Components & Peripherals News
Intel: CEO Search Has No Timetable, But Board Works With 'Urgency'
Intel's search for its next CEO is ongoing and has no timetable, interim CEO Bob Swan said on Thursday, but the company's board is "working with a sense of urgency."
Swan provided the update during the Santa Clara, Calif.-based company's second-quarter earnings call, the first time Intel delivered quarterly results since the sudden resignation of former Intel CEO Brian Krzanich in late June. Krzanich stepped down after the board learned of a prior relationship he had with an employee, a violation of Intel's non-fraternization policy.
In his quick update, Swan said the company is still considering internal and external candidates. The company has not said who is being considered for CEO, but reports have floated former Intel executives Diane Bryant and Stacy Smith, as well as current executives Murthy Renduchintala and Naveen Shenoy.
Intel has been led in the interim by Swan, the company's chief financial officer who has reportedly told employees that he is not interested in taking the permanent role.
"I'd like to thank Brian [Krzanich] for his many contributions to the company," Swan said on the earnings call. He added that the former CEO's investments "set us on a course for innovation" and that Krzanich "developed the right strategy and leadership team" to help Intel get to where it is now.
Intel partners have told CRN that they would like the company's next CEO to build stronger personal relationships with the channel, among other things.
Intel hit another record for quarterly revenue with $17 billion in the second quarter, a 15 percent increase over the same period last year. The company's data-centric businesses, which includes Data Center Group and Internet of Things, grew 26 percent year-over-year to $7.9 billion while Intel's PC business grew 6 percent year-over-year to $8.7 billion. Both the data-centric and PC businesses grew at a faster clip than the previous quarter.
The company's net income climbed to $4.9 billion, or $1.04 per share, compared to a net gain of $3.5 billion, or 72 cents per share, a year ago.
Within Intel's data-centric businesses, the Data Center Group led the way with a 27 percent year-over-year increase to $5.5 billion. The Internet of Things Group and Intel's memory group saw record quarterly revenue, growing 22 percent to $880 million and 23 percent to $1.1 billion, respectively. The company's Programmable Solutions Group, which includes Intel's field-programmable gate array products, grew 18 percent to $517 million.
Intel's stock price was down more than 4 percent after market close Wednesday.