"We are going to innovate with a challenging mindset. We are going to come at this by innovating every dimension of hardware, the software experiences across the Windows family and go after this in such a way that you see us making progress at rapid pace," Nadella said at Microsoft's annual developer's conference in San Francisco.
"Microsoft was a tools company before it was an Office company, before it was a Windows company," he added. On Thursday, the software giant announced a series of new features and updates to its Window products, which he said is aimed at making its services more affordable and widely available.
"The idea is to make new applications available across the Windows platform, not only on smart phones and tablets, but also desktops and laptops," Nadella said. He said Microsoft was expanding the opportunities it offers to developers across the world.
Microsoft, through its various programs, is taking steps to help developers and startups, he said adding that the company could offer developers the tools they need to compete in increasingly cross-platform world.
He said the company's goal was to make sure that developers have the best possible opportunity to flourish in that emerging world.
"One of the core principles that we have is to make it possible for every developers to bring their code assets forward and to be able to leverage their code assets they build in a very broad way -- our own family, and across every platform," he said.
"It's crazy to abandon what you've built, and it's crazy not to want what you've built across the broadest set of devices," he added.
Nadella said his company is focusing at "great devices, great software's, apps and price points. Those are the four dimensions of getting competitive in the tablet market. The 8.1 update is a big milestone towards this. This has made possible to have tablets across the full price range".