- calendar_today August 31, 2025
President Donald Trump has called for the immediate resignation of the CEO of Intel, Lip-Bu Tan, over alleged conflicts of interest. Tan, a semiconductor industry veteran, was appointed as the new chief executive of Intel in March this year.
In a post on Truth Social on Thursday, Trump accused Tan of being “highly conflicted” and said: “The CEO of INTEL is highly CONFLICTED and must resign, immediately. There is no other solution to this problem.” The post did not elaborate on the nature of the alleged conflicts or provide any evidence to support the claim.
The former president’s comments come after Republican Senator Tom Cotton sent a letter to Intel’s board chair Frank Yeary last week, expressing “concern about the security and integrity of Intel’s operations” following Tan’s appointment. In the letter, Cotton cited Tan’s “extensive and decades-long business connections in China” and said that Intel, as the U.S.’s largest advanced chipmaker, must be able to withstand all kinds of risks.
Tan, who was born in Singapore, is a prominent Silicon Valley investor and has a long history of investing in and developing semiconductor companies. His venture capital firm, based in San Francisco, and companies with offices in Hong Kong have invested in many Chinese technology companies over the years. Tan was also a major early investor in SMIC, China’s largest chipmaker.
Tan has also come under criticism for his previous role as CEO of Cadence Design Systems, a California-based chip design software company. Last week, Cadence admitted that it violated U.S. export controls by selling its software to a Chinese university that is connected to the Chinese military.
Tan’s leadership and connections to China are now being scrutinized as Intel’s new CEO. Intel and the White House have declined to comment on Trump’s statement, but Intel’s shares fell by 3 percent in pre-market trading in New York on Thursday after the comments were made.
Tan took over as CEO of Intel in March, after the board of the company ousted the previous CEO, Pat Gelsinger, in December last year. He was appointed at a time when the company was facing significant challenges, including falling behind in the race to produce the world’s most advanced computer chips.
Intel is the only U.S.-based company that is still able to produce advanced chips. However, the company has also been mostly left out of the emerging boom in artificial intelligence chips that is being driven by U.S. technology companies.
Intel has been awarded billions of dollars in government subsidies and loans to help boost its competitiveness. The move is part of a broader effort by the U.S. government to increase domestic chip production and reduce its reliance on foreign chipmakers such as those based in Taiwan and South Korea. However, with Intel far behind its biggest competitor, TSMC, in advanced chip manufacturing, the pressure is on Tan to deliver on the company’s promises.
In July, Tan warned that Intel would stop developing its next-generation chipmaking technology if it did not have a “significant external customer.” If Intel were to do that, TSMC would be left as the only company that can make the most advanced chips in the world. Such a development would have serious implications not just for the semiconductor industry but also for U.S. national security.
Tan has also announced a series of cost-cutting measures to try to turn the company around and make it profitable again. However, these moves have also added to investor concerns about the future of the company.
Senator Cotton’s letter to Intel’s board chair also raised concerns about Tan’s appointment, saying that Intel, as a company that has received taxpayer subsidies, must be a “responsible steward of American taxpayer dollars and comply with applicable security regulations.”
