Microsoft co-founder Bill Gates on why he gave 4% of his shares to ‘future CEO’ Steve Balmer

Bill Gates, the co-founder of Microsoft, has described his close relationship with Steve Ballmer, who became the CEO of the company after Gates left, in his memoir, “Source Code: My Beginnings”. Gates gave Ballmer a 4% stake in the company to convince him to join the company.
Gates portrays Ballmer – whom he met at Harvard in 1976 – as a kindred spirit, confidant, study buddy, and crucial business partner.
“He joined in 1980 and became the 24-hour-a-day partner I needed,” Gates wrote, saying that he gave his additional 4% stake – that he negotiated with co-founder Paul Allen – to Ballmer to convince him to quit business school for Microsoft.
He recalls being drawn to Ballmer’s “excess energy,” noting that Ballmer was “effortlessly social” and possessed “an unusual combination of brains and physicality.”
“Steve Ballmer had it beyond anyone I had ever known,” Gates wrote.

Gates’ entry to Fox Club

Gates recounts how Ballmer broadened his social circle, even helping him gain entry to the exclusive Fox Club, known for its “black-tie parties, secret handshakes, and other archaic rules and rituals.”
Gates describes late-night conversations about their life goals, how to improve society, and maximise their impact. They also bonded over skipping economics lectures and successfully cramming for the final exam.
Ballmer succeeded Gates as Microsoft CEO in 2000 and, upon stepping down in 2014, still held a 4% stake in the company. This stake, now worth over $120 billion, forms the majority of Ballmer’s estimated $145 billion net worth, placing him among the world’s wealthiest individuals.