.png){kind=logo}
US President Donald Trump and Senator Tom Cotton have demanded the immediate resignation of Intel’s CEO, Lip-Bu Tan. Trump pointed out his suspicious business ties with China, calling him “highly conflicted.” This public criticism from Trump came shortly after Cotton raised three major questions in a formal letter sent to the Intel Board.
The Intel CEO, however, boldly dismisses these accusations by regarding them as mere misinformed rumors. He further added, “I have always operated within the highest legal and ethical standards,” emphasizing his commitment to the US national security in an internal memo of the company that was sent a few hours after Trump's criticism.
Lip-Bu Tan says, “The United States has been my home for more than 40 years. I love this country and am profoundly grateful for the opportunities it has given me and to the employees.”
In one of the recent meetings in the company, the Intel CEO addressed his employees, saying, “There has been a lot of misinformation circulating about my past roles at Walden International and Cadence Design Systems.”
However, a Reuters report reveals that the CEO invested around $200 million in more than 100 Chinese companies from March 2012 to December 2024. Additionally, eight of these companies are connected with the Chinese military. This has resulted in a steep 5% drop in Intel's shares.
Yet another reason for this demand, as reported by the Wall Street Journal and mentioned in The Times of India, is that the company is raising new capital to acquire artificial intelligence companies. This move raises serious concerns about future endeavors.
Lip-Bu Tan said that the board room is “fully supportive” of these transformative measures of the company and that Trump’s public intervention is putting pressure on an already embattled executive who is facing criticism from Wall Street.
Also Read: Intel Unleashes AI Power: Arc Pro GPUs Take Center Stage at Computex 2025!
To sum up, Lip-Bu Tan’s ties with Chinese companies, some of which are said to be connected with the Chinese military, have been greatly condemned by Donald Trump and Senator Tom Cotton. While Tan has dismissed these accusations and clearly regarded them as “misinformation,” it is true that the company’s shares dipped, losing investors’ support.
