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Dr. Eric Schmidt Dr. Eric Schmidt, Chairman of the Board and Chief Executive Officer  (Source: Google)
Eric Schmidt faces the music and leaves the Apple board

It was only a matter of time, but Google's Eric Schmidt has finally stepped down from his position on Apple's Board of Directors. Apple CEO Steve Jobs released a statement on Apple's press site describing the matter:

Eric has been an excellent Board member for Apple, investing his valuable time, talent, passion and wisdom to help make Apple successful. Unfortunately, as Google enters more of Apple’s core businesses, with Android and now Chrome OS, Eric’s effectiveness as an Apple Board member will be significantly diminished, since he will have to recuse himself from even larger portions of our meetings due to potential conflicts of interest. Therefore, we have mutually decided that now is the right time for Eric to resign his position on Apple’s Board.

Although Steve Jobs cites conflicts of interest between Google's Android operating system used in smartphones and Google's upcoming Chrome OS which will be used in netbooks, there have been other sources of friction between the two companies. Most recently, Apple rejected Apple's Google Voice application from appearing in the iTunes App Store and axed unofficial Google Voice applications as well. Many pointed fingers at a brewing conspiracy between Apple and AT&T seeing as how an official Google Voice application is available on Blackberry smartphones which use the AT&T wireless network.

The Google Voice rejection sparked the FCC to send letters to Apple, AT&T, and Google requesting more information on App Store rejections and AT&T's involvement in Apple's decision making process.

Earlier this year, it was reported that the FTC was investigating Schmidt for his role on Apple's board for a possible improper relationship. At the time, Schmidt felt that the relationship was harmless, stating, "If there are issues on competitiveness, I recuse myself.  From my perspective I don't think Google sees Apple as a primary competitor."



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Pirates of Silicon Valley II
By Mitch101 on 8/3/2009 10:22:52 AM , Rating: 2
Sounds like a story for Pirates of Silicon Valley II.




RE: Pirates of Silicon Valley II
By Brandon Hill (blog) on 8/3/2009 10:25:59 AM , Rating: 2
Noah Wyle could reprise his role as Steve Jobs... it's not like he's doing anything these days anyway (well, besides sitting on his millions from E.R.)


RE: Pirates of Silicon Valley II
By jaericho on 8/3/2009 10:32:52 AM , Rating: 2
The Librarian series was great!


By Master Kenobi (blog) on 8/3/2009 1:10:09 PM , Rating: 2
I agree, I rather liked the librarian series. He did a good job.


RE: Pirates of Silicon Valley II
By Mitch101 on 8/3/2009 10:40:07 AM , Rating: 2
I don't know Steve Jobs personally to ensure his character was accurately portrayed but given Apples reactions lately I can certainly envision him acting the way Noah Wyle portrayed him in the movie. Noah did an excellent job. I would say there is enough story around Steve to make several documentary style movies. Maybe even a reality TV show.


RE: Pirates of Silicon Valley II
By 16nm on 8/3/2009 11:16:34 AM , Rating: 2
quote:
Eric Schmidt Bolts...


LOL. I'm sure that that's a direct quote.


I have no idea...
By Motoman on 8/3/2009 10:34:16 AM , Rating: 3
...what these clods thought they were doing in the first place. How can it be acceptable to have to excuse one of your board members from the room when you start discussing certain products that he would have a conflict of interest with?

The whole point of having a board of directors is that you expect to benefit from their guidance. When a director has to keep leaving the room, you're not getting any benefit from him.

Earlier uneasiness with this was well-founded. It is flat-out a bad idea to have board members who have conflicts of interest with any portion of your business. If not illegal. Or maybe it should be illegal.




RE: I have no idea...
By Lifted on 8/3/2009 10:53:34 AM , Rating: 1
I'm starting to think you just like hearing yourself speak (or seeing yourself type). Your lack of knowledge on the subject sure doesn't prevent you from telling the world how things should be. You'd make a great politician.


RE: I have no idea...
By Motoman on 8/3/2009 11:21:10 AM , Rating: 2
...lack of knowledge? Please do elaborate...exactly what portion of my post indicates any lack of knowledge? I have a pretty good handle on what a board of directors does, and is expected to do. Apparently you don't.


RE: I have no idea...
By mars777 on 8/4/2009 12:36:59 AM , Rating: 3
There were no conflicts of interest since Apple and Google were in partnership before.

But now happened that the rest of the board lobbied against using google apps in the App store. Since there are AT&T lobbists there.

So the poor google man had to look up facts:

- Apple is against our apps
- FTC is against AT&T and Apple choice
- I have a conflict of interest if i go with the lobbists

Simple as that. He resigned and avoided conflict of interest AND possible legal problems with the FTC.


RE: I have no idea...
By Motoman on 8/4/2009 10:50:15 AM , Rating: 2
quote:
There were no conflicts of interest since Apple and Google were in partnership before.


...if there were not conflicts of interest before, why was he constantly having to excuse himself from board meetings in the past, as has already been posted and discussed here on DT and everywhere else on the internet? Ever since Google started work on (primarily) Android, Chrome, and the ChromeOS thing, there's been a conflict of interest, and he's been having to leave the board room during discussions about those market categories.

Try even just looking at the older related articles DT posts on the right side of the screen - this is far from a new issue.


By VultureTX on 8/3/2009 10:22:10 AM , Rating: 3
And there will be a FCC investigation, not just a request for clarification. ATT's actions to muddy the waters were not appreciated.
I expect Google management to be on the other side during that investigation. Google Voice and it's denial as an Iphone app is a pry bar the FCC can use to open up cell contracts, exclusivity, and WiFi data restrictions. Most of which once again benefits Google (and hopefully the consumers).




By captainBOB on 8/3/2009 2:53:00 PM , Rating: 3
Seems Logical Enough
By Tegeril on 8/3/2009 10:19:33 AM , Rating: 2
Conflicts, FCC investigation, time to go.




FCC != FTC
By kfonda on 8/3/2009 12:41:48 PM , Rating: 2
quote:
Earlier this year, it was reported that the FCC was investigating Schmidt for his role on Apple's board for a possible improper relationship


That should be FTC, Trade Commission not Communication Commission.




One board down one to go
By LostInLine on 8/3/2009 1:08:47 PM , Rating: 2
Now if we can get him off the president board so Googal can't gain unfair advantage in policy making.

http://blog.searchenginewatch.com/090428-120727




Twice as nice
By snikt on 8/4/2009 1:53:57 PM , Rating: 2
Dr. Eric Schmidt Dr. Eric Schmidt, Chairman of the Board and Chief Executive Officer

From the caption under his pic. Such a distinguished individual they included his name twice, for BOTH titles.




By blueboy09 on 8/4/2009 6:43:32 PM , Rating: 2
After all, you can't slave for two masters, without their being some consequences in the long run. - BLUEBOY




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