Long Knives Cull Sun and CA Execs
Long Knives Cull Sun and CA Execs
May 16th, 2006: In what is being seen as an attempt to invigorate its fading storage business, Sun has appointed new heads of and merged its server and storage businesses and waved goodbye to previous storage chief Mark Canepa. After just a year in the job, CA’s chief financial officer Robert Davis will also be packing his bags.
Canepa has reportedly “decided to leave” Sun, former SPARC chief David Yen will replace him while John Fowler, previously head of x86 servers, has been named as head of its entire server business.
The moves are a major internal shift since Jonathan Schwartz was appointed as Sun CEO.
“Amplifying the outstanding performance of our UltraSPARC and x64 systems and the growing momentum behind Sun's Storage offerings, now's the time to accelerate growth, and leverage efficiencies,” says Schwartz. “Bringing the two organisations together allows us to leverage the best of our industry standard supply chain to fuel Sun's ability to capture the global opportunity to deliver the fastest, and most energy efficient systems on earth.”
A cloud has formed over CA after the announcement that chief financial officer Robert Davis will be leaving the company under a “mutual agreement”, with investors fearing more high-level departures.
Australian IT is reporting that according to Cowen and Company analyst Walter Pritchard, CA's announcement “will keep investors wondering if there is something more at play here than just a more difficult organisational transition.
“We don't believe the departure is a sign of accounting issues; however given (company) history, investors may fear the worst,” wrote Pritchard in a research note.
CA has however, seen two other executives recently leave, with chief operating officer Jeff Clarke taking a position at Cedent and chief technology officer Mark Barrenechea moving industries entirely to become a director of investment firm Garnett & Helfrich Capital.
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