Here's a look at the major stories and big stock movements in tech Monday. The technology-heavy Nasdaq Composite closed at 4,905.47, a gain of less than 1%.
In an unusually public and lengthy rebuttal, a top Amazon (AMZN) - Get Report executive sharply disputed several key assertions and sources in an Aug. 15 article by the New York Times titled Inside Amazon: Wrestling Big Ideas in a Bruising Workplace.
In a post on Medium, Amazon's Senior Vice President of Global Corporate Affairs Jay Carney also provided details about the dismissal of a former Amazon employee who was quoted in the Times' article, written by Jodi Kantor and David Streitfeld. Companies rarely disclose that kind of information about a former employee.
"Here's what the story didn't tell you" about the former Amazon worker, wrote Carney, a former White House press secretary in the Obama Administration. "His brief tenure at Amazon ended after an investigation revealed he had attempted to defraud vendors and conceal it by falsifying business records. When confronted with the evidence, he admitted it and resigned immediately.
"Why weren't readers given that information?" Carney asked. "We were in regular communication with Ms. Kantor from February through the publication date in mid-August. And yet somehow she never found the time, or inclination, to ask us about the credibility of a named source whose vivid quote would serve as a lynchpin for the entire piece.
"If only it were an isolated mistake," Carney continued. "In fact, Kantor never asked us to check or comment on any of the dozen or so negative anecdotes from named sources that form the narrative backbone of the story."
Times Executive Editor Dean Baquet responded to Carney's post, also in a post on Medium.
"In response to your posting on Medium this morning, I want to reiterate my support for our story about Amazon's culture. In your posting -- as well as in a series of recent email exchanges with me -- you contested the article's assertion that many employees found Amazon a tough place to work.
"As the story noted, our reporters spoke to more than a hundred current and former employees, at various levels and divisions, over many months. Many, including most of those you cited, talked about how they admired Amazon's ambitions and urgency even as they described aspects of the workplace as troubling.
"The points in today's posting challenge the credibility of four of the more than two dozen named current or former Amazon employees quoted in the story or cast doubt on their veracity," Baquet added. "The information for the most part, though, did not contradict what the former employees said in our story; instead, you mostly asserted that there were no records of what the workers were describing. Of course, plenty of conversations and interactions occur in workplaces that are not documented in personnel files."
Baquet defended Kantor's work and also wrote that the dismissed Amazon employee mentioned by Carney "disputes Amazon's account of his departure."
In a second post on Medium, Carney responded to Baquet.
"Thank you for your response. The bottom line is the New York Times chose not to fact-check or vet its most important on-the-record sources, despite working on the story for six months. I really don't see a defensible explanation for that failure."
Shares of PMC-Sierra (PMCS) soared on Monday by 14.6%, closing at $11.73, after the Sunnyvale, Calif., chipmaker received a second, more lucrative offer to be acquired.
Microsemi (MSCC) announced Monday it had submitted an offer to buy PMC-Sierra for $2.2 billion in a cash and stock deal. The bid came less than a month after PMC-Sierra agreed to be bought by Skyworks Solutions (SWKS) - Get Report for $2 billion.
Shares of Microsemi dropped by 5.4%, closing at $35.33. Skyworks Solutions declined by 2.2.%, closing at $77.83.
Read TheStreet'sfull report.
Square, the other company run by Twitter (TWTR) - Get Report CEO Jack Dorsey, announced that it has hired former Yahoo! (YHOO) executive Jackie Reses to lead Square Capital, the company's business financing service.
"Jackie's understanding of the financial services industry and her background in tech and investing make her the perfect fit to lead Square Capital, and I'm thrilled she is joining our leadership team," said Dorsey, CEO of Square, in a statement.
Reses, who had been development chief at Yahoo!, is just the latest high-profile executive to leave Yahoo!, Re/code reported.
Square recently unveiled plans for its initial public offering. Shares of Yahoo! closed Monday at $33.50, up less than 1%.
IBM (IBM) - Get Report shares were tumbling by over 5% in after-hours trading after the company reported earnings after the market close that showed a continued revenue shortfall. IBM shares closed at $149.22, down nearly 1%, during the regular trading session.
"IBM's latest earnings report shows a continued sales slump, as weak hardware sales and a strong dollar brought revenue down for the 14th quarter in a row," the Associated Press reported. "The results were better than Wall Street expected for earnings, but revenue missed estimates."
This article is commentary by an independent contributor. At the time of publication, the author held no positions in the stocks mentioned.