced that it will cut 18,000 jobs by June 30 of next year. The round of layoffs, one of the biggest ever in the history of the tech industry, largely affects employees from the company's recent acquisition, Nokia.