The onset of 2018 is bringing out shortcomings of tech giants. Recently, Intel CEO sold million dollars’ worth of stocks before the news of security flaws in Intel’s microchips went public.
Here is how a series of events lead to the suspicion sale of stocks by Intel CEO.
How Many Stocks Intel CEO Sold?
According to media reports, Intel CEO, Brian Krzanich sold $24million worth of stocks. Brian who took charge of the company in 2013, sold the shares in late 2017.
After the Brian sold the shares, news of security flaws in Intel Microchips went public. In such scenario Intel CEO’s move to sell shares raise suspicion. The chips manufacturer said that selling of the stocks was just a part of the company’s plan. But news reports further reveal that company’s strategy came up later than the revelation of flaws in its chips.
Impact on Intel’s Shares
After the news of security flaws in microchips went public, it resulted in a 3% fall in Intel shares. It shows that the CEO’s action to sell his shares before the time has made him prevent a loss. The timing of selling the shares by an executive is often critical. Experts and analytics usually look for the conditions and event that might have compelled a company’s executive to sell the shares he is allowed to do.
How Security Flaws in Intel Security Chips Impacted the Devices
Selling of the shares by Intel CEO may impact the new shareholder, but consumers are also going to suffer directly. According to the latest news, Apple revealed that it’s Mac and iOS devices have been affected by the Meltdown and Spectre flaws found on Intel and ARM microchips. But, the company told that security issues in chips didn’t impact the customers till now.
Apple also told that all of its latest iPhones and iPads except its watches were vulnerable to the Meltdown and Spectre. But it has already issued guidelines for users for mitigating the threat of exposure to security flaws. The smartphone giant has also faced harsh criticism for its controversial slowdown of iPhones.
Google, Microsoft and other tech companies whose devices utilize the affected chips, have asked users for installing the latest security updates.
CERT, the US Cyber Security Project earlier asked users to replace their processors for securing their devices against any vulnerability. Now, it seems that device manufacturers have taken steps to fix the bugs. Perhaps this is the reason why CERT has now advised users to upgrade the security of their devices.