Microsoft Corporation (NASDAQ:MSFT) will soon name a new Chief executive officer, but Ford Motor Company (NYSE:F) chief Alan Mulally declined to go to the Software leader, says a report from Reuters.

After Mullaly turning down all the speculations of him leaving Ford and joining Microsoft are put to rest, but once again rumour mills are in full swing over different probable names. Back in December, Qualcomm Inc’s (NASDAQ:QCOM) Steve Mollenkopf also backed off from the race.

Mulally would stay with Ford for at least a year

Last month, Microsoft Corporation (NASDAQ:MSFT) made the statement that it is working towards appointing a new CEO as a successor of Steve Ballmer. Mr. Ballmer announced retirement last year in August. According to various sources, choices are limited for Microsoft, and some of the candidates are outsiders like former Nokia CEO Stephen Elop, and insiders Satya Nadella and Tony Bates.

Mulally said in a statement that he would continue serving Ford for at least a year. Mullaly said that he gave his statement to make it clear that he has no plans to leave Ford, as of now. On being asked whether investors would be relieved from the announcement made by Mullaly he said that they should not worry about him leaving.

“Out of respect for the process and the potential candidates, we don’t comment on individual names,” a Microsoft spokesman said.

Jay Cooney, Ford spokesperson confirmed the comments made by the Mullaly. Shares of the company surged 1.3% in extended trade. Mullaly has been backed by many significant investors to succeed Ballmer, however, according to a source there was a divide between the consensuses over Mulally’s candidacy as they were concerned with the leadership style.

Apt decision by Mullaly

The speculation that Mullaly would join Microsoft Corporation (NASDAQ:MSFT) did not settle very well with the board of the automobile manufacturer because it snatched the lime light away from Ford Motor Company (NYSE:F) related news like the launch of new Mustang, according to sources familiar with the news.

Karl Brauer, a senior analyst for Kelley Blue Book said that Mullaly took a much needed step following the development in General Motors last month where Mary Barra was appointed as the new CEO replacing CEO Dan Akerson and Fiat last week announced a deal buying all remaining shares of Chrysler.

“We see the other players in the space settling down for an important year,” Brauer says. “If Mulally hadn’t done it, they would have continued (with) misdirection and questions about who is running Ford.”