Bekker's Blog

Blog archive

Intel CEO Krzanich Steps Down

An investigation into a past consensual relationship with an Intel employee has led to the ouster of Brian Krzanich as CEO of Intel after more than three decades with the chipmaker.

Intel announced Thursday morning that Krzanich, 58, was resigning his post and his seat on the Intel board. Chief Financial Officer Robert Swan was named interim CEO effective immediately, and Intel has begun a search for a permanent CEO.

According to a company statement, "Intel was recently informed that Mr. Krzanich had a past consensual relationship with an Intel employee. An ongoing investigation by internal and external counsel has confirmed a violation of Intel's non-fraternization policy, which applies to all managers. Given the expectation that all employees will respect Intel's values and adhere to the company's code of conduct, the board has accepted Mr. Krzanich's resignation."

Krzanich has been CEO at Intel for five years, and started at Intel as a process engineer in 1982. Swan has been CFO at Intel since 2016, and held similar roles previously at eBay Inc., Electronic Data Systems Corp. and TRW Inc.

The bombshell comes just five days before Intel's second-quarter earnings call. Intel had a rough start to the year with disclosure of the Spectre/Meltdown security issues, related class-action lawsuits and questions about a Krzanich stock sale before the security flaws were made public.

Yet the company had a strong Q1 and Intel as a company is bullish about the just-ended quarter. Alongside the statement about the resignation, Intel raised its guidance for Q2. Intel now expects adjusted earnings of $0.99 per share on $16.9 billion in revenue, up from a previous forecast of 85 cents a share on $16.3 billion in revenue.

Posted by Scott Bekker on June 21, 2018


Featured

  • Microsoft Appoints Althoff as New CEO for Commercial Business

    Microsoft CEO and chairman Satya Nadella on Wednesday announced the promotion of Judson Althoff to CEO of the company's commercial business, presenting the move as a response to the dramatic industrywide shifts caused by AI.

  • Broadcom Revamps VMware Partner Program Again

    Broadcom recently announced a significant update regarding its VMware Cloud Service Provider (VCSP) program, coinciding with the release of VMware Cloud Foundation (VCF) 9.0, a key component in Broadcom’s private cloud strategy.

  • Closeup of the new Copilot keyboard key

    Microsoft Updates Copilot To Add Context-Sensitive Agents to Teams, SharePoint

    Microsoft has rolled out a new public preview for collaborative "always on" agents in Microsoft 365 Copilot, bringing enhanced, context-aware tools into Teams channels, meetings, SharePoint sites, Planner workstreams and Viva Engage communities.

  • Windows 365 Cloud Apps Now Available for Public Preview

    Microsoft announced this week that Windows 365 Cloud Apps are now available for public preview. This aims to allow IT administrators to stream individual Windows applications from the cloud, removing the need to assign Cloud PCs to every user.