Microsoft has lost almost half its value under Ballmer’s leadership and the shares haven’t closed above $50 since his first year on the job.
Ballmer attended Harvard University with Gates. Unlike his schoolmate, who left the Ivy League institution before graduating, he stayed and received a bachelor’s degree in applied mathematics and economics. Before joining Microsoft he worked as a marketing executive for Procter & Gamble Co., the world’s largest consumer-goods producer.
Since taking over the CEO role from Gates, Ballmer has been working to bolster Microsoft’s performance in areas like mobile computing and away from the PCs that have long been powered by Microsoft’s flagship Windows software.
Last month, he presided over the biggest reorganization of Microsoft in a decade in a bid to speed development of hardware and services as the company’s Windows business suffers from the shrinking PC market and poor demand for Windows-based mobile devices.
“This is a time of important transformation for Microsoft,” Ballmer wrote in a memo. “This is an emotional and difficult thing for me to do. I take this step in the best interests of the company I love.”
He said he plans to continue as one of the company’s largest owners and remains the company’s fifth-largest shareholder.
The Bloomberg Billionaires Index takes measure of the world’s wealthiest people based on market and economic changes and Bloomberg News reporting. Each net worth figure is updated every business day at 5:30 p.m. in New York and listed in U.S. dollars.