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1 Thing Microsoft Still Needs to Focus On

Thursday - 8/29/2013, 3:00am  ET

With all the talk of Microsoft's 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 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. 

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