Intel’s Chief Executive Officer, Pat Gelsinger, has stepped down after the company’s board lost confidence in his plans to revitalise the struggling chipmaker.
The board’s dissatisfaction came to a head last week during a meeting with Gelsinger, where his progress on regaining market share and closing the gap with industry leader Nvidia was scrutinised.
According to Bloomberg, Gelsinger was presented with two options: retire or face removal. The 63-year-old CEO chose retirement, bringing his leadership at Intel to an abrupt end.
In the wake of Gelsinger’s departure, Intel has appointed Chief Financial Officer David Zinsner and Executive Vice President Michelle Johnston Holthaus as interim co-CEOs while the company begins the search for a permanent successor. Additionally, Frank Yeary, Intel’s independent chair, will serve as interim executive chair during the transition.
Gelsinger’s exit caps a tumultuous tenure that began with high hopes but fell short of expectations. Regarded as a potential saviour of the company upon his return in 2021, Gelsinger brought a deep connection to Intel, having started his career there as a teenager and rising through the ranks before leaving in 2009 to lead VMware Inc.
When he rejoined Intel, Gelsinger vowed to restore the company’s dominance in semiconductor manufacturing, a position it had ceded to competitors like Taiwan Semiconductor Manufacturing Co (TSMC).
Gelsinger aimed to diversify Intel’s focus beyond its core PC and server processors by entering the contract chip manufacturing market, competing directly with TSMC and Samsung.