Mr. Krzanich, 51, will continue to oversee worldwide manufacturing for the world’s top chip manufacturer, while handling internal operations as well.
Previous to his appointment as Chief Operating Officer, Mr. Krzanich had been the senior vice president in charge of worldwide manufacturing. As Intel has a long standing tradition of hiring CEOs from within the company, Mr. Krzanich is largely seen as being the heir to the throne; current chief executive Paul Otellini served as COO before being appointed to the top job.
Under Intel bylaws, Mr. Otellini, 61, can continue to serve as CEO until May 2016, when he’ll reach the company’s mandatory retirement age, an Intel spokeswoman told Bloomberg.
This executive reshuffle comes a day after the chipmaker beat Wall Street’s moderate quarterly expectations. In an earnings call to investors, Intel says the reshuffling reflects plans reflect efforts to dramatically increase capital spending in order to catch up to competitors in the tablet and smartphone market.
Intel’s shares gained 1.6 percent to $26.04 in midday trade as investors welcomed its stable quarterly results.