Menu
AMD replaces CEO with chip veteran Su, surprising analysts

AMD replaces CEO with chip veteran Su, surprising analysts

Rory Read was doing well leading the struggling company, analysts say

Advanced Micro Devices CEO Lisa Su

Advanced Micro Devices CEO Lisa Su

Advanced Micro Devices has a new CEO, Lisa Su, who will now try to stabilize a company that's attempting to diversify into new markets outside PCs and servers.

Su will replace Rory Read, who has stepped down from the post. Su solidified her position as the second-in-command to Read when she was appointed chief operating officer in June.

AMD has struggled financially in recent years but has had some bright spots with its chips now going into the Xbox One and PlayStation gaming consoles. The company is trying to hold on to market share in its bread-and-butter PC market but has reshaped its server road map around ARM processors. AMD is also making custom chips for clients as it tries to reduce its reliance on the declining PC market.

Nobody was expecting the move so quickly, but Su's very qualified for the job, said Nathan Brookwood, principal analyst at Insight 64.

"It's a good move, but I don't understand the timing," Brookwood said. Read could still have done a lot more for the company as CEO, he said.

Read has brought a level of stability to AMD since he was appointed CEO in 2011, with the company having a few quarters of profits under his reign. But AMD also has a history of unceremoniously changing CEOs. The company booted Dirk Meyer from the position in early 2011, and appointed outsider Read, a former Lenovo executive, later that year. This time, AMD found Read's successor within the company.

Su has a tremendous amount of technology depth and has spent her career in the semiconductor industry, Brookwood said.

"She understands the issues of semiconductor companies far better than Read," Brookwood said.

AMD is going through a multi-phase strategy to stabilize the company, get its product road maps in order and grow in new markets. Read introduced a culture of delivering products on time, and Su led the execution of timely development and delivery of chips. One success was delivering the complex chips for Xbox and PS4 on time.

Su was already associated with the growing parts of the company, such as semi-custom processors and embedded chips for the "Internet of things," said Dean McCarron, principal analyst at Mercury Research.

"The task at hand is to keep that momentum going," McCarron said. He also said the appointment came a bit earlier than expected.

AMD faces challenges in high-margin server chips, where it has a small market share compared to Intel. AMD is bringing the emerging ARM architecture into its x86-dominated server chip portfolio. The first ARM servers with AMD's chips are due early next year.


Follow Us

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags business issuesprocessorspersonnelComponentsAdvanced Micro Devices

Featured

Slideshows

Leading female front runners of the Kiwi ICT industry honoured at 2019 WIICTA

Leading female front runners of the Kiwi ICT industry honoured at 2019 WIICTA

Reseller News has honoured the leading female front runners of the New Zealand ICT industry at the 2019 Women in ICT Awards (WIICTA) in Auckland. The awards recognised standout individuals across six categories, spanning Entrepreneur, Rising Star, Shining Star, Community, Technical and Achievement. Photos by Gino Demeer.

Leading female front runners of the Kiwi ICT industry honoured at 2019 WIICTA
Reseller News kicks off awards season in 2019 with Judges' Lunch

Reseller News kicks off awards season in 2019 with Judges' Lunch

The 2019 Reseller News Innovation Awards has kicked off with the Judges Lunch in Auckland with 70 judges in the voting panel. The awards will reflect the changing dynamics of the channel, recognising excellence across customer value and innovation - spanning start-ups, partners, distributors and vendors. Photos by Christine Wong.

Reseller News kicks off awards season in 2019 with Judges' Lunch
Reseller News welcomes industry figures for 2019 Hall of Fame lunch

Reseller News welcomes industry figures for 2019 Hall of Fame lunch

Reseller News welcomed 2018 inductees - Chris Simpson, Kendra Ross and Phill Patton - to the third running of the Reseller News Hall of Fame lunch, held at the French Cafe in Auckland. The inductees discussed the changing landscape of the technology industry in New Zealand, while outlining ways to attract a new breed of players to the ecosystem. Photos by Gino Demeer.

Reseller News welcomes industry figures for 2019 Hall of Fame lunch
Show Comments