It's funny you bring up Skype in the same breath with innovation. Correct me if I'm wrong, but Skype hasn't changed much since it was originally released and even the MS takeover hasn't changed much. While universally used, it's an awkward application that has nothing technically innovative to offer. There's so much that could be done to make Skype kick ass but instead it's languished.

Microsoft bought Skype purely for their mobile strategy is my guess. They needed the integration with the phone as a key feature and at the time Skype was adamant about not doing a WinPhone app.

+++ Rick ---

>>There is much speculation about if he is leaving on his own or is being pushed out. I've been following this all day. He says it was all his own decision, but that doesn't mean he didn't feel the pressure and decide to leave before they kicked him out. Granted, there have been lots of missteps, but I challenge anyone to find a CEO of a major corporation that was in as long as he was that didn't make mistakes too. Again, I'm not saying he was right in everything.
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>I agree. To a large degree, I feel that Microsoft has lost the plot over the last decade or so, so someone new could get them back on course. But no one, not even Bill Gates, has more passion about Microsoft than Steve Ballmer. I can't see this being what he wanted. He probably wasn't forced out, but I doubt he was asked to stay either. Sure there were lots of failures and mistakes, but there's a good chance he will be somewhat vindicated and others will look back at these years of record profits with fondness.
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>>In an interview today with Mary Jo Foley, Ballmer said his biggest regret was Vista.
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>I think that statement was more about the Longhorn failure/reset than Vista directly, but yeah...
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>>Microsoft has been playing catch-up in many areas for a long time. Lots of speculation about if they'll bring in someone from outside the company to shake things up. I don't know if that will work or not. It depends on who they choose. One interesting name that some people have brought up is Tony Bates, who created Skype. He's still enough of an outsider that he could shake things up, yet already knows the current executive team, board, and understands the strategic direction they are currently heading.
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>I looked at Mary Jo's list of the internal leadership team. While a real developer like Eric Rudder would be nice, that's probably wishful thinking, and I don't know if he has all the skills required of a CEO. Qi Lu and Satya Nadella are popular in the company and have proven skills, but I don't see the board picking someone that doesn't speak perfect English, if you know what I mean. There are certain accents that Americans love, and those two aren't on the list. Shallow, I know, but true. If they go internal, I put Tony Bates at the top of the list. He's got the technical and business chops. Kinda makes you wonder if it is one reason they bought Skype.
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>Regardless of the CEO, I think the two biggest things they can do is make the company less hostile for employees, and refocus on their customers. Steve gave Wall Street REAL financial growth, not just potential, and got flat returns on the stock price. Do right by customers first and the stock will take care of itself. As a customer and developer, I'd like to have more confidence that my investment in Microsoft technology isn't going to be quickly replaced by "the next big thing" in an effort to generate growth for shareholders. Keep moving forward, but do so in a way that keeps my current investment in tact. Time to get back to one basic vision, instead of obsoleting investments based on which group currently has power in the company. Interesting times for sure.