Merck CEO to Join Board

Raymond V. Gilmartin, chairman, president, and CEO of phamaceutical company Merck, is joining the Microsoft board of directors, adding some welcome strength to a board weakened by the departures of Microsoft co-founder Paul Allen and Hewlett-Packard Chairman Richard Hackborn last November. Gilmartin joined Merck in 1994 as president and CEO after serving as president and CEO of Becton Dickinson and Company, a healthcare product manufacturer.

Why Gilmartin?

Most companies in the high-tech industry tap executives from other, closely aligned technology companies for their board (Hackborn had filled this position on Microsoft’s board until his retirement). But Microsoft, like IBM, competes in so many markets, that conflicts with other technology companies are almost inevitable. With Gilmartin, Microsoft seems to have taken a cue from IBM, which fills its board with executives from unrelated but highly competitive industries such as petroleum and automotive manufacturing. Gilmartin heads a multi-billion dollar company (sales topped US$40 billion in 2000) that is among the leaders in its field, but which does not compete against Microsoft in any core markets.