Thursday, June 21st 2018

Intel CEO Brian Krzanich Resigns - For Having Sex With Colleague

Intel Corporation today announced the resignation of Brian Krzanich as CEO and a member of the board of directors. The board has named Chief Financial Officer Robert Swan interim chief executive officer, effective immediately.

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.
"The board believes strongly in Intel's strategy and we are confident in Bob Swan's ability to lead the company as we conduct a robust search for our next CEO. Bob has been instrumental to the development and execution of Intel's strategy, and we know the company will continue to smoothly execute. We appreciate Brian's many contributions to Intel," said Intel Chairman Andy Bryant.

Intel expects to deliver a record second quarter, with revenues of approximately $16.9 billion and non-GAAP EPS of approximately $0.99. With accelerating data-centric revenue, the company is off to an excellent start in the first half of the year and expects 2018 to be another record year. Intel will provide full second-quarter results and an updated outlook for the full year on the second-quarter earnings call on July 26.

As interim CEO, Swan will manage operations in close collaboration with Intel's senior leadership team. Swan has been Intel's CFO since October 2016 and leads the global finance, IT and corporate strategy organizations. He previously spent nine years as CFO of eBay Inc. Earlier, he was CFO of Electronic Data Systems Corp. and TRW Inc. He has also served as CEO of Webvan Group Inc.

Swan added, "Intel's transformation to a data-centric company is well under way and our team is producing great products, excellent growth and outstanding financial results. I look forward to Intel continuing to win in the marketplace."

The board has a robust succession planning process in place and has begun a search for a permanent CEO, including both internal and external candidates. The board will retain a leading executive search firm to assist in the process.
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123 Comments on Intel CEO Brian Krzanich Resigns - For Having Sex With Colleague

#1
lexluthermiester
Slizzo said:
He's the flipping CEO, potential for favoritism is way too high to let something like this slide.
While that is a good point, it's still not out of the question for many companies.
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#2
Fluffmeister
It is strange, but the CEO of Merica is also a nutter, he'll grab a pussy, and cage a child at his convenience.
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#3
Bones
Speaking of such, there's another that goes by the nickname "Bill" that the same could be said except he did such crap while in office, not before - And signed into law the ways things are being done NOW concerning the cages.

BTW, how is this relevant to the topic?
It's not.... Completely that is. Business is one thing, politics is another.
Posted on Reply
#4
Slizzo
To be clear, I am not contesting what the underlying motivation for him being forced to resign was. I am just saying what the company policy is, and that it was used properly in order to oust him from the company.

Board was looking for a good way to make sure he left and that he'd never be able to come back or contest the move. They found one and used it.
Posted on Reply
#5
R0H1T
mtcn77 said:
False dichotomy. The foundry business is one thing, executive lack of leadership is completely another. You cannot blame the foundry thingy on the CEO. Afaik, this guy was at the head of the foundries.
[Mr. Sivakumar]
The buck stops at the CEO, I also mentioned multiple fronts like the tens of billion $ going inside a sinkhole whilst trying to make Atom mainstream in the mobile & tablet arena. The SSD market where Intel is less relevant today than it was in 2013/14 or HPC where Nvidia's just scoring wins after wins; servers or data center where AMD, ARM (Cavium) & Power(9) are making a big comeback. Should I go on or will you bring the division heads of each of these segments & blame Intel's failures on them?
cadaveca said:
Um, delaying a launch means more return on investment of the stuff that is in place while the new is delayed... it's actually a good thing, not a bad thing from a business perspective. Intel still ahs top-performing products, regardless of technology behind them..technology that Intel developed and paid for, whose cost becomes less every day they use it.

But OK, let's jstu say that we need MROE stuff, because we aren't happy with what we got now... that sounds more like your personal perspective leaking through. :rolleyes:
That's arguably true but as AMD found out, with Athlon & Phenom, that delaying node shrinks can have a devastating effect in the silicon space. Also what about the ROI for 10nm, how long will that take or the next node shrink that'll be delayed even further?

Of course but that doesn't mean I'm 100% wrong, does it? Besides all of us have opinions & different perspective based on our personal experiences in life. Looking at it from a shareholder or board member PoV there's no doubt this is the worst time to be invested & vested into Intel, probably in the last decade & a half?
Posted on Reply
#6
mtcn77
R0H1T said:
The buck stops at the CEO, I also mentioned multiple fronts like the tens of billion $ going inside a sinkhole whilst trying to make Atom mainstream in the mobile & tablet arena. The SSD market where Intel is less relevant today than it was in 2013/14 or HPC where Nvidia's just scoring wins after wins; servers or data center where AMD, ARM (Cavium) & Power(9) are making a big comeback. Should I go on or will you bring the division heads of each of these segments & blame Intel's failures on them?
They did make Atom mainstream, though(I don't know in what world you live in)? ARM is a subsidiary.
Posted on Reply
#7
R0H1T
mtcn77 said:
They did make Atom mainstream, though(I don't know in what world you live in)?
Really, mainstream in the mobile space, since when?
Think about what you're saying, they're nowhere in the segment where by some estimates Intel spent as much as 20~30 billion dollars on contra revenue + R&D into things such as Sofia.
ARM is a subsidiary.
Sorry what?
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#8
GC_PaNzerFIN
So that is what the executive assistants were for. :D
If he really loses about 45 million on compensation over this like Bloomberg wrote, one hell of expensive affair.

I would have though he gets shown the door after total underestimation of AMD, 10nm failures, disastrous mobile chips, aborted IoT/AR/VR and maker stuff etc. not this.
Posted on Reply
#9
Bones
GC_PaNzerFIN said:
So that is what the executive assistants were for. :D
If he really loses about 45 million on compensation over this like Bloomberg wrote, one hell of expensive affair.

I would have though he gets shown the door after total underestimation of AMD, 10nm failures, disastrous mobile chips, aborted IoT/AR/VR and maker stuff etc. not this.
Logically speaking yes, you'd think those would be the reasons he got removed BUT if he was fired "Offically" for those reasons investors would have lost confidence and started leaving. This way it's not as harmful to their portfolio/stock price.
No matter what the reason, his leaving would affect the price of stocks of the company and they already knew it - But this way it's not about whether the company can compete since no investor wants to back a losing horse in the corporate world.

Obviously they used this reason to be rid of him while protecting the company's net worth on the stock market to the extent any expected loss over his termination would be minimized.
I'm sure the board members that made it happen could be blamed with alot of the crap themselves but they'd never admit it, this was a way of covering their own asses and letting the boss himself take the heat - And having more say or control for a certain few once he's out the door.

The first rule of management applies as said and they made it stick..... And made sure it would in the process.
Posted on Reply
#10
rtwjunkie
PC Gaming Enthusiast
GC_PaNzerFIN said:
I would have though he gets shown the door after total underestimation of AMD, 10nm failures, disastrous mobile chips, aborted IoT/AR/VR and maker stuff etc. not this.
You do realize in large corporations there are multiple departments of executives and brainiacs who worry about those things.

A chief executive sets a tone, a direction, and approves of the very biggest projects. Their job is certainly not in the weeds like all the examples you mentioned.
Posted on Reply
#11
mtcn77
R0H1T said:
Really, mainstream in the mobile space, since when?
Think about what you're saying, they're nowhere in the segment where by some estimates Intel spent as much as 20~30 billion dollars on contra revenue + R&D into things such as Sofia.

Sorry what?
You don't have to sell me on the Intel anti-capitalist idea, I'm an AMD'er. However, still, ARM is no longer a privately owned company.
Posted on Reply
#12
GC_PaNzerFIN
rtwjunkie said:
You do realize in large corporations there are multiple departments of executives and brainiacs who worry about those things.

A chief executive sets a tone, a direction, and approves of the very biggest projects. Their job is certainly not in the weeds like all the examples you mentioned.
Can't tell if you are making jokes or serious. Are you saying CEO has no responsibility of when he is being arrogant completely getting caught pants down by literally the only competitor in CPU business even after all the warning signs or losing tens after tens of billions by approving those multiple failed project?
Posted on Reply
#13
mtcn77
GC_PaNzerFIN said:
Can't tell if you are making jokes or serious. Are you saying CEO has no responsibility of when he is being arrogant completely getting caught pants down by literally the only competitor in CPU business even after all the warning signs or losing tens after tens of billions by approving those multiple failed project?
He is wrong for not gunning for extended reach of market segments. Take Broadwell for instance, it made great sense launching it as a single-threaded special version of the former Devil's Canyon. However that got swept under the rug when Intel hadn't taken AMD's multicore antics to heart.
Posted on Reply
#14
rtwjunkie
PC Gaming Enthusiast
GC_PaNzerFIN said:
Can't tell if you are making jokes or serious. Are you saying CEO has no responsibility of when he is being arrogant completely getting caught pants down by literally the only competitor in CPU business even after all the warning signs or losing tens after tens of billions by approving those multiple failed project?
I’m replying to someone who apparently has never been in an executive position, much less a chief executive. Otherwise you would know that those people do not analyze the enemy themselves. They have people whose job it is to do that, for instance and report their findings, much like the intelligence section of an army division would do for their senior commander. So it is hardly he that did any underestimating, if there was any.

People like to play armchair general....
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#15
mtcn77
rtwjunkie said:
I’m replying to someone who apparently has never been in an executive position, much less a chief executive. Otherwise you would know that those people do not analyze the enemy themselves. They have people whose job it is to do that, for instance and report their findings, much like the intelligence section of an army division would do for their senior commander.
Network wise, if the top layer had the law of the land nobody would exercise their initiative. Training for '>' is better in the long term than just the best(>) in neural networks at maintaining new alternatives.
Posted on Reply
#16
Totally
A lot of people need to think think with their heads, and learn to piece together details. Yes the CEO and the unknown woman had sex. Fraternization is not a blanket umbrella, i.e. harmless flirting doesn't count, so the involvement was romantic or sexual in nature. Here's where the braindead defenders pop-up and rabble rabble, "It wasn't stated in the PR!" well the folks who wrote the PR chose their wording very carefully, and the key word here is consensual, you don't describe flirting as consensual.
Posted on Reply
#17
Caring1
Totally said:
….. Here's where the braindead defenders pop-up and rabble rabble, "It wasn't stated in the PR!" well the folks who wrote the PR chose their wording very carefully, and the key word here is consensual, you don't describe flirting as consensual.
Yes you do, otherwise it's sexual harassment.
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#18
lexluthermiester
Totally said:
you don't describe flirting as consensual.
That is easily one of the more ludicrous things I've read in a while. Flirting is most definitely consensual. Flirting is a two-way street, it doesn't happen if it's not mutual participation because it requires back and forth interaction. Sorry mate, you're wrong on that one.
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#19
Slizzo
R0H1T said:
The SSD market where Intel is less relevant today than it was in 2013/14...
Sorry, had to take this snippet. Intel is absolutely as relevant today in SSD as they were back then. Optane is a big performer, and 3D Xpoint is a big player in that. While Intel's consumer SSDs may not be as relevant, Datacenter is taking off still.

But seriously, take another look at Optane. For it's use case (random IOs) nothing can come close.
Posted on Reply
#20
R0H1T
Slizzo said:
Sorry, had to take this snippet. Intel is absolutely as relevant today in SSD as they were back then. Optane is a big performer, and 3D Xpoint is a big player in that. While Intel's consumer SSDs may not be as relevant, Datacenter is taking off still.

But seriously, take another look at Optane. For it's use case (random IOs) nothing can come close.
Except Optane isn't SSD i.e. traditional NAND, remember that editorial the other day about Optane? Also outside of enterprise & HPC (niche segments) Optane atm is irrelevant for 99% of the folks, most of them can easily get a 970 Evo or something & not notice a difference.
mtcn77 said:
You don't have to sell me on the Intel anti-capitalist idea, I'm an AMD'er. However, still, ARM is no longer a privately owned company.
I'm not selling you anything, just challenging the notion that BK was a goodish CEO. He was anything but, IMO.
Posted on Reply
#21
Totally
lexluthermiester said:
That is easily one of the more ludicrous I've read in a while. Flirting is most definitely consensual. Flirting is a two-way street, it doesn't happen if it's not mutual participation because it requires back and forth interaction. Sorry mate, you're wrong on that one.
No duh, that's what I'm saying. Consensual flirting it's fricking redundant. If it's not consensual it's called harassment. Sorry for not making myself clear.
Posted on Reply
#22
medi01
Jizzler said:
it's the minimum bar standard
Jizzler said:
Humanity -- starts becoming real valid
Michelle Obama was Barrak Obama's boss, when they started dating.
About 15-20% of american couples met at work.

Descend from that high moral ground of yours, oh the one with great penis controlling skills.
Posted on Reply
#23
Slizzo
medi01 said:
Michelle Obama was Barrak Obama's boss, when they started dating.
About 15-20% of american couples met at work.

Descend from that high moral ground of yours, oh the one with great penis controlling skills.
Their work place probably didn't have a non-fraternization policy.
And, yes, true many Americans do meet at work. Still doesn't change the fact that INTEL has a non-fraternization policy, and their own CEO violated it.
Posted on Reply
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