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Wednesday, 21 November 2012 10:42

Was Otellini pushed?

Written by Nick Farrell



Wall Street rumours


There are rumours among the cocaine nose jobs of Wall Street that Intel's CEO Paul Otellini's surprise early retirement was more the action of Chipzilla's board.

Wall Street's collective eyebrow was raised when Otellini decided to retire as Intel CEO at age 62, with three years to go before reaching the company’s mandatory retirement age of 65. Forbes claims that the Intel board is unhappy with the company’s slow progress in making inroads against the ARM processor companies in mobile devices.  

Analyts are suggesting that his eventual departure is more likely a sign that Intel’s focus could increasingly shift outside of the traditional PC market. No one argues that Otellini has done a brilliant job as CEO for the past seven years, the board is worried about problems in its core PC market and not being able to push into the mobile SoC market after more than five years of development efforts.

Craig Berger at FBR Capital said Intel is challenged in the mobile arena, with handsets and tablets cannibalising core PC sales, and with Intel not achieving solid success in handsets or tablets. Otellini’s departure could be related to the immense challenges Intel faces in competing in the mobile space.

More here.


Last modified on Thursday, 22 November 2012 18:57

Nick Farrell

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