News in Short: Apple exec leaves in wake of iPhone problems; HP CEO resigns in wake of sexual harassment allegations


Apple exec leaves in wake of iPhone problems

Mark Papermaster is leaving Apple. Whether the leave is voluntary or not remains to be confirmed, but considering Mark was responsible for iPhone hardware—which failed terrible and cost Apple tens of millions when they were forced to offer free bumpers and cases—it’s probably a safe guess to think he wasn’t wanted anymore.

Mark had been a hard-earned employee, gained only after lengthy court battles with IBM, who claimed Mark knew company secrets and couldn’t join a potential competitor. Mark was with Apple for less than 2 years after getting hired in 2008.

HP CEO resigns in wake of sexual harassment allegations

Mark Hurd, CEO and president of Hewlett-Packard, has officially resigned. CFO Cathie Lesjak, a 24-year veteran of the company, will act as CEO on an interim basis. From HP:

Hurd’s decision was made following an investigation by outside legal counsel and the General Counsel’s Office, overseen by the Board, of the facts and circumstances surrounding a claim of sexual harassment against Hurd and HP by a former contractor to HP. The investigation determined there was no violation of HP’s sexual harassment policy, but did find violations of HP’s Standards of Business Conduct.

“As the investigation progressed, I realized there were instances in which I did not live up to the standards and principles of trust, respect and integrity that I have espoused at HP and which have guided me throughout my career,” Mark said. “After a number of discussions with members of the board, I will move aside and the board will search for new leadership. This is a painful decision for me to make after five years at HP, but I believe it would be difficult for me to continue as an effective leader at HP and I believe this is the only decision the board and I could make at this time. I want to stress that this in no way reflects on the operating performance or financial integrity of HP.”

“The corporation is exceptionally well positioned strategically,” Mark went on. “HP has an extremely talented executive team supported by a dedicated and customer focused work force. I expect that the company will continue to be successful in the future.”

“The board deliberated extensively on this matter. It recognizes the considerable value that Mark has contributed to HP over the past five years in establishing us as a leader in the industry,” lead director of HP’s Board, Robert Ryan, said. “He has worked tirelessly to improve the value of HP, and we greatly appreciate his efforts. He is leaving this company in the hands of a very talented team of executives. This departure was not related in any way to the company’s operational performance or financial condition, both of which remain strong. The board recognizes that this change in leadership is unexpected news for everyone associated with HP, but we have strong leaders driving our businesses, and strong teams of employees driving performance.”

“The scale, global reach, broad portfolio, financial strength and, very importantly, the depth and talent of the HP team are sustainable advantages that uniquely position the company for the future,” said interim-CEO Cathie. “I accept the position of interim CEO with the clear goal to move the company forward in executing HP’s strategy for profitable growth. We have strong market momentum and our ability to execute is irrefutable as demonstrated by our Q3 preliminary results.”