
Microsoft CEO Steve Ballmer made an appearance at the three-day U.S. House of Representatives Democratic Caucus Retreat on Friday to talk about the challenges ahead in the economy.
The annual gathering was held at an interesting time....just prior to the likely passing of an historic mess of a "stimulus" bill.
Ballmer was not spouting happy talk to be sure. "The bubble has burst," said Ballmer. "We can no longer rely on consumption by refinancing our homes or inexpensive money to fuel economic growth, and that's certainly had a huge impact...In my view, what we now have will be a fundamental economic reset."
Here's the full text of Ballmer's speech:
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Well, I want to thank Jay, I want to thank the speaker and all of you for the opportunity to be here today and chat with you. It's a real honor to have a chance to share some thoughts on the economy and on innovation, and hopefully spur some thoughts on how we all participate in restarting long term economic growth.
As Jay was telling my story, so to speak, I thought I'd put in one parenthetic that might be of interest. When I got to Microsoft and we were this tiny little company, we didn't have the budget to put people up in hotels, so I lived with Bill. And every time I sat down, in every corner, nook and cranny of couches, tables, I'd find these little yellow pieces of paper with Bill's writing that had a bunch of people's names and companies' names and numbers.
So, finally-I think of myself as pretty good pattern matching. Actually I was sitting next to Congressman Frank, and we were both trying to see which of the six states that are going to be still bigger than North Carolina by 2015. So, we're going through the pattern matching game, and I just couldn't figure out what these numbers were.
So, finally I said to Bill, what is this? He says, Steve, I'm really always worried about whether we're going to have enough cash to pay people. So, every night I write down everybody who works for us and how much we pay them, and every contract we have and how much it's worth. I've got to count the pennies tightly and that's why you're here now.
In this economic climate, whether you're talking about businesses or consumers, everybody I think is having the little yellow sheets of paper out, and counting pennies pretty tightly.
I'm going to make one thing clear up-front: I'm not going to claim to be an economist. On the other hand, I think it's sort of the responsibility of every businessperson to really form a model of what's going on in the economy, if you're going to provide proper stewardship to your business; big company, small company, it's important to have a model of what's going on, and certainly have been thinking a lot about the economy in the context of how we think about and plan for the future of Microsoft.