Microsoft has named Satya Nadella as its new CEO, the company announced early Tuesday.

Nadella, a longtime Microsoft executive, will replace Steve Ballmer, who announced in August that he would be stepping down from the company within the year. He will be just the third CEO in Microsoft’s history, after Ballmer and cofounder Bill Gates. Gates, who had previously served as Microsoft’s chairman, will move into an advisory role.

“Having worked with him for more than 20 years, I know that Satya is the right leader at the right time for Microsoft,” Ballmer said in a statement. “I’ve had the distinct privilege of working with the most talented employees and senior leadership team in the industry, and I know their passion and hunger for greatness will only grow stronger under Satya’s leadership.”