Microsoft needs to restructure this year but probably won't, Laffont said.
"It's strange. It seems no one wants to be the CEO, and there's two ex-CEOs on the board," Laffont said. "This is a story, where if someone was allowed to do basic stuff, the stock could double. So many cost-cutting opportunities, so much restructuring opportunities."
Laffont said it's unlikely the next CEO will be able to do what's necessary because Microsoft is trying to keep up with the competition when it comes to innovation.
"When you see the innovation of Apple and Google and you're Microsoft, you don't want to cut all this R&D because you are thinking, 'I want to get back to be just like Apple and Google,'" he said.
"But in the meantime, what they need is restructuring. I think the R&D cost at Microsoft is five times the size at Apple, but they don't seem to be coming up with anything new."