US President Donald Trump on Thursday demanded the immediate resignation of new Intel CEO Lip-Bu Tan, calling him "highly conflicted" due to his ties to Chinese firms and raising questions about plans to turn around the struggling American chip icon.
Reuters reported exclusively in April that Tan — himself or through venture funds he has founded or operates — invested at least $200 million in hundreds of Chinese advanced manufacturing and chip firms, some of which are linked to the Chinese military.
Trump’s comments came a day after Reuters was first to report that Republican Senator Tom Cotton had sent a letter to Intel’s board chair with questions about Tan’s ties to Chinese firms and a recent criminal case involving his former firm, Cadence Design.
"The CEO of INTEL is highly CONFLICTED and must resign, immediately. There is no other solution to this problem," Trump said in a post on his Truth Social platform, sending Intel shares down nearly 3 per cent in late morning trading.
A change in leadership at Intel could pile pressure on the company, which is also a pillar of US efforts to boost domestic chipmaking. Last year, it secured $8 billion in subsidies, the largest outlay under the 2022 CHIPS and Science Act, to build new fabs in Ohio and other states.