AMD Stocks Dive after CEO Resigns - Image: Redjar (Flickr.com CC-BY-SA 2.0)
AMD, the second largest chip maker in the world, announced this morning that Dirk Meyers, their CEO, has resigned from his position. This announcement caused a panic in the market and the share prices for AMD started to dive and they have continued to do so throughout the day’s trading.
The statement released to the media by AMD said that the decision to resign was a mutual decision between Meyers and the board of directors. The thought was that Meyers was not taking the company in the right direction and the board was unsuccessful in their attempts to sway his opinion on the matter.
AMD has been looking to enter the mobile market for some time now but Meyers has concentrated the efforts of the chip maker on the computer and server world, directly competing with Intel. Now the board said that they will seek a new CEO that can strike the balance between computers and mobile computing that is necessary to keep the company ahead on the technology.
Even Intel has been struggling to keep up in the mobile market. Their first chip offering for the smart phone market was well behind smaller competitors in the market and they are now struggling to catch up.
Nonetheless, the board at AMD has a lot of work to do in the coming months. They have to find a new CEO that has the vision that they are looking for. Insider reports show that the company already has a short list of people that they will interview for the position.
