Other Thoughts: Executive Changes
AMD re-hired an Apple director of graphics architecture, while Nvidia’s Tegra division boss, Phil Carmack left. In its quarterly report, the company forecast Tegra sales would be flat, despite sales in mobile devices still rising. This suggests that NVIDIA is facing stiff competition from Qualcomm (QCOM). To enhance shareholder value, NVIDIA said it would return a billion dollars to its shareholders, with $800 million from buybacks.
Intel named a successor to Paul Otellini. The company decided to promote internally, naming its current COO as the next CEO.Conclusion Speculators who bought AMD might take some profits if share pull back, but the transition story for AMD is intact. The market is forecasting a clearer outlook for AMD as the chip maker expands its business to areas outside of the desktop market.
Written by Chris Lau
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