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tv   Satya Nadella Hit Refresh  CSPAN  November 20, 2017 9:32pm-10:21pm EST

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our next speaker is overseeing a renaissance of the company's culture and strategy in the three and a half years since he became a ceo. at the first book of his life as
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an immigrant, a father and a corporate leader' as efforts to reinvigorate microsoft and his outlook on the future of technology please join me in welcoming to the 2,017th summit microsoft ceo. [applause] iinto it with your own personality and that is your love of cricket and i brought something for you. one of the anecdotes but told he likes to hold a kookaburra cricket ball.
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tell us about your love of crickets and how it influences your life. >> thank you so much. this is probably what people found out about the book so i'd really appreciate it. growing up i would say a very english game has become one of those artifacts of history and then i look back i think it is true in most team sports. they are played out and end of the sports they teach so many
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lessons and that is the place i played a lot of cricket it's about how to compete. he replaces me and that incident because why did he do it come he sort of broke all of my confidence but for some reason he decided i'm going to give this back. so they bring the teams along to do your best work and i know but also teaches endurance.
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there is a huge debate going on in the community which is like baseball which i know what americans think is wrong but for us it is the shortest form of cricket. i like the five day russian novel that's got a plot. so the debate is how does that continue in its popularity but nevertheless i am a big fan. you've got to sit down. what was that like as a highlight for you? >> it was fun. i had never been to the boards of london as they like to call
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it. so to go to this hollowed ground is one of the fascinating things that happens. people go to places you've read everything about it so this is one of those places you walk again after having read everything for a lifetime and then i don't know who was excited whether the interviewer i don't know who was excited about that. >> let's take a look at this picture. several reports, 2014 you are the third ceo with bill gates and prior to what was going through your mind at this point and what do you go wish you could go back and tell?
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>> i grew up in the company that bill and steve built. everything that i've learned, everything about me has been shaped by the company i worked for which is microsoft for now 25 years. in particular based on all of the people around me.
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why do we as a company access -- exist? it is a silly way to start, but i do believe that companies exist for a reason. there needs to be a sense of purpose. it can be one brand or technology away. it's for every changing technology wave so those are the things now i see it even three and a half marji tiger book came about where he preached any destination. if anything it is a reflection of the sitting ceo going through that process, the hard process
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of transformation, which by the way is a continuous process. you never, ever each your destination. how do you keep hitting refresh and be smart about it? the. how has that changed your leadership as a company we the company is run into the culture of microsoft? >> steve was the one that would switch me on to this.
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>> as you have rightfully said, they built the company and they were constant. so they could provide the continuity in their own way. the way that they would need to operate is going to be very different and the business especially i was talking to paul recently in terms of its scope and size and operations. it was to build more of a leadership team and for me it is an absolute necessity. there is no way that i could operate in the context to do
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pretty much anybody's job. to also have that ownership for this is our company and i want people inside the company to feel it is their company to use as a platform for their own mission and personal philosophy and that is what i believe is applied to the leadership team as well. >> you said you were the constant insider and that gave you the credibility to make change. you were not an outside person coming in to make change. now after three and a half years i recognize you don't have direct control but that is some external credibility that you have gained through the leadership of the company. what do you plan to do with that
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given what you've got on wall street? >> in particular they are all about the constant need to renew itself by taking a big bet for the attribute. they are a pretty binary transition because of the network effect in the technology so you've got to be able to see things that are changing long before their conventional wisdom and then go after them and a strong way. but at the same point, the market is going to hold you accountable. they want to pass judgment and it's something in the rearview mirror to make sure that you walk the walk in producing
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results and they will give you permission so. i'm very excited abou about whae are doing in mixed reality and what we are going to do even in the things like quantum and by the way all these efforts didn't get started three and a half years ago. it's steve who started of the crowthe crowdpush and so these s who worked long before the conventional wisdom and these are the things that can be successful. that is the key and you are
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right as an insider i've been through that journey but at the same time, i was also very grounded on the things that needed changing. >> along those lines, it's fun to read a book like this as a reporter that's been covering the company because you get the inside information on some of the things that you've been doing and find out what really happens, so apart from the rose petals anecdote which folks will have to find out about, one of a favorite anecdotes in the book it directly to this and that is how you decided to reorient wall street. you said we are not going to focus as much on where we are. we are going to set a target of $20 billion in revenue and it was an interesting mind exercise you went through to try to get wall street to look elsewhere. is that a good approach and would you give that advice to others in the audience for goals like that because it is risky. >> it's not about looking elsewhere but one of the things that we felt we needed to make
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clear internally and externally is what is the trend we are capitalizing on and how are we winning in that space because that is going to be important. we want to make sure that it's clear that most importantly, we would innovate with our customers. so you are right we have to take
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that risk. it is our ability to walk that walk, quarter after quarter that has helped the street in some sense this is a management team and a company that in fact can follow through and will never be done. i have it quickly call in a few weeks and i have to show up and show our progress and that's how it is and that is what is going to give us permission to do the work and mixed reality work, but i think that is what all companies have to do, which is you've got to be able to perform in front of the nature cultural changes is to fall in love with the leading indicators and customer satisfaction, long before the revenue and profit and we need to make sure we are really cracking down not just on
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what we deliver per quarter. i want to talk about the future of technology. that portion of the conversation starts at an unexpected place. your son was born with cerebral palsy and you write in detail and candidly about your struggles with this. but it has totally changed your outlook on the world and technology. walk us through that if you want. >> 29-years-old, his perhaps more than anything else shaped a lot of who i am perhaps today. one of the harder parts of writing the book to go back and reflect on it in a more concrete way. as a 29-year-old, both my wife and me were the only children of our parents and so when he was about to be born it was all exciting in the house and we were looking forward to him and the nursery being ready and when
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mother would get back to work. i need to recalibrate. and it's only by watching my wife even right after recovering from her c-section was driving up and down. that is what perhaps ask me out
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and said okay what do i as a path or have to do and over the years in this community whether it is the children's hospital, the occupational therapists, speech therapist. one day i was sitting and waiting for him to come out of his surgery and i was saying this all better work and it just gave me the feeling of the understanding of the responsibilities of a platform company, technology company because that's one of the things very unique about microsoft
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nearing every hospital in every critical part of our society and economy. you've got to take that responsibility very seriously. >> how has that shaped your view on the accessibility of technology making sure everyone can access the power of innovation? >> my personal life has been a great influence on how i think about liberty, but one of the things i'm seeing in spite of microsoft is a universal design and accessibility as a driver of true innovation. one of the apps that we launched recently that is using the cutting-edge gives anybody with
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visual impairment the capability to see a coworker of mine that i worked with th very early on asa part telling me this story of how she now can go in and order with confidence because she can see the food to read the ingredients into the menu. >> you can hold up to the world and it's like a petri dish. >> we are going to try to make it extensible and to recognize
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currency. it gives people more empowerment who need it. similarly, what we did with learning tools, and this is very passionate inside of microsoft that said we havbut said we havg technologies about reading which now can change the outcomes for kids with dyslexia so now you have tools where anyone with dicks alexia can start reading better, faster more comprehensive text. steve gleason came to one of these and a group of people said what can we do for an als patient who has the ability to move their eyes but all the others cannot be moved can they communicate. so now we have this input mechanism. i feel one of the things that is being unlocked is the fundamental recognition that
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it's not just about accessibility as this technology even historically at microsoft we would think of it as this is something that you do as a system of technology as a niche and something you do on top of having built the product but the reality is one thing that is true for all of us is at some point in our life, we all will need some help. that's going to be the universal truth. so we better designed products to help everybody and the beauty of it is it is much more. they don't end with just the one. it takes place after that and we have a long distance to cover. what makes reality can mean for
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accessibility. i think it is going to make a better device company and after everything company by focusing on this area. >> you identified three trends in the book, mixed reality, quantum computing and artificial intelligence that are going to drive the future. paint for us a picture of the future what is the world going to be like if these things come to fruition for the grandkids or our grandkids grandkids what are you thinking about now as you lay the foundation for the future? >> one of the hardest things to do is speculate how they manifest in specific terms. it will be dependent on how the
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start. we have been on this journey trying to create metaphors that defined the political space. you take the ability of what you see in the digital artifacts, so in other words the analogue and digital media can merge and have an immersive experience. that's what people call virtual reality, or people can see them together and that's what they ty called augmented reality. our view is that is a vital you get to set and we are in the early stages but ultimately our dream is people will have devices that will be like the glasses you wear and you can set the dial and be able to see all
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of the computing experience wite would be motivated by this medium. now in order to do that, one of the things if they checked with the holographic processing unit because what it does is it to understand everything that is happening and then is able to. but it doesn't solve the challenge, so i think ai is going to be part of bringing forth these new metaphors. i look at what we are doing with mixed reality as a gesture first interface because it's all about the speech and so that is the
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capability we want to build. i feel one of the challenges we have and we talked about all the things about until learning tools but even one of the things i'm most excited about is aei that helps me with my scarce commodity which is time. every day i spent lots of sent f e-mails, get lots of e-mails and make commitments in e-mails which i forget, but it saves me every day because it tells me you send an e-mail saying you would follow-up on thursday and then it tells me have you followed up. so it helps me get more out of my time and that is what yo we e trying to do with something like cortana. i always say it can help you by engaging more on things that
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take away time, but the real thing we need to solve is how does it give you back more time for the things that matter the most to you. and quantum to me if you say this is amazing we have a mixed reality, what is the one thing we need more of, it's computing. in spite of all the progress made, what is still lets talk about all of the computational problems. we cannot yet model that natural &-and-sign food production. we can't model the catalyst that absorbs the data carbon in the air or build a superconducting material for the lossless power transmission. there are computational problems if you try to resolve it using a classical computer it will take all of time fro the time from bg
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of time until now. we don't have that time, and that's where i think the advances in quantum computing are important. i think of these three things and they will not be juxtaposed to each other but i do believe that these changes are going to be profound in their impact in our lives and in our work. .. >>
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>> en negative course the conventional wisdom is this is the last the vice you'll ever need or want or have been if not there is no way with those of vengeance board after because of the pc share going up but because of what they did so the question really is how do we meet the reality of today? in the way i think about it is first
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applications are used with i phoned and android. but that was there on the mac before windows was a platform. we want to make sure whether stipe or office or outlook they are used every day. whether gaming or communication. but look at the change of phone sure what is a mobile device today? so the category nobody thought there would be such a category to get to the point now that we have good competition but what is the next core function change? and what are the new big
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changes? everything up in the air is you can start to see your computing in front of you reaching out to your phone is the hub for everything so we have to do our best work but to be very committed to make sure our services are available with applications as a mobile end point put the next set of devices or interface. >> what about software or hardware? we don't have this parfum hardware. that is the reality of it. but the reality is that we
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cannot compete and attracted developers so what they're doing is to make sure we can service those enterprise customers it is a like a phone operating system that is separate so that is where we are to say what will we do? and call in with next reality and gaming and applications. >> you last a good question. what will you do?. >>. >> is there any type of form
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factor. >> just me and a few of my friend. >> so with that capability we now have is a software device not even just a device as a system but the fact we have that capability to do an end to end to innovate new categories. >> we had to amazon top executives:yesterday in then
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in the seattle region perduring with the amazon. what are your results from amazon what they have seen?. >> it is a very impressive company. but jeff and his team have done. >> so there is a cross pollination of talent and that is good for a the region but look at what they are trying to do so at any point in time while
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delivering to customers so to reach them where i had learned at microsoft that is what i learned from what we did from the macintosh to start with. but the assistant with that productivity. soda with that capability that is the partnership that we have. i am not a believer of one agent each will have that different characteristic you should be able to scaffold live together with a habitual user that is what
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we talked about. >> will we ever see microsoft headquarters somewhere else in north america? [laughter] >> we are happy where we are. in fact, one of the things we are committed to is the development happening in many parts of the world and united states. with offices in new york and boston and cambridge. so at least i m in in notary to talk about headquarters to i am happy where we are. >> that amazon example with those industry partnerships
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was those awkward moments that you have? and how have you navigated those acquisitions?. >>. >> and with that zero some if there is a zero some competition. >> in this day and age we are lucky as as a company and as a community to shake every walk of life. it is shortsighted so that is a attitude and that is
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what shapes that but at the same time there is the disruption in the space so that changes the business model and everything. but could the users of those is integration that we did something in the past so i want to bring a laboratory -- maturity with customer obsession with their own strategic all the time and then compete. >> we haven't talked about the largest acquisition in history in the free of the tyine like negative attendees was
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privacy the data is what you acquired through. . . how are you respectful of future privacy concerns?. >> that franchise that you say build up the trust and the value that is of paramount importance and it is very clear we only do the things that the community adds value it is the date of the 500 million and that is one of the things from microsoft we don't all the data it is the user data or conversational data and
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essentially we are interested to make it secure and make sure they are in control and those principles guide everything we do with link'din. if there is value then to ask for permission and get that permission and that is to legislate that cement should we expect the acceleration? in terms of the products?. >> i feel very good with the real acceleration even with the next quarter of the
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earnings with five product integration with the dynamics 365 that is all there today it is one of those places that they can do that large acquisition with their culture and then add the product integration exclusively? and that is the strategy. >> before we close talking about your personal community initiatives your of the board for its cancer research center probe even kevin johnson was here yesterday along with the doctor so what are you hoping to accomplish?. >> it is a real privilege with those organizations and
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the community if i worked for cavan that microsoft and he was here yesterday and i very excited what starbucks is doing all to believe it is about that experience with digital technology and to contribute is fantastic and even what fred is doing is inspiring to meet to have that the goal by the turn of the next decade and a do think that is a goal where one of the big limiters is how can you take the research that is happening
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and make it comprehensible in a way so a new hypothesis could be like fred koch and other places? i am learning so much to gain the amazing leader that is fantastic to be a part of these organizations. >> so it is there a line so if that summarizes your view of the teacher personally and the technology?. >> as you are getting ready to disclose what those quantum efforts i had a
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chance to spend a lot of time with michael friedman with a mathematician who was calling me do you know, you're square roots? do you know square roots are the imaginary number? but it turns out they have a lot to do with quantum computers with the pulitzer prize-winning it is called imaginary numbers. and it goes something like this. the soul like the square root of negative one is an
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impossibility and i think it just captures all lot to seek out the un imaginable and with the possible and the poetry of the square roots of imaginary numbers. >> ceo of microsoft thank you very much. [applause]
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>> recently and was with a minister in europe speaking to a conference and he wanted to see me so i thought it was a courtesy call by dotted with last ted and it's the western half hours and at 1.this prime minister said and we're sitting on the same side of the table and he stood up and said he took the president decide against pushed him aside and all i could think of is don't. not a joke. not a joke. that is what people are thinking. violating the norms of
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personal conduct and generates more anxiety and fear than any policy prescription this president has enunciated. to me i was hoping they would get river the of the burdensome occupational regulations. >> tax reform with an outdated tax system so every american can have the best opportunity possible. >> one of the most important issues facing texans in
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washington is transparency in government. so to be more transparent that only their own activities and behavior but those records underused in government that the citizens of texas deserve to know what is going on in washington. >> every para ted the right to decorate there -- to direct there child's education. [inaudible conversations]


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