Chicago (IL) – The next executive to leave AMD is Stephen DiFranco, the company’s corporate vice president of consumer sales and marketing. While there was no official announcement of DiFranco’s departure, the company confirmed last week that its poor first quarter was mainly due to amplified exposure to the consumer segment (due to the lack of enough B3 Barcelona processors) and disappointing results in this market.
DiFranco was responsible for orchestrating AMD’s attack in the retail market with the goal to increase market share in the desktop and notebook segments. AMD’s strategy has not played out very well so far and despite the fact that AMD is showing no signs of changing its plan, DiFranco has become the latest high profile executive to leave, following chief technology officer Phil Hester.
There was some speculation whether AMD’s executives were leaving on their own accord or whether they were fired. President and chief operating officer Dirk Meyer provided some clue last week, when he told analysts that AMD is looking to improve its executive ranks. Asked about the departure of Hester, Meyer said:
“ (…) it wouldn’t be appropriate for me to comment on any specific person’s departure but I can tell you we are focusing on elevating our game and fixing some of our execution problems and in so doing, we’re going to bring into the company people with better talent and better experience, and you’ll see more. I’ll cite as an example the recent addition of a new CMO and a new CIO to the company.”
We don’t expect to stop this trend anytime soon, as AMD is caught in a Catch 22 between a necessary outside investment, which, however, requires the company to turn in a profit.