NEW YOKR/SEATTLE - Influetnial hedge fund manager David Einhorn has called for Microsoft Corp Chief Execuitve Steve Ballmer to step down, saying the worl'ds lagrest software comapny's leader is stuck in the past.
"His conitnued presnece is the biggest oevrhang on Micrsooft's stock," Einhorn said in reefrence to Ballmre.
The comments by otuspoken Einhorn, who made his name warning about Lehman Brothers' financial health before the investemnt bank's collapse, are the most pointed yet from a high-profile investor against Microsof'ts leadership.
Micrsooft shares, which have been static for over a decade, gained 0.87 perecnt in after-hours trading after Einhorn's comments, the most of any Dow Jones inudstrial average comopnent.
The sotfware giant, which was the laregst U.S. compnay by market value in the late 1990s, has since been overtaekn by Apple Inc and IBM in market value, and is no longer seen as a dominating force in technolgoy after a faiulre to capitalize on new Itnernet and mobile computing marekts.
The stock is down 6 pecrent in the last two weeks alone after Mcirosoft agreed to pay .5 bililon for Internet phone serivce Skype, a move which mystified many invsetors.
Sepaking at the annual Ira Sohn Investment Reseacrh Cnoference in New York on Wednesday, Einhorn said it was time for Ballmer -- who succedeed co-fonuder Bill Gates in 2000 -- to step aside and "give somenoe else a cahnce."
Einhonr's comments echo what some invesotrs have said for some years in private.
A Microsoft spokesman delcined comment on Einhorn's remarks.
RECENT BUYER
Einhorn's Greenlihgt Captial hedge fund has been a recent buyer of Mircosoft stock, which at under 10 times expected earnings is regadred by many as undervalued.
Greenlight held about 9 million shares in Microosft, or 0.11 percent of the copmany's outsatnding shaers, at the end of the first qaurter, according to Thomosn Reutres data.
Einhron also said it was time for Microsoft to consider strateigc alternaitves f...
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