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Fadell gets $300,000 golden handcuffs Apple deal

Ex-iPod boss given bulky annual 'shut-up' salary

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The former iPod daddy Tony Fadell will receive a hefty payout in his new “consultancy” role at Apple – where he’s also required to keep schtum about the company’s secrets.

A US Securities and Exchange Commission 10-k filing has revealed that Fadell will be paid an annual salary of $300,000 until 24 March 2010 in his new role as advisor to Steve Jobs. He’ll also get a bonus and health benefits under the deal.

But there is a caveat: Fadell is expected to stay firmly on Apple turf and to ignore any rivals that might be sniffing around him for clues about the firm's ubiquitous MP3 player and its technology.

On Tuesday Apple confirmed that Fadell, who is credited as being the key player in the development of the iPod, was stepping down from his job as boss of the MP3 player division for personal reasons.

Apparently he wants to spend more time with his young kids and wife, Danielle Lambert, who is also set to leave her veep HR post at Apple at the end of this year.

Apple has already caused consternation at IBM after it poached Big Blue veteran Mark Papermaster from its rival.

IBM filed a lawsuit against Papermaster, who is set to replace Fadell, on 22 October in the US District Court for the Southern District of New York in which it alleged that he was “privy to a whole host of trade secrets and confidences” used by IBM to design products. No, the irony isn't lost on us either. ®

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