ValueAct’s Stake in Microsoft Corporation (MSFT) Could Be a Gamble

Windows may keep its options open

Even though the likelihood of Microsoft Corporation (NASDAQ:MSFT) becoming a major player in the cloud computing world is high, ValueAct’s investment in shares of this company may not be quite as promising. One of Microsoft’s downfalls is that the company seems to rely heavily on its past accomplishments, though it did recently fail miserably with the significant changes in its Windows 8 operating system.

With this in mind, Microsoft Corporation (NASDAQ:MSFT) may utilize more of its resources in an attempt to bring Windows back into a positive light – meaning that less time, effort, and money will be utilized on getting ahead in the cloud computing arena.

It is this potential direction that could keep Microsoft in the background over the next decade, allowing other companies move ahead in the new world of technological advancement. If this does turn out to be the case, not only will Microsoft as a company suffer but so will the company’s loyal customers and investors such as ValueAct as well.

Nauman Aly has no position in any stocks mentioned. The Motley Fool recommends Apple and Google. The Motley Fool owns shares of Apple, Google, and Microsoft.

The article ValueAct’s Stake in Microsoft Could Be a Gamble originally appeared on Fool.com and is written by Nauman Aly.

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