Intel said that Paul Otellini will retire from his role as CEO in May 2013.
Otellini, 62, was promoted from his position of executive vice president and general manager of the Intel Architecture Group to CEO in 2005.
Intel broke with a tradition of betting on engineers as CEOs for the chipmaker as Otellini holds a bachelor's degree in economics from the University of San Francisco and an MBA from the Haas School of Business at the University of California, Berkeley. Most notably, the two predecessors of Otellini, Craig Barrett (1998-2005) and Andy Grove (1987-1998), Intel's third employee, were engineers at heart.
Intel did not say who will replace Otellini. "The board of directors will conduct the process to choose Otellini’s successor and will consider internal and external candidates for the job," a statement read. earlier this year, Sean Maloney, the rumored candidate for the CEO, announced his retirement because of health reasons.
Another candidate, Pat Gelsinger, who led Intel's processor designs through their greatest growth period in the 1990s, is now CEO at VMware, but is still believed to be very interested in becoming CEO of Intel. Additional candidates include executive vice president of the Intel Architecture Group, David Perlmutter, as well as executive vice president for Intel Capital, Arvind Sodhani.
We would also expect Otellini to continue a tradition at Intel and phase out his career at the company by remaining on Intel's board of directors for some time.