Bill Gates Talks About Spinning Off Bing And Xbox Business From Microsoft

In an interview with FOX Business Network’s Liz Claman, Warren Buffett and Bill Gates spoke about their respective fields and some things which are in common. Bill Gates was asked by a student on whether Microsoft should spin off Bing and Xbox business to create more value to the shareholders. He replied that he don’t think Microsoft would do that. Because, Bing is becoming a fundamental technology platform that nowadays powers even Microsoft’s core business Office. He also pointed out that Microsoft has spin off companies that they think are not relevant to Microsoft’s vision, some of the examples are Expedia and Slate magazine. But the basic research and the stuff that goes into Bing simple makes it impossible for Microsoft to spin it off. Similarly in Xbox business, Microsoft is bringing the power of PC gaming to console and they are trying to bring the culture together. Also, he said if Satya really wants to do that, he will support him.

When asked about Satya Nadella, he said that he is doing a great job by reconsidering lots of things and making use of Gates’ time more than before. Read the full interview from the video above.

  • Drewidian

    Needless to say, with the Xbox One running what is essentially two virtual Windows 8 VMs, it would not be to the Xbox team’s advantage to be separate from Microsoft as a unit. Being part of Microsoft, lets them take advantage of capabilities like universal apps, Xbox Music and Video, and integration to services like OneDrive, Skype, and Smartglass that works across all platforms. With Microsoft teams working closer together now is not the time to reverse that decision.

    • Bugbog

      Exactly. It is ever more evident that one requires economies of scale in order to make any sort of major headway with a gaming platform, nowadays. Just look to Nintendo to see how the ‘lack’ is working out for them. They got a lucky hit with the Wii, but now?

      Even the PS4 requires the backing of the rest of Sony in order to push forwards. (and even so they are still struggling!).

      To succeed I believe you either need a unique idea, have a lucky hit, or major funding/funder.

  • Sean D.

    Wow, this is an increasingly stupid topic to discuss and ask about. Let this insanely successful company run, and stop trying to figure out what’s best for Microsoft from the bedroom of your mom’s house.

    • Bugbog

      We’ve already discussed it and come to the realisation that it’s a bad idea, but the general public (non-intechiegentsia) haven’t.

      • SategB

        This just reinforces some of the wiser forward thinking owners of the company who comprehends the value creation is going to be do through disfranchisement of hardware.

        It good to hear Bill too agreeing with this thesis. A Service and Software focus is the successful future.

  • counterblow

    Cortana runs off of bing….yes lets split off bing so Microsoft will have to beg and plead for a new company to properly support Windows Phone…..that makes TOTAL SENSE!

  • MSFTmanJosh

    They better not spin off Xbox

    • Guest

      Just a matter of time, my friend.

  • Vương Vi-Nhuyễn – 王微軟

    Warren Buffet being asked to make the next C.E.O. female ¿aren’t we already beyond looking at the sex of people today? people should be based on merits, and insiders are simply better, that’s why I’m happy that Satya Nadelle leads Microsoft…