Microsoft will be purchasing $40 billion worth of its own stock and increasing its dividend by 22%, the company announced. The news sent the stock up slightly by the close of markets. This is only the latest in a string of major moves by a weakened Microsoft which is now focusing all its efforts on getting its bearings in a rapidly changing marketplace. The company recently purchased cell-phone maker Nokia, jettisoned its long-time CEO Steve Ballmer, and undertook a massive reorganization. CFO Amy Hood commented on the buyback and dividend increase, saying they “reflect a continued commitment to returning cash to our shareholders.” The once unassailable company finds itself in unfamiliar territory these days, and its position is viewed by many as precarious — as the company has had a number of major missteps in recent years. The future of Windows phone remains uncertain, and the company continues to struggle to sell its Surface tablet despite heavy marketing and press. What do you think the future holds for The Redmond Giant?
