Oracle CEO Larry Ellison on Thursday announced he'd be stepping down from his current position.
Ellison founded Oracle in 1977, and it is now one of the largest technology companies in the United States. Oracle creates software found in all kinds of modern technology.
The company is behind Java, the most popular programming language. Java actually plays an important role in the ubiquitous Android operating system. Oracle also develops numerous products for enterprise, networking, and business management. (Video via Google)
Ellison won't be leaving his company. According to a press release, he'll continue to guide the company as its board chairman and chief technology officer.
The CEO position will be split into two roles. Safra Catz will oversee manufacturing, finance, and legal. Sales, service, and business will go to Mark Hurd. Hurd and Catz served as the company's co-presidents before being appointed to their new roles.
Ellison’s decision to step down comes at a critical time for the company as it has been experiencing less than consistent sales.
A writer for Bloomberg says the move indicates technology companies are changing along with the devices and services they create. "The software industry he helped champion has been disrupted by the rise of cloud-computing technologies."
The company is likely looking for a way to pivot as cloud-based offerings replace the physical options of yesteryear that gave the company more opportunity to make money on license fees.
And Re/code suggests Hurd, who will be overlooking sales and service, is just the guy to do it. "Shares have risen by about 75 percent since Hurd came on board [in 2010], while revenue has risen by about 42 percent."
After the announcement, Oracle's stock fell 3% in after-hours trading.
This video includes images from Getty Images.
