WASHINGTON: Microsoft Corporation on Tuesday named an Indian-American, Satya Nadella, as its next chief executive, as its founder and chairman Bill Gates stepped down to become a technology adviser to the company.

Mr Nadella is a Microsoft veteran and was born in Hyderabad, India, to a civil servant B. N. Yugandhar, who was a member of the Planning Commission of India during 2004-09.

Mr Nadella attended the Hyderabad Public School, which was founded in 1923 for the landlords of the then state of Hyderabad but was changed to a public school in 1953, when India abolished the feudal system.

Mr Nadella is an engineering graduate of the Manipal School of Technology, Karnataka, and after moving to the US, he earned an MS in computer science from the University of Wisconsin and an MBA from the University of Chicago’s Booth School of Business.

He worked for Sub Microsystems as a member of its technology staff before joining Microsoft in 1992.

Before his nomination as CEO, Mr Nadella was Microsoft’s executive vice president, responsible for the company’s computing platforms, developer tools and cloud services.

Mr Nadella’s appointment comes at a time when the software giant faces stiff competition across all fronts of its business.

“Microsoft is one of those rare companies to have truly revolutionised the world through technology, and I couldn’t be more honoured to have been chosen to lead the company,” said Mr Nadella in a statement issued by his office.

John W. Thompson, 64, a member of the Microsoft board who oversaw its search for a new chief executive, will become the company’s chairman.