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Intel hires its nemesis to lead Client and IoT operations

Intel has hired Doctor Venkata “Murthy” Renduchintala - the former executive president of Qualcomm's mobile and computing division.

What is surprising is that until recently Dr. Renduchintala was Intel's business nemesis. Intel had battled with him to make headway into the mobile devices market where Qualcomm is a major player and Intel ultimately failed.

However the company seems to have magnanimously admired his good work in thwarting its initial efforts and has hired Renduchintala to head Intel's new “Client and Internet of Things (IoT) Businesses and Systems Architecture Group.”

Intel says the new group “brings together … Platform Engineering, Client Computing, IoT, Software and Services, and Design & Technology Solutions groups, which share a common set of technologies required for mobile SoC and connectivity leadership.”

Renduchintala's appointment will enable Intel to accelerate its inroads into the new target areas of growth, namely Client Computing, IoT and Design & Technology. This could be a tactical ploy, as it has already had to put its challenged mobile products under the same reporting structure as its highly successful – yet now financially challenged - desktop products. That move was necessary because Intel is a minor player in the growing markets for tablets and smartphones, so is seeing revenues under perform. Therefore, the company sees the client and IoT market as a replacement for revenues lost to declining PC sales.

Furthermore, IoT is another emerging market Intel has been looking at as a potential area for growth. However, when Microsoft pulled Windows 10 support from its Galileo developer boards last week and recommended the ARM-powered Raspberry Pi as its preferred alternative; this was a major blow to Intel’s IoT aspirations for this growing market.

Intel’s CEO, Krzanich's statement says “Intel's strategy and direction is solid” and that Renduchintala's appointment represents an effort to “evolve our organisational structure to better position the company for growth.”

Image source: Shutterstock/Ken Wolter