US President Donald Trump has called for the immediate resignation of Intel’s new CEO, Lip-Bu Tan. Trump labeled Tan as “highly conflicted” due to his extensive ties to Chinese firms. He expressed concern that Tan’s leadership threatens Intel’s efforts to cut costs and reset its strategy.
Trump’s criticism follows a letter from US Senator Tom Cotton to Intel’s board, questioning Tan’s links to Chinese companies and a past legal case involving his former firm, Cadence Design. Reports revealed that Tan invested at least $200 million in hundreds of Chinese manufacturing and chip companies, some connected to the Chinese military.
Intel is a vital part of the US plan to boost domestic chip production, having secured nearly $20 billion in government funding last year. Tan took over as CEO in March 2025, aiming to cut Intel’s workforce by 22% and halt some factory construction to stabilize finances.
Intel responded by emphasizing its commitment to US national security and the defense sector. The company promised to cooperate with the Senator’s inquiries and stated that Tan is dedicated to Intel’s strategic goals.
Once the global leader in chip manufacturing, Intel has lost ground to Taiwan’s TSMC and lacks presence in the fast-growing AI chip market. Tan’s leadership faces intense scrutiny amid efforts to revive the company and regain its competitive edge.