Einhorn, the head of hedge fund Greenlight Capital, told an investor conference in New York on Wednesday that Ballmer basically needs to step down, because he’s stuck in the past.
“Ballmer is stuck in the past,” Einhorn said at the Ira Sohn Conference, “and is at best a caretaker at Microsoft.” Einhorn backs up this claim by pointing to Ballmer’s comments in the media that imply he doesn’t believe Apple’s iPhone or iPod to be threats. Einhorn also says Microsoft has missed major opportunities in establishing tablets to compete with Apple’s iPad, and has wasted money on mergers and acquisitions under Ballmer’s lead.
Einhorn’s Greenlight Capital currently holds about 9 million shares in Microsoft, or 0.11 percent of the company’s outstanding shares, according to Thomson Reuters data.
Einhorn also points out that an investor who put $100,000 in Microsoft stock 10 years ago would now have only $69,000.
This is not the first time Ballmer has been criticized, but it is perhaps the most high-profile criticism against the Microsoft CEO. Einhorn is known for being somewhat controversial in his Ira Sohn Conference speeches: he notably criticized Lehman Brothers, and essentially predicted their downfall, just months before they filed for bankruptcy.
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