Changes Ahead For Intel's Channel Group

latest reorganization and the retirement of channel chief Bill Siu

An Intel spokeswoman said the move will align CPG, formed last year, with Intel's other sales and marketing efforts, including OEM efforts. The group previously reported directly to Intel President and CEO Paul Otellini. Maloney, an Intel executive vice president, had served as co-manager of the Santa Clara, Calif., company's mobility group.

Intel plans to replace Siu, but his replacement will report to Maloney, the spokeswoman said. Siu, who will continue in the position until the end of the year to assist with the transition, currently reports to Otellini.

Two key U.S. channel staffers--Steve Dallman, director of distribution and channel sales and marketing, and Shirley Turner, director of North American distribution and channel marketing--will continue in their current positions at Intel, the spokeswoman said.

"CPG will continue to define and develop new platforms that address the needs of the next billion users in emerging markets, as well as drive initiatives that enhance the PC ecosystem and improve channel sales," according to a company statement on the reorganization.

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Intel said Siu, a 26-year Intel veteran who was based in Shanghai, China, is retiring to spend more time with his family and take care of some health issues. Intel said it aims to replace the position and maintain its presence in China and other developing nations.

Last week, Intel said it plans to lay off 1,000 high-level managers as part of an ongoing efficiency project to help the company react more quickly to change and operate at a lower cost.

On Wednesday, Intel reported a sharp decline in second-quarter profit amid a weak sales environment and an ongoing price war with rival Advanced Micro Devices.