Intel confirms top management shakeup

Despite officially denying anything untoward was happening earlier today, chip giant Intel today confirmed that Pat Gelsinger and Bruce Sewell are leaving the company.

In a statement, Intel said that a number of ‘important organizational changes’ take effect from today. Paul Otellini, Intel’s chief executive, will ‘devote a higher quotient of his time’ to corporate strategy and driving the company’s growth initiatives.

Intel is consolidating all of its major product divisions into the newly formed Intel Architecture Group (IAG), which will be co-managed by Sean Maloney and Dadi Perlmutter, both executive vice presidents. Maloney will be responsible for business and operations while Perlmutter will lead product development and architecture.

Reporting to them will be all of Intel’s components businesses based on the Intel architecture, as well as all the development and marketing teams needed to bring these products to market.

Intel’s global manufacturing organization, the Technology and Manufacturing Group (TMG), will now report to Andy Bryant, Intel’s chief administrative officer and also an executive vice president. The move formalizes the role of influence Bryant already plays with TMG and further increases Otellini’s time on business strategy. The TMG organization under Bob Baker, Bill Holt and Brian Krzanich will report to Bryant but otherwise remain unchanged. Baker will continue to oversee Intel’s NAND flash memory business.

In addition to micro-architecture planning, microprocessor and chipset development, SOC (system on a chip) and wireless teams managed by Steve Pawlowski, Sunil Shenoy, Rony Friedman, Rob Crooke and Raviv Melamed respectively, there will be six business groups operating under the new IAG umbrella.

The PC Client Group that will consolidate Intel’s existing mobile and desktop product operations will be led by Mooly Eden. The Data Center Group, focused on servers, cloud computing, networking and high-performance computing, will be headed by Kirk Skaugen.

The Visual Computing Group will be managed by Jim Johnson. The Ultra Mobility Group, will continue to be led by Anand Chandrasekher and will focus on extending the Intel architecture into mobile handheld devices. The Embedded and Communications Group will come under Doug Davis’ control and the Digital Home Group, still under Eric Kim, will concentrate on entertainment systems and consumer electronic applications.

With Maloney’s move to IAG, Tom Kilroy will assume responsibility for Intel’s Sales and Marketing Group (SMG). Kilroy was previously co-manager of processors for enterprise-class applications, the unit previously known as the Digital Enterprise Group (DEG). Kilroy will report to CEO Otellini.

Despite refusing to comment earlier today, Intel has also finally confirmed that Pat Gelsinger and Bruce Sewell have decided to leave the company to ‘pursue other opportunities’. Gelsinger, who has been at Intel for three decades, co-managed DEG and Sewell served as Intel’s general counsel. Suzan Miller, currently deputy general counsel, will take the role of interim general counsel.

“We thank Pat and Bruce for many years of service to Intel and wish them well in their future endeavors,” said Otellini after what has no doubt been an interesting, challenging and somewhat hectic weekend for the world’s leading chip maker.

UPDATE: EMC has now confirmed that Gelsinger has joined the company as President and Chief Operating Officer, EMC Information Infrastructure Products, where he will be responsible for EMC’s Information Infrastructure products, including its Information Storage, RSA Information Security, Content Management and Archiving and Ionix IT management divisions. 

EMC also announced the promotion of Howard Elias, 52, to President and Chief Operating Officer, EMC Information Infrastructure and Cloud Services.

Gelsinger and Elias will report to Joe Tucci, EMC’s Chairman and CEO, and join the Executive Office of the Chairman. Said Tucci: “We consider ourselves highly fortunate to welcome to EMC an executive of Pat Gelsinger’s stature and depth of credentials. Pat’s three decades of technical and general management leadership experience will serve EMC’s customers well as they build out and blend their information infrastructures to better compete, reduce costs, minimize risk, and create ever-new levels of value from their information. We also now possess one of the strongest and most talented management leadership teams in technology. I’ve never been more excited about what we see ahead for EMC.” 

Gelsinger added: “Over the last three decades, Intel has provided me with extraordinary opportunities and the ultimate executive proving ground. For that I remain forever grateful. I’m also thrilled with the road ahead and prospect of helping lead a company of EMC’s stature. The technology industry has undergone almost incomprehensible change over the last three decades since I entered it. 

“The rate and pace of change and challenge is not abating in the slightest. EMC is extremely well positioned to play a pivotal role in the IT industry for decades to come, and I am privileged to join Joe and his EMC leadership team in that endeavor.”  

See also
Gelsinger to leave Intel for EMC