Three years after being called back by Intel and appointing him as CEO, Pat Gelsinger has announced his resignation from the post after a severely challenging leadership since joining the company. Immediately after Pat Gelsinger stepped in as Intel's CEO, he had to answer the massive losses of the company, which started with Apple dropping them as chip suppliers for the Mac lineup.
Moreover, Gelsinger also faced the significant boom of artificial intelligence after OpenAI released the famed ChatGPT, leading to many asking for chips to power AI developments and data centers, to which the company did not have an answer during that moment.
Intel CEO Pat Gelsinger Steps Down After Catastrophic Reign
Intel announced this Monday that its CEO, Pat Gelsinger, has stepped down from his responsibilities after serving three years for the company as its chief executive, which also follows his colorful career with the semiconductor corporation. Gelsinger's career at Intel stems decades before he was given the role of CEO, and it is known that he previously served the company as its CTO (chief technology officer).
Gelsinger was given the role of CEO back in February 2021 which he accepted, and he was given the burden to overturn the company's struggles in the market after losing Apple as its customer, as well as generative AI's boom.
However, it was not an easy task for any company, especially one that fell behind the competition, with Gelsinger seeing significant controversies over the past, including the Raptor Lake lawsuit from earlier this year.
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Intel Stock Dropped 61% During Gelsinger's Leadership
CNN revealed that during Gelsinger's tenure, Intel saw a 61 percent stock dip, centering on a massive decline for the company that went on for years on end. That being said, Intel is currently looking to overturn its misfortunes by adopting a new business model by serving as a semiconductor manufacturer for its competitors, with Gelsinger's departure happening amidst the company's transition.
Intel named David Zinsner and Michelle Johnston Holthaus as interim CEOs to fill in what Gelsinger left behind, with Holthaus also appointed as the CEO of Intel Products, a new division of the company.
Intel's Struggling Company Over the Years
Intel faced hardships in the market during the massive adoption of smartphones almost two decades ago, but the company is still known for its massive dominance in the PC market which it held for a long time. However, one of the most notable losses by Intel was when Apple dropped them in 2020 to opt for their self-designed Silicon processors, the M-series chips.
Reports previously predicted that because of Apple's massive shift towards developing its SoCs and opting for its Taiwanese manufacturer, TSMC, Intel was set to face significant crashes in the market. It was revealed that Apple's timeline to fully transition to Silicon chips would take two years which was completed in 2023, but its effect against Intel was to bring down its market share to below 80 percent.
Most recently, Nvidia saw a massive wave of success in the market for its significant focus on AI chips that would help power the latest developments, now already the second most valuable company in the world after Apple. Gelsinger's tenure saw the grave hardships of a once dominant company that was left in the dust, and the former Intel CEO did not get the chance to turn things around for the company during his leadership, now bidding farewell and stepping down from his post.
