Papermaster (already sued by IBM for teaming up with the competition) will lead Apple’s iPod and iPhone hardware engineering teams. He has a Bachelors of Science in Electrical Engineering degree from the University of Texas, and Masters of Science in Electrical Engineering from the University of Vermont in 1988. He is active with the University of Texas where he is a member of the Electrical and Computer Engineering Advisory Council.

Tony Fadell has given up his position of senior vice president of the iPod Division at Apple and will remain as an advisor to the CEO. A similar but more drastic move has been made by his wife, vice president of Human Resources, who chose to simply leave the company at the end of the year.

“Mark is a seasoned leader and is going to be an excellent addition to our senior management team,” said Steve Jobs, Apple’s CEO. “Tony and Dani have each made important contributions to Apple over the past eight years. We’re sorry to see Dani go, and are looking forward to working with Tony in his new capacity.”

One question still comes to mind: what if IBM win the lawsuit and Papermaster has to sit on the bench for the next year? Will Apple offer Fadell a promotion?