Microsoft’s new CEO, Satya Nadella, has a vision to transform the company into a devices and services business. This shift in focus will be a significant departure from Microsoft’s traditional software-based model. Nadella’s strategy centres on the cloud, with a specific emphasis on Office 365 and Azure.

Microsoft’s past success was built on the dominance of Windows, but the tech landscape has changed dramatically. The rise of mobile technology and the decline of PC sales have challenged Microsoft’s traditional business model. Nadella’s strategy aims to adapt Microsoft to these changes, focusing on mobile and cloud technologies.

Nadella’s vision for Microsoft also includes a shift in company culture. He wants to move away from the competitive internal culture that has defined Microsoft in the past. Instead, he plans to foster a more collaborative environment, encouraging teamwork and cooperation.

This transformation will not be without challenges. Microsoft will need to overcome substantial obstacles, including resistance from employees and shareholders. Nadella’s success will depend on his ability to navigate these challenges and steer Microsoft towards a new era of innovation and growth.

Go to source article: http://stratechery.com/2014/making-sense-microsoft/