Steve Ballmer, Clippers Owner and Former Microsoft CEO Who Ran the Company for 14 Years

Steve Ballmer is a former chief executive of Microsoft, who ran the software company from January 2000 until February 2014. He joined the business in 1980 as its first business manager and spent 34 years there.

Today Ballmer owns the Los Angeles Clippers basketball team, which he bought in 2014. His years at the head of Microsoft covered the launch of the Xbox, the first steps into cloud computing and large purchases such as Skype and the phone business of Nokia.

Education

Ballmer earned a bachelor’s degree in mathematics and economics from Harvard University. He later enrolled at Stanford University’s Graduate School of Business, which he left in 1980 to join Microsoft, according to a Stanford speaker profile.

Career

After Harvard, Ballmer spent two years at Procter and Gamble as an assistant product manager. The role gave him his first experience of selling consumer brands before he moved into technology.

In 1980 he joined Microsoft as its first business manager. Over the next two decades he held a series of senior posts, including vice president of marketing, senior vice president of systems software and senior vice president of sales and support.

Microsoft’s own filings record that he became executive vice president of sales and support in February 1992. He was promoted to president of the company in July 1998 and kept that title until February 2001.

On January 13, 2000, Microsoft named Ballmer chief executive and gave him a seat on the board.

As chief executive, Ballmer pushed Microsoft deeper into new markets. According to HistoryLink, he led the move into data centre services and the development of the Xbox games console, while keeping close ties with large business customers.

On August 23, 2013, Microsoft announced that Ballmer would retire as chief executive within 12 months, once a successor was found. He told the board two days earlier. “There is never a perfect time for this type of transition, but now is the right time,” he said in the company’s statement.

He added that the company needed “a CEO who will be here longer term” for its shift towards devices and services. The board set up a special committee, chaired by lead independent director John Thompson and including Bill Gates, to run the search with the recruitment firm Heidrick and Struggles.

The board named Satya Nadella as chief executive on February 4, 2014, and Ballmer remained a director. Nadella had joined Microsoft in 1992 and was running its Cloud and Enterprise group at the time of his appointment. He then stepped down from the board effective August 19, 2014, citing in a letter to Nadella the time needed for the Clippers, civic work, teaching and study.

His successor’s own path is set out in our profile of Satya Nadella, who had worked alongside Ballmer at Microsoft for more than 20 years.

Current Roles

• Owner, Los Angeles Clippers (NBA), since 2014
• Co-founder, Ballmer Group, a civic organisation focused on economic mobility in the United States

Key Achievements

Growing Microsoft’s Business

Microsoft says its revenue tripled and its profits doubled while Ballmer was chief executive, according to HistoryLink’s account of his tenure. In his last full fiscal year in charge, the company reported revenue of $77.8 billion.

• Revenue, fiscal 2013: $77.8 billion, up 6%
• Cash returned to shareholders, fiscal 2013: $12.3 billion
• Operating profit over the decade to 2013: more than $200 billion

The Xbox and Windows XP

Within two years of Ballmer taking over, Microsoft released two products that shaped the next decade. Windows XP went on sale on October 25, 2001, and the first Xbox console followed on November 15, 2001.

The First Step Into the Cloud

On October 27, 2008, Microsoft announced Windows Azure, its first cloud computing offering. Azure now sits in Microsoft’s Intelligent Cloud segment, according to the company’s 2026 annual report.

Surface and Hardware

In October 2012, Microsoft released Surface, the first PC designed in-house by the company. Surface remains part of the Windows and Devices business in Microsoft’s More Personal Computing segment.

Major Acquisitions

Two large purchases were agreed under Ballmer. On May 10, 2011, Microsoft agreed to buy the internet calling service Skype for $8.5 billion in cash. On September 3, 2013, it agreed to buy Nokia’s devices and services business and license its patents.

When the Skype deal was announced, Ballmer described the service as “loved by millions of people around the world”. Of the Nokia purchase, he said in Microsoft’s statement that it was “a bold step into the future”.

• Skype: $8.5 billion in cash (agreed May 2011)
• Nokia devices and services plus patent licence: 5.44 billion euros in cash (agreed September 2013)

The Nokia handset unit passed to Microsoft in 2014, a step also noted in our feature From Playing Cards to Smartphones.

A New Chapter in Sport

After leaving Microsoft, Ballmer moved into professional sport. The sale of the Los Angeles Clippers to him was finalised in August 2014, the same month he gave up his seat on the Microsoft board. The team plays in the NBA, the top North American basketball league.

The Company in Numbers

• Revenue when Ballmer left the CEO post (fiscal 2013): $77.8 billion
• Revenue, fiscal 2026: $331.8 billion, up 18%
• Operating income, fiscal 2026: $155.2 billion
• Net income, fiscal 2026: $133.7 billion
• Full-time employees: about 223,000 (June 30, 2026)

In Their Own Words

In his final letter to shareholders as chief executive, dated September 27, 2013, Ballmer wrote: “I know our best days are still ahead.” The same letter opened its case for the company with the line “We have always believed that technology will unleash human potential”.

When Nadella was named to succeed him in February 2014, Ballmer said: “Having worked with him for more than 20 years, I know that Satya is the right leader at the right time for Microsoft.”

Ballmer worked for most of his Microsoft career beside the company’s co-founder, whose record is covered in our profile of Bill Gates.

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