Intel Taps Rival For Chip Talent
November 21 2015 - 03:02AM
Dow Jones News
(FROM THE WALL STREET JOURNAL 11/21/15)
By Don Clark
Intel Corp. turned to the ranks of a major competitor, Qualcomm
Inc., to recruit an executive for what amounts to the No. 2 job at
the chip maker.
The Santa Clara, Calif., company said Venkata Renduchintala will
become president of a new group that includes selling chips for
personal computers, Intel's biggest business. His responsibilities
will also include software and services, platform engineering and a
business associated with the trend called the Internet of
Things.
Mr. Renduchintala, 50 years old, had been a Qualcomm executive
vice president and co-president in charge of the company's chip
business. Qualcommon Thursdaynamed Cristiano Amon as sole head of
that unit, and said Mr. Renduchintala, who goes by "Murthy," would
be leaving the company.
Intel, whose chips serve as calculating engines in computers,
has tried for years with limited success to crack the mobile-chip
market. Qualcomm is the biggest supplier of such products, offering
chips that serve as cellular modems as well as processors based on
technology licensed from ARM Holdings PLC.
Qualcomm is particularly good at combining such varied functions
in products called systems on a chip, an area in which Intel has
lagged behind the San Diego company.
Brian Krzanich, Intel's chief executive, cited Mr.
Renduchintala's expertise in those and other areas. He said the
appointment should accelerate Intel's work on communications
efforts and the Internet of Things, a term that refers to adding
computing and communications capabilities to many kinds of everyday
items. At an analyst meeting Thursday, Mr. Kzanich stressed the
importance of communications -- a specialty of Mr. Renduchintala's
-- to the Internet of Things.
Mr. Krzanich at the event said he has brought significant
changes to management at Intel, which has historically been known
for promoting from within. He estimated that 40% of executives that
directly report to him were recruited from outside Intel.
Mr. Renduchintala's appointment follows an announcement in July
that Intel President Renee James, who took that job when Mr.
Krzanich became CEO, would leave Intel at the end of the year.
The appointment also adds Mr. Renduchintala's name to the list
of executives in contention to one day succeed Mr. Krzanich. "All
executive appointments -- whether with internal or external talent
-- reflect Intel's long-range executive leadership planning
processes," an Intel spokeswoman said.
A Qualcomm spokesman saidthe firm decided several months ago to
have one president for its chip business. After Mr. Amon was
selected, Mr. Renduchintala was offered another role but he decided
to leave the firm instead, she said. The Intel spokeswoman said Mr.
Renduchintala wasn't available to comment.
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(END) Dow Jones Newswires
November 21, 2015 02:47 ET (07:47 GMT)
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