AMD CEO Was Pushed Out By Board For Poor Tablet Strategy Tip Insiders

Insiders at AMD say ex-CEO Dirk Meyer didn't walk but was pushed by the chip company's board, displeased with the speed at which he had been turning around AMD's tablet and server prospects. According to the WSJ's sources, Meyer presented his plans for AMD at the annual strategy session, but the board felt they "would not produce change at the company quickly enough." Instead, the consensus was that "a CEO with different skills" was required in order for the company to grow successfully.

Meyer's departure has surprised analysts, who saw AMD's Fusion launch at CES 2011 last week as a relatively strong showing from the company. However, AMD's directors are believed to be disappointed not to have a mobile chipset to take on Intel's Atom platform. Meyer will receive severance benefits, since his departure is officially classed as "a termination of employment without cause" but AMD Co-Founder Jerry Sanders has called the board's action a disgrace. "They just don't understand the business," he told the WSJ. "They are looking for some magic bullet to find a market where they don't compete with Intel."