Intel Taps Otellini As Next CEOIntel Taps Otellini As Next CEO

Intel's board, as expected, has named Paul Otellini to succeed Craig Barrett as CEO effective next May 18, the company announced Thursday.

Barrett will stay on at the company and will rise to the position of chairman, Intel said.

Otellini, 53, has been president and COO of Intel since 2002. He is a 30-year veteran of the Santa Clara, Calif.-based chip giant.

That Otellini will succeed Barrett, 65, is not a surprise, as Intel's mandatory retirement age for CEOs is 65. Barrett will succeed Andy Grove as Intel's chairman next year, the company said. Grove will leave the board, but will remain as a senior advisor to the board.

"Craig and Paul are the right team at the right time for Intel," Grove said in a statement. "We're exceptionally fortunate to have them at the helm.

Barrett has been CEO since 1998 when he succeeded Grove.