It shouldn't be news to anybody that Bill is transitioning into a new role in 2 years. I figured I'd dump some of my thoughts about this onto paper. Remember: This is in no way the official company view on the matter, nor is it motivated by any sort of company-private information.

First, I am surprised that Bill didn't make this transition sooner. I think it's admirable how he's been able to maneuver through the technology details for so long. He refused to completely give up his technical edge. And I think it's cool that he can venture out into entirely new verticals with the premise in hand that all you need is a bunch of really smart, motivated people to succeed. It's risky. And it's a sort of an antithesis to traditionalist business management views.

From talking to colleagues about this news, however, I think people tend to downplay the importance of having Bill around. Externally, there's no doubt he's a huge part of our PR, whether you like him or not. That's probably why the stock has been flat after the announcement. Not having him in charge of technical direction may open up some new avenues that we wouldn't have otherwise explored. New blood is always healthy. At the same time, though, it takes a functioning system and runs the risk of disrupting it. But I'm more worried about the internal climate...

Just as Dave Cutler is a god to the NT Team, Bill is a role model for every technical person in the company. He's a geek. He talks like one, he looks like one, and he acts like one. He was very successful at a young age, was self-taught, and didn't need college to do and succeed at what he loved. And he has an inconceivable level of power and influence both within and outside the company. For a place that's full of uber-geek MS-for-lifers who joined the firm straight out of college, and who wouldn't think about leaving (with Bill around at least), all of these are very important traits. While Ray Ozzie is a very accomplished and intelligent guy, he's missing almost all of the traits I mentioned above. And I think people will notice.

In the past month alone, I've had a BillG Review and received feedback from him on two spring ThinkWeek papers that I submitted. These were my first personal interactions with Bill, and perhaps my last. I was impressed. He's scary smart. There's no doubt he's very clever and can effortlessly cut through complexity to understand the core of really deep technical problems. There's no way the new senior technical leadership will have the same traits and to the same degree. It's not that they aren't great people. I've had several meetings with Craig Mundie recently, our CTO, and he's extraordinarily insightful and talented. I found myself blown away by some points he was making. But Bill's just too good to beat.

So here's the gist of it all. Microsoft in the past has been a technically motivated company. Bill's passion was around how we could use technology to change the world. But at the same time, he cared about how that technology was architected and built. He didn't simply spew MBA mumbo-jumbo. Microsoft feels like a company full of 100s of start-ups, each of which reports to the same technical leader, all fighting tooth and nail to build the greatest technology possible. I think all of that is going to change. I conjecture that we're at the beginning of a major shift, where Microsoft will slowly evolve from a technology-driven company to a business-driven company. The two are not mutually exclusive, obviously, but the balance will shift. We'll do more projects based on business reasons and less based on pure technology reasons. We'll waste less money in the process. It had to happen sooner or later. But for the geeks like me, I have to wonder whether it will remain as much of an enjoyable place to work. Or whether those who are looking for such an environment will be forced to go elsewhere...