Intel CEO Lip-Bu Tan has publicly confirmed he maintains the full backing of the company’s board of directors, despite a direct demand for his resignation from Donald Trump. As reported on social media, > "Intel CEO Lip Bu Tan says he has the full support of the company’s board after Trump publicly urged him to step down over alleged conflicts of interest." This marks Tan's initial public response to the former president's remarks, signaling his intent to remain in his leadership role while working to clarify his record.
Former President Trump, in a post on Truth Social, explicitly stated, "The CEO of INTEL is highly CONFLICTED and must resign, immediately." These accusations stem from concerns, amplified by Senator Tom Cotton, regarding Tan's reported investments in numerous Chinese companies, some allegedly linked to the Chinese Communist Party and the People's Liberation Army. Reuters previously reported on Tan's investments in such firms through venture funds between 2012 and 2024.
In a letter addressed to Intel staff and subsequently posted on the company's official website, Lip-Bu Tan directly refuted the allegations. He characterized the claims as "misinformation" and confirmed he has initiated contact with the White House to directly address and clarify his record. Intel, as a corporation, has also issued a statement asserting its deep commitment to advancing U.S. national and economic security interests, aligning its significant investments with the "America First agenda."
Further adding to the scrutiny, Tan's prior tenure as CEO of Cadence Design Systems until 2021 has been highlighted. Cadence recently agreed to plead guilty and pay over $140 million to resolve U.S. charges concerning its sales of products to a Chinese military university believed to be involved in simulating nuclear explosions. This history contributes to the narrative surrounding the alleged conflicts of interest now being raised against the current Intel chief.
The controversy has already impacted Intel, with its stock experiencing a 3-5% decline in pre-market trading following Trump's demand. Intel holds a critical position in U.S. efforts to bolster domestic chip manufacturing, having secured approximately $8 billion in subsidies under the 2022 CHIPS Act. A leadership change at this juncture could introduce significant pressure on the company's strategic initiatives amidst escalating U.S.-China technology rivalry.