As a result of investigations into the death of a sailor when an ultra-fast AC72 catamaran capsized on May 9 and broke apart, competitors will review the integrity of the boats and their wing sails, the America’s Cup Event Authority said in a statement.

The authority also laid out a plan for improved personal safety gear, limits on wind speeds and several other measures to make the event – the most famous race in yachting – less dangerous.

Many of the revised rules are the result of suggestions by teams, some of which have already begun to adopt them, Golden Gate Yacht Club Vice Commodore Tom Ehman told Reuters.

“We’re pleased with what they’ve achieved in a short period of time. It’s a comprehensive set of recommendations,” Ehman said of the proposals adopted by the authority.

The new rules include reducing the number of qualifying races to allow more time for boat maintenance.

A request by the authority that competitors refrain from sailing during the investigation has been lifted and Oracle Team USA, backed by software mogul Larry Ellison, plans to sail in San Francisco Bay on Thursday morning, weather permitting, a team spokeswoman said.

Artemis Racing of Sweden, Italy’s Luna Rossa and a third team, Emirates Team New Zealand, are scheduled to begin competing on July 4 for the right to challenge Oracle for the America’s Cup. The championship regatta is scheduled for September.

Accidents are considered even more likely under race conditions than in training, and Artemis and Luna Rossa have indicated they may not compete in the absence of substantial rule changes.

Under rules for the 2013 cup, established by the defending champion, teams have built ultra-lightweight, double-hulled vessels with hard “wing” sails and hydrofoils that can cruise at close to 50 mph. The course this year tracks the San Francisco Bay shoreline, and the competition was designed to be far more spectator- and TV-friendly ever than past races.

Artemis said in a statement on Wednesday before the new rules were introduced that it is back to work but will not compete in the races if its crew is not safe, a decision that will depend on changes to the rules. An Artemis spokeswoman did not reply to a request for comment about the new rules.

Following the death of Artemis’ Andrew Simpson, a two-time Olympic medalist, and an incident in October when Oracle Team USA’s catamaran capsized and was swept out to sea, criticism has grown that the boats may be too hard to maneuver in San Francisco’s Bay’s heavy winds and rip currents.

The four teams and the race organizers had been meeting to determine what changes can be made to improve safety and assure that accidents don’t knock boats out of the competition.

Artemis Racing has proposed the use of smaller sails, power-assisted on-board controls and changes in rules relating to right-of-way and positioning on the water, a source close to the America’s Cup told Reuters.

Artemis is concerned about race scenarios where one boat could essentially force another into a dangerous maneuver, and has also raised questions about whether the course runs too close to shore, the source said.

(Editing by Jonathan Weber and Philip Barbara)

The shakeup, announced internally just days after the
30-year veteran took the helm, places most of the main product
groups of the world’s top chipmaker directly under the CEO’s
supervision and hands its sprawling global manufacturing
operation to new president Renee James, said a source close to
the company, who declined to be identified.

Details of the reorganization were outlined in an internal
memo sent to employees on Monday. It was described to Reuters by
a company source and details of the reorganization, which is
effective immediately, were confirmed by spokesman Chuck Mulloy
on Tuesday.

“As your CEO I am committed to making quick, informed
decisions. I am committed to being bolder, moving faster, and
accepting that this means changes will be made knowing that we
will listen, learn and then make adjustments in order to keep
pace with a rapidly changing industry,” Krzanich said in the
email, according to the source.

“Our business faces significant challenges, and we simply
must continue to execute while finalizing our future strategy,”
he reportedly wrote.

Krzanich officially took over as CEO last week and said that
under his leadership, the top chipmaker will be more responsive
to customers in an intensified focus on the fast-growing
smartphone and tablet market where it lags rivals.

The chipmaker’s main product groups – including the PC
client group, mobile communications and data center unit that
previously reported to Intel Architecture group chief Dadi
Perlmutter – now report directly to Krzanich.

After Perlmutter transfers his business groups, he and
Krzanich will “define his next significant contribution at
Intel,” according to the email described by the source.

Intel has called the shots in the personal computer industry
for decades, but it was slow to react to the explosion of
smartphones and tablets. The latter two markets are now
dominated by competitors like Qualcomm Inc and Samsung
Electronics Co Ltd, which design their chips using
architecture licensed from ARM Holdings Plc.

In his three-decade career at Intel, Krzanich has become
known for making fast decisions after consulting with trusted
lieutenants.

LOOKING AHEAD

Mike Bell will head up Intel’s newly formed “new devices”
group,” which Mulloy said will focus on emerging product trends.

“The new devices organization is responsible for rapidly
turning brilliant technical and business model innovations into
products that shape and lead markets,” Krzanich said in the
email, according to the source.

James, formerly head of the software arm, will now also
oversee the company’s sprawling global manufacturing operations
and all aspects of security technology.

Mulloy said Intel presidents have traditionally been
responsible for managing the manufacturing operations.

James will also lead corporate strategy and planning. Her
previous job as Intel’s software chief has been taken over by
Doug Fisher, a senior executive from that group.

Hermann Eul previously shared responsibility for Intel’s
mobile communications group, which makes smartphone chips, with
Bell, and he will now take full responsibility for that
business.

Senior Intel executives in the past have privately warned
against focusing too much on catching up in smartphones and
tablets at the expense of missing out on future trends in
mobile.

Krzanich’s creation of the “new devices” group signals he is
also looking beyond today’s gadgets.

“It’s a matter of what they do with the new division, what
can they identify and then deliver that maybe would not have
otherwise been something we’d see Intel inside of. It could be
very meaningful if they can execute,” said Williams Financial
analyst Cody Acree.

Venture capital fund Intel Capital, led by Arvind Sodhani,
now reports to Chief Financial Officer Stacy Smith instead of to
the CEO. Intel’s IT department, which reported to Krzanich
before his appointment as CEO, will also now report to Smith.

Shares of Intel were up 0.2 percent at $24.13 on Tuesday
afternoon on the Nasdaq.

The chipmaker’s main product groups – including the PC client group, mobile communications and data center unit that previously reported to Intel Architecture group chief Dadi Perlmutter – now report directly to Krzanich, the source said, citing the email sent to employees.

“As your CEO I am committed to making quick, informed decisions. I am committed to being bolder, moving faster, and accepting that this means changes will be made knowing that we will listen, learn and then make adjustments in order to keep pace with a rapidly changing industry,” Krzanich said in the email, according to the source.

Krzanich, a 30-year Intel veteran, officially took over as CEO last week and said that under his leadership, the top chipmaker will be more responsive to customers in an intensified focus on the fast-growing smartphone and tablet market where it lags rivals.

President Renee James, formerly head of the software arm, will now also oversee the company’s sprawling global manufacturing operations and take on additional parts of security efforts.

Intel spokesman Chuck Mulloy confirmed Krzanich sent the internal email describing the chipmaker’s reorganization. He said Intel presidents have traditionally been responsible for managing the manufacturing operations.

Mike Bell will head up Intel’s newly formed “new devices” group,” which Mulloy said will focus on emerging product trends.

Shares of Intel were up 0.6 percent at $24.23 in early afternoon on the Nasdaq.

(Editing by Gerald E. McCormick and Matthew Lewis)

The chipmaker’s main product groups – including the PC
client group, mobile communications and data center unit that
previously reported to Intel Architecture group chief Dadi
Perlmutter – now report directly to Krzanich, the source said,
citing the email sent to employees.

“As your CEO I am committed to making quick, informed
decisions. I am committed to being bolder, moving faster, and
accepting that this means changes will be made knowing that we
will listen, learn and then make adjustments in order to keep
pace with a rapidly changing industry,” Krzanich said in the
email, according to the source.

Krzanich, a 30-year Intel veteran, officially took over as
CEO last week and said that under his leadership, the top
chipmaker will be more responsive to customers in an intensified
focus on the fast-growing smartphone and tablet market where it
lags rivals.

President Renee James, formerly head of the software arm,
will now also oversee the company’s sprawling global
manufacturing operations and take on additional parts of
security efforts.

Intel spokesman Chuck Mulloy confirmed Krzanich sent the
internal email describing the chipmaker’s reorganization. He
said Intel presidents have traditionally been responsible for
managing the manufacturing operations.

Mike Bell will head up Intel’s newly formed “new devices”
group,” which Mulloy said will focus on emerging product trends.

Shares of Intel were up 0.6 percent at $24.23 in early
afternoon on the Nasdaq.

(Editing by Gerald E. McCormick and Matthew Lewis)

Prada fashion house co-founder Patrizio Bertelli said if the other three participants cannot agree on ways to improve safety, his team Luna Rossa Challenge could withdraw from the international competition due to get underway in San Francisco Bay in July.

Organizers have said races will go ahead, despite growing public concerns over safety after a British champion sailor was killed when one of the sleek, ultra-fast AC72 catamarans built for the competition capsized and broke apart last week.

Bertelli said his crew has faith in the AC72 boats and wants to race them, but he said the competition needs more water ambulances with professional divers and medics, and better personal safety gear like body pads and improved helmets.

“We sent the other teams our proposal to improve things,” Bertelli told reporters. “The important thing is to get all the competitors to the table to bring clarity to the America’s Cup.”

Organizers have left open the possibility of changes to the rules of the race, brought to San Francisco by Oracle co-founder Larry Ellison, whose team won the trophy in the 2010 event in Valencia, Spain.

After its first meeting on Thursday, a committee formed by organizers to review Swedish challenger Artemis Racing’s fatal accident asked the teams to suspend sailing both the 72-foot America’s Cup catamarans and the smaller AC45s until the middle of next week.

Bertelli’s proposal to lower the maximum wind speed that would be allowed for races to proceed will likely be well received, Golden Gate Yacht Club Vice Commodore Tom Ehman told Reuters.

“People are scratching their heads and wondering if the wind limit should be lowered,” he said. “There has been plenty of discussion among the teams about that, even before last week’s accident.”

Organizers have said they hoped to have recommendations from the committee within about two weeks. Among other factors, investigators will look at the structure of Artemis’ “Big Red” yacht, which Regatta Director Iain Murray has said differed significantly from the catamarans of other competitors.

A sailor at an airplane hangar that Luna Rossa is using as a temporary base on the island of Alameda demonstrated torso padding and a small emergency oxygen tank worn on the back with a flexible breathing tube fixed near his mouth.

“The best way forward for the expert Review Committee is to complete its work and publish its recommendations so that we will achieve the safest-possible resumption of AC72 training and racing on San Francisco Bay as soon as possible,” the America’s Cup Event Authority said in a statement.

Teams in the America’s Cup are required to stay within rules governing the design of their yachts but they also have leeway to customize their vessels with hydrofoils and other technology.

The death of Artemis’ Andrew Simpson, a two-time Olympic medalist, marked the second time that an expert crew on one of the high-tech yachts, estimated to cost around $8 million each, lost control and flipped their boat in the heavy winds and rip currents of San Francisco Bay.

Simpson was trapped underwater after the Artemis catamaran turned upside down and broke apart while training.

Winds had been blowing on the water at 18 to 20 knots, or about 23 to 25 miles per hour, which race organizers described as typical conditions.

On Thursday, crew mates from Artemis and the three other teams slated to vie for the trophy threw wreaths into the bay where Simpson was killed.

YACHT CONTROVERSY

The America’s Cup rules allow the winner of the most recent event – in this case Ellison’s team – to choose the venue and regulations for the next challenge, a series of races that begin in July and go into September.

Hoping to attract wider interest in the sport, Ellison’s Oracle Team USA created specifications that led to ultra-lightweight, two-hulled vessels with hard “wing” sails and hydrofoils that can lift most of the boat out of the water to reach speeds close to 50 mph.

But following the Artemis accident and an incident in October when Oracle’s catamaran capsized and was swept out to sea, criticism has grown that the boats may be too hard to maneuver in San Francisco’s Bay’s heavy winds and rip currents.

An Oracle team spokeswoman had no immediate comment on Friday, and a spokesman for the Artemis team could not be reached for comment. Artemis Racing has said it was in the process of conducting a review of the accident.

C.W. Nevius, a columnist for the San Francisco Chronicle newspaper, urged race officials to switch to the AC45s, which were used last year in early competitor eliminations, instead of the AC72s.

“The 72-foot catamarans are too much, too big, too powerful. Most of all, they are too dangerous,” Nevius wrote. “Someone needs to make a hard choice and say the race will go back to the 45-foot catamarans that raced last summer.”

Andy Turpin, managing editor of Latitude 38, a Bay area sailing magazine that had asked readers to share their thoughts about the accident, said about 80 percent of his readers also want the regatta to be sailed in the smaller boats.

“One of our readers made the analogy to the early days of Formula One racing. The biggest criticism is that they haven’t been on the water long enough,” Turpin told Reuters.

While Oracle has two AC72s, and Artemis has a second yacht that it has yet to launch in San Francisco Bay, Luna Rossa has only one.

The fourth team, Emirates Team New Zealand, has only one fully commissioned AC72.

(Reporting by Ronnie Cohen and Noel Randewich; Editing by Cynthia Johnston, Alden Bentley and Greg Stutchbury)

Organizers have said races will go ahead in July, despite growing public concerns over safety after a British champion sailor was killed when one of the sleek, ultra-fast AC72 catamarans built for the competition capsized and broke apart last Thursday.

They have left open the possibility of changes to the rules Of the race, brought to San Francisco by Oracle co-founder Larry Ellison, whose team won the trophy in the 2010 event in Valencia, Spain.

After its first meeting on Thursday, a committee formed by organizers to review Swedish challenger Artemis Racing’s fatal accident asked the teams to suspend sailing both the 72-foot America’s Cup catamarans and the smaller AC45s until the middle of next week. The committee was due to meet with the teams on Friday.

Organizers have said they hoped to have recommendations from the committee within about two weeks. Among other factors, investigators will look at the structure of Artemis’ “Big Red” yacht, which Regatta Director Iain Murray has said differed significantly from the catamarans of other competitors.

Teams in the America’s Cup are required to stay within rules governing the design of their yachts but they also have leeway to customize their vessels with hydrofoils and other technology.

The death of Artemis’ Andrew Simpson, a two-time Olympic medalist, marked the second time that an expert crew on one of the high-tech yachts, estimated to cost around $8 million each, lost control and flipped their boat in the heavy winds and rip currents of San Francisco Bay.

Simpson was trapped underwater after the Artemis catamaran turned upside down and broke apart while training. Winds had been blowing on the water at 18 to 20 knots, or about 23 to 25 miles per hour, which race organizers described as typical for the bay.

On Thursday, crew mates from Artemis and the three other teams slated to vie for the trophy threw wreaths into the bay where he was killed.

YACHT CONTROVERSY

The America’s Cup rules allow the winner of the most recent event – in this case Ellison’s team – to choose the venue and regulations for the next challenge, a series of races that begin in July and go into September.

Hoping to attract wider interest in the sport, Ellison’s Oracle Team USA created specifications that led to ultra-lightweight, two-hulled vessels with hard “wing” sails and hydrofoils that can lift most of the boat out of the water to reach speeds close to 50 mph.

But following the Artemis accident and an incident in October when Oracle’s catamaran capsized and was swept out to sea, criticism has grown that the boats may be too hard to maneuver in San Francisco’s Bay’s heavy winds and rip currents.

An Oracle team spokeswoman had no immediate comment on Friday, and a spokesman for the Artemis team could not be reached for comment. Artemis Racing has said it was in the process of conducting a review of the accident.

Prada fashion house cofounder Patrizio Bertelli, who heads the Luna Rossa Challenge team, has arrived in San Francisco to meet with officials and was expected to hold a news conference later on Friday. Bertelli has complained that the 2013 America’s Cup regulations have transformed it into an extreme sport.

C.W. Nevius, a columnist for the San Francisco Chronicle newspaper, urged race officials to switch to the AC45s, which were used last year in early competitor eliminations, instead of the AC72s.

“The 72-foot catamarans are too much, too big, too powerful. Most of all, they are too dangerous,” Nevius wrote. “Someone needs to make a hard choice and say the race will go back to the 45-foot catamarans that raced last summer.”

Andy Turpin, managing editor of Latitude 38, a Bay area sailing magazine that had asked readers to share their thoughts about the accident, said about 80 percent of his readers also want the regatta to be sailed in the smaller boats.

“One of our readers made the analogy to the early days of Formula One racing. The biggest criticism is that they haven’t been on the water long enough,” Turpin told Reuters.

While Oracle has two AC72s, and Artemis has a second yacht that it has yet to launch in San Francisco Bay, Luna Rossa has only one. The fourth team, Emirates Team New Zealand, has only one fully commissioned AC72.

(Reporting by Ronnie Cohen and Noel Randewich; Editing by Cynthia Johnston and Alden Bentley)

Contract manufacturers and companies making NAND flash memory chips are getting a lift from the proliferation of mobile devices and are driving demand for new equipment, Applied Materials executives told analysts on a conference call.

“The mobility trend remains the biggest factor influencing industry growth,” Chief Executive Mike Splinter said.

“Demand for the advanced application and baseband processors used in smart phones and tablets is fueling investment by foundries as they had capacity at 28 nanometers and begin 20-nanometer pilot production,” he added.

Applied Materials also provides manufacturing equipment and services for flat panel displays, solar photovoltaic and related industries.

The company said revenue for its fiscal second quarter, ended April 28, was $1.97 billion, down from $2.54 billion in the year-ago period.

The Santa Clara, California, company also said it expects current quarter revenue to be up slightly from the previous quarter.

Analysts had expected second-quarter revenue of $1.909 billion and third-quarter revenue of $2.120 billion, according to Thomson Reuters I/B/E/S.

In the second quarter, Applied Materials had a net loss of $129 million, or 11 cents a share, compared with net income of $289 million, or 22 cents a share, a year earlier.

Excluding items, the company earned 16 cents a share in the second quarter, compared with the 13 cents expected on average by analysts. It forecast adjusted EPS for the current quarter of 16 cents to 20 cents.

Shares of Applied Materials were flat in extended trade after closing down 0.95 percent at $14.66.

(Reporting by Noel Randewich; Editing by Steve Orlofsky)

Krzanich took over as chief executive at Intel’s annual shareholders meeting, replacing Paul Otellini, who in November unexpectedly announced his plan to retire. Under Otellini, Intel has been sidelined in smartphones and tablets while demand for its PC processors is on the wane.

“Yes, we missed it, we were slow to tablets and some of the mobile computing. We do believe we have a good base,” Krzanich told shareholders at an annual meeting.

Krzanich, a 30-year Intel veteran who made his name running Intel’s cutting-edge manufacturing plants, said he and software honcho Renee James, who the board elevated to president, have already started meeting with manufacturing customers.

“They’re all showing us – here’s where the market’s moving and here’s where we need Intel to move,” Krzanich said. “We’re going to make adjustments in our architecture and our product choices.”

Intel for decades has called the shots in the personal computer industry but it was slow to react to the explosion of smartphones and tablets, markets now dominated by competitors like Qualcomm and Samsung Electronics, which design their chips using architecture licensed from ARM Holdings Plc.

Intel’s strength has traditionally come from its manufacturing prowess, and Krzanich’s promotion is seen as confirmation by the board that the company’s multibillion-dollar network of cutting-edge factories still holds the key to success.

James’ promotion underscores a belief in Intel that software and other related services are also important ingredients.

“I think the emphasis is important,” Chief Financial Officer Stacy Smith said of Krzanich’s remarks.

“A focus on the end-customer, a focus on execution and a really strong focus on the ultra-mobile segment of the business. That’s pretty important,” Smith told Reuters.

Last week, Intel unveiled the most extensive overhaul to date of its Atom mobile processors that underpin its push into smartphones and tablets.

Intel’s processors have been used in a handful of smartphones in Asia, Africa and Europe but the company has yet to release Long Term Evolution, or LTE, a high-speed wireless technology already offered by Qualcomm and increasingly found in smartphones launched in the United States, including Apple’s iPhone and Samsung’s Galaxy line.

(Reporting by Noel Randewich; Editing by Alden Bentley)

Regatta organizers said they hope within two weeks to complete an investigation of last Thursday’s accident that led to the death of British champion sailor Andrew Simpson, a two-time Olympic medalist. Simpson was trapped underwater after the Artemis Racing team’s 72-foot catamaran capsized and broke apart in a training run.

“The America’s Cup remains on track and racing will take place this summer,” Tom Ehman, vice commodore of the Golden Gate Yacht Club, told reporters. “We have every reason to believe all four teams will be continuing.”

Artemis’ accident followed numerous warnings about the safety of the sleek, high-tech catamarans, called AC72s, and it marked the second time that one of the boats, estimated to cost around $8 million each, foundered amid the heavy winds and rip currents of San Francisco Bay.

Among other factors, investigators will look at the structure of Artemis’ “Big Red” yacht, which Regatta Director Iain Murray said differed significantly from the catamarans of other competitors.

Teams in the America’s Cup are required to stay within rules governing the design of their yachts but they also have leeway to customize their vessels with hydrofoils and other technology.

“It doesn’t get up and foil like all the other AC72s. It was obviously different to all the other boats,” Murray said of Artemis’ catamaran. “The design and structural concept is undertaken by the teams, and the reward and risk is on the teams.”

Artemis’ previously suffered a damaged sail and earlier this year made modifications to the yacht after performing poorly compared to Oracle’s team in San Francisco Bay.

Citing safety concerns since the accident, a German sailing federation has withdrawn its support for a German youth team competing in a regatta that uses smaller versions of the AC72s alongside the America’s Cup. But Murray said the youth team members want to compete and are looking for new backers.

While Artemis and Oracle Team USA, backed by Oracle Corp chief executive and billionaire Larry Ellison, have been sailing the boats in San Francisco Bay for months, other teams are only just establishing the bases they will use as they practice and compete through the series of races that begins in July and goes into September.

In October, an Oracle Team USA catamaran flipped and was swept under the Golden Gate bridge and out to sea. No one was hurt in that accident, but the boat required millions of dollars and months to repair.

Artemis has a second yacht that it has yet to launch in San Francisco Bay. Emirates Team New Zealand and Luna Rossa Challenge, the other two teams, have only one boat each, and a mishap could knock them out of the competition.

(Reporting by Noel Randewich; Editing by Tim Dobbyn)

Regatta organizers said they hope within two weeks to complete an investigation of last Thursday’s accident that led to the death of British champion sailor Andrew Simpson, a two-time Olympic medalist. Simpson was trapped underwater after the Artemis Racing team’s 72-foot catamaran capsized and broke apart in a training run.

“The America’s Cup remains on track and racing will take place this summer,” Tom Ehman, vice commodore of the Golden Gate Yacht Club, told reporters. “We have every reason to believe all four teams will be continuing.”

Artemis’ accident followed numerous warnings about the safety of the sleek, high-tech catamarans, called AC72s, and it marked the second time that one of the boats, estimated to cost around $8 million each, foundered amid the heavy winds and rip currents of San Francisco Bay.

Among other factors, investigators will look at the structure of Artemis’ “Big Red” yacht, which Regatta Director Iain Murray said differed significantly from the catamarans of other competitors.

Teams in the America’s Cup are required to stay within rules governing the design of their yachts but they also have leeway to customize their vessels with hydrofoils and other technology.

“It doesn’t get up and foil like all the other AC72s. It was obviously different to all the other boats,” Murray said of Artemis’ catamaran. “The design and structural concept is undertaken by the teams, and the reward and risk is on the teams.”

Artemis’ previously suffered a damaged sail and earlier this year made modifications to the yacht after performing poorly compared to Oracle’s team in San Francisco Bay.

Citing safety concerns since the accident, a German sailing federation has withdrawn its support for a German youth team competing in a regatta that uses smaller versions of the AC72s alongside the America’s Cup. But Murray said the youth team members want to compete and are looking for new backers.

While Artemis and Oracle Team USA, backed by Oracle Corp chief executive and billionaire Larry Ellison, have been sailing the boats in San Francisco Bay for months, other teams are only just establishing the bases they will use as they practice and compete through the series of races that begins in July and goes into September.

In October, an Oracle Team USA catamaran flipped and was swept under the Golden Gate bridge and out to sea. No one was hurt in that accident, but the boat required millions of dollars and months to repair.

Artemis has a second yacht that it has yet to launch in San Francisco Bay. Emirates Team New Zealand and Luna Rossa Challenge, the other two teams, have only one boat each, and a mishap could knock them out of the competition.