Intel CEO Brian Krzanich resigns over employee relationship
Thu 21 Jun 2018
Brian Krzanich, Intel’s CEO since 2013, has resigned after it was revealed he had been engaged in a ‘consensual relationship’ with an Intel employee.
This relationship violated Intel’s non-fraternisation policy for management and as such Krzanich was forced out. The company says that it was ‘informed’ of the relationship, after which point an investigation was carried out which confirmed it was in violation of Intel rules.
Intel accepted Krzanich’s resignation on the basis that it expects all employees to adhere to the company’s values and rules.
Chief Financial Officer Robert Swan has been named interim CEO while the firm looks for a suitable replacement.
“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.
In his position as interim CEO, Swan and the rest of the senior leadership team will be tasked with keeping a steady ship. Swan has previously served as CFO of eBay and Electronic Data Systems Corp.
Krzanich is not the first tech boss to be forced out because of an extracurricular affair. Steve Smith, Equinix’s former CEO, found himself in a similar situation in January of this year.
Questions will already be swirling around a possible replacement. Former HPE CEO Meg Whitman may have been suggested, though she has reportedly been put in place at the helm of a mobile content venture.
In the same announcement, Intel said that expects a record second quarter, with revenues of $16.9 billion (approx. £13 billion) and non-GAAP earnings per share of approximately $0.99.