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1 Thing Microsoft Still Needs to Focus On

With all the talk of Microsoft's (NASDAQ: MSFT  ) CEO Steve Ballmer leaving the company within the next 12 months, investors may be wondering what direction the company will be headed. In this video, Fool contributor Chris Neiger argues that the company's board is already on the right path based on a statement they released along with Ballmer's retirement announcement. Board member John Thompson said, "The board is committed to the effective transformation of Microsoft to a successful devices and services company."

This is more than just a fluff statement by the company, and Chris argues that it's more like a pledge by Microsoft to continue moving further away from the PC and software industry and focus more on creating its own products. With tablets overtaking PCs and the mobile industry continuing to grow, Microsoft is smart to continue in this direction -- no matter who Ballmer's successor is.

With Apple (NASDAQ: AAPL  ) and Samsung dominating the consumer side of mobile industry, Microsoft has no choice but to continue its devices and services initiative. To do this, Chris thinks the company needs to get creative with its mobile products -- just like it did with its Xbox console. 

While Microsoft is still one of largest tech companies, the competition in the mobile sector is fiercer than ever. To help investors understand this tumultuous industry, The Motley Fool has put together a free report: "Who Will Win the War Between the 5 Biggest Tech Stocks?" Inside, you'll find out which companies are set to dominate and give in-the-know investors an edge. To grab a copy of this report, simply click here now.

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  • Report this Comment On August 29, 2013, at 3:47 AM, ryanchandler25 wrote:

    Just one thing? I can think of several

  • Report this Comment On August 31, 2013, at 8:53 AM, st0815 wrote:

    So services like Bing and devices like the Surface tablets? That was Ballmer's strategy, and so far it hasn't worked.

    How about offering a desktop OS which people will want to use on desktops and selling apps for iOS and Android rather than chasing a hopeless dream of being successful with a mobile OS? Microsoft hasn't just failed recently in that space - there is a long list of unsuccessful attempts to break into mobile.

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