Broadcom Corp. President and CEO Dr. Henry Nicholas III said he will resign from the company "to attend to serious family matters." Nicholas will serve out his current term as co-chairman of the company's board, but will not seek re-election this May during Broadcom's annual shareholder meeting.
Broadcom has tapped Alan "Lanny" Ross, the company's COO since November 2002, to assume Nicholas' president and CEO roles while the company searches for a permanent replacement. Dr. Henry Samueli will stay on as board co-chairman, CTO and vice president of research and development, Broadcom said.
Samueli and Nicholas co-founded Broadcom in 1991 and took the company public in 1998. Broadcom chips reside in devices such as cable modems, cable modem termination systems, digital set-tops, DSL central offices and home networking gear. Its "QAMLink" chipset was a key component in Scientific-Atlanta digital set-tops that Time Warner Cable deployed in the mid-1990s to support its groundbreaking but expensive Full Service Network trial in Orlando, Fla.
News of Nicholas' departure in late January was matched by a fourth quarter net loss by the company of $1.75 billion, or $6.40 per share, after special charges. His resignation also emerged in the wake of an executive reorganization at Broadcom that formed a new unit that will handle the chipmaker's cable and satellite product lines, including set-tops, modems and broadcast gear. That broadband communications division is helmed by former Conexant COO Daniel Marotta. He replaces Tim Lindenfelser, who, after nine years with the company, is on a leave of absence, Broadcom said.