Technology website AllThingsD said that Mulally has vaulted to the forefront of the candidates being considered to replace retiring Microsoft chief Steve Ballmer.
Earlier, there were reports that at least three of the top 20 investors in Microsoft want a turnaround expert to succeed Ballmer and have urged the technology giant's board to consider Ford Motor CEO Alan Mulally and Computer Sciences Corp CEO Mike Lawrie for the job.
Investors are keen on Mulally and Lawrie as both have histories of successfully turning around companies.
Under a succession plan at Ford outlined last November, Mulally, 68, is expected to stay on as CEO until at least the end of 2014. However, according to reports, Mulally may step down sooner than planned if he gets an interesting offer.
Microsoft recently inked a deal to buy Nokia's phone business. The deal also brings Stephen Elop, who ran Microsoft's business software division before jumping the ship in 2010, back to the company. Elop too is said to be among the list of contenders to succeed Ballmer.
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