Donald Trump Demands Intel CEO Lip-Bu Tan Resign Over
Alleged China Ties
U.S. President Donald Trump on Thursday demanded the
immediate resignation of Intel CEO Lip-Bu Tan, citing alleged conflicts
of interest over his links to Chinese firms. The move came a day after
Republican Senator Tom Cotton publicly raised concerns about Tan’s
connections to companies with reported ties to China’s military.
Posting on Truth Social, Trump wrote, “The CEO of Intel
is highly CONFLICTED and must resign immediately. There is no other solution
to this problem.”
Senator Cotton’s letter to Intel’s board chair Frank
Yeary detailed Tan’s alleged control or investment in dozens of Chinese
companies—including at least eight with links to the People’s Liberation
Army. Cotton also pointed to Tan’s tenure as CEO of Cadence Design
Systems, which recently pleaded guilty to illegally selling chip design
software to a Chinese military university involved in simulating nuclear
blasts.
National Security Concerns
Cotton questioned whether Intel’s board knew of subpoenas
sent to Cadence during Tan’s leadership before appointing him CEO in March. He
also asked if Tan had divested from Chinese firms linked to the Communist Party
or military, especially given Intel’s participation in the Secure Enclave program, a Biden administration initiative to ensure secure U.S.
microelectronics for defence.
“Intel is required to be a responsible steward of American
taxpayer dollars,” Cotton wrote, warning that Tan’s associations could
compromise U.S. national security.
Intel’s Response
An Intel spokesperson said the company and Tan are “deeply
committed to the national security of the United States and the integrity of
our role in the U.S. defence ecosystem” and would address Cotton’s concerns
directly.
Reuters previously reported that Tan, either personally or
through venture funds, invested at least $200 million in hundreds of
Chinese advanced manufacturing and semiconductor firms between 2012 and 2024.
While a source claimed Tan had since divested, Chinese records still listed
many investments as active at the time of review.
Internal Disputes and Industry Challenges
Beyond political pressure, Tan faces internal disagreements
with Intel’s board over strategic direction—including whether to retain the
company’s manufacturing operations. His efforts to raise capital and acquire an
AI firm have reportedly stalled.
Intel, once a dominant force in chipmaking, has struggled
against Asian giants TSMC and Samsung, as well as Nvidia’s rise
in AI chips. Tan took the helm amid layoffs and a rapidly shifting
semiconductor market.
As scrutiny mounts, the controversy could reshape Intel’s
leadership and its role in U.S. technology and defence.
.jpg)
0 Comments