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Papermaster hire on hold; IBM wins injunction
Apple's quest to replace outgoing iPod and iPhone VP Tony Fadell has run into a major roadblock: a federal district judge has granted IBM an injunction, forbidding former IBMer Mark Papermaster from joining Apple's ranks, at least for now. The story is a classic HR nightmare. According to a timeline at Fortune's Apple 2.0 blog, once he was offered a "once in a lifetime" position at Apple, Papermaster indicated he was going to resign at IBM. IBM executives then offered Papermaster a "substantial increase" in pay to entice him to stay. Papermaster declined, and quit. The next day, IBM filed their suit with the Southern District of New York, alleging that Papermaster is in violation of the non-compete clause of his employment contract. Papermaster claims in a counter-filing that Apple and IBM are in two totally different businesses: The former a consumer products company, the latter a high-end server manufacturer. Uh huh. Pundit Robert X. Cringely speculates that tapping Papermaster for the iPod/iPhone job was duplicitous, and Apple intends to move Papermaster into the lead position at the newly-acquired PA Semi division once the yearlong non-compete clause of his IBM contract expires. Apple said in a statement to Reuters that Apple "... will comply with the court's order but are confident that Mark Papermaster will be able to ultimately join Apple when the dust settles."
Two Apple VPs exit to -- you guessed it -- spend more time with family
According to a press release issued by Apple this morning, two Apple vice presidents are leaving the company for personal reasons, "as they devote more time to their young family." iPod division senior vice president Tony Fadell and his wife, Danielle Lambert, vice president of human resources, will "reduce their roles" at Apple. Lambert will stay until the end of the year to transition to a successor. "Tony and Dani have each made important contributions to Apple over the past eight years. We're sorry to see Dani go, and are looking forward to working with Tony in his new capacity," said Steve Jobs in the press release. Former IBM chip executive Mark Papermaster will be joining Apple later this month to replace Fadell, and will gain the new title of Senior Vice President of Devices Hardware Engineering. He's expected to bring his 25 years of experience to Apple's server technologies, as well. Papermaster unfortunately arrives with some baggage: IBM filed suit against Papermaster attempting to forbid him from taking his knowledge of the Power chip architecture to other companies. IBM said in a statement to CNET that "Mr. Papermaster's employment by Apple is a violation of his agreement with IBM against working for a competitor should he leave IBM. We will vigorously pursue this case in court." [Via MacDailyNews.]
