Trump wants Intel CEO Lip-Bu Tan to resign immediately, calls him “highly conflicted”
Intel CEO Lip-Bu Tan is facing growing pressure after Donald Trump publicly called him "highly conflicted" and demanded his immediate resignation.
New Delhi: US President Donald Trump has publicly demanded the resignation of Intel’s newly appointed CEO Lip-Bu Tan. In a TruthSocial post dated August 6, Trump wrote, "The CEO of INTEL is highly CONFLICTED and must resign, immediately. There is no other solution to this problem. Thank you for your attention to this problem!”
The post comes amid growing political pressure on Tan’s appointment. Concerns around his past investments in Chinese tech companies, and his role at Cadence Design Systems, are now at the centre of a wider scrutiny involving US national security and defense-linked supply chains.
US Senator Tom Cotton questions Intel over Tan’s China ties
Just days before Trump’s post, Republican Senator Tom Cotton raised several questions in a letter addressed to Intel board chairman Frank Yeary. Cotton demanded answers about Tan’s reported connections with Chinese chip companies, some of which are allegedly linked to the Chinese military and the Communist Party.
Reuters, which accessed the letter, reported that Cotton asked whether Intel’s board knew about subpoenas sent to Cadence Design when Tan was CEO. He also asked whether Tan had disclosed his investments and connections to Chinese firms, especially in light of Intel’s participation in the Biden administration’s Secure Enclave program, which focuses on securing US-made microelectronics for defense purposes.
"Intel is required to be a responsible steward of American taxpayer dollars and to comply with applicable security regulations. Mr. Tan's associations raise questions about Intel's ability to fulfill these obligations,” Cotton reportedly wrote.
Report claims Tan linked to over 600 Chinese firms
Tan, who officially became Intel CEO in March 2025, is reportedly one of the most active Silicon Valley investors in China. A Reuters investigation found that he holds stakes in over 600 Chinese companies and directly controls more than 40 firms and funds, including at least eight entities with known links to the People’s Liberation Army.
These investments were primarily made through his venture capital firm Walden International, and two Hong Kong-based holding firms, Sakarya Limited and Seine Limited. As of October 2024, Tan was the sole owner of Sakarya and continues to control Seine via Walden. He remains chairman of Walden International.
It’s important to note that under current US law, American citizens are allowed to invest in Chinese companies unless they appear on the US Treasury’s Chinese Military-Industrial Complex Companies List. According to the Reuters report, no evidence has been found so far that Tan holds any direct investments in companies currently banned under this list.
Analysts divided on Tan’s role and qualifications
Tan’s appointment has sparked mixed reactions in the tech and investment circles. While some view his experience in Asia as an asset, others strongly disagree.
Andrew King, a partner at Bastille Ventures, told Reuters, "The simple fact is that Mr. Tan is unqualified to serve as the head of any company competing against China, let alone one with actual intelligence and national security ramifications like Intel and its tremendous legacy connections to all areas of America’s intelligence and the defense ecosystem.”
King clarified that neither he nor his firm has any investments in Intel.
On the other side of the debate, analysts like Stacey Rasgon from Bernstein have defended the appointment. "He was at the top of my list and most investors’ lists of who they wanted. He’s a legend and he’s been around forever,” Rasgon said.
Who is Lip-Bu Tan?
Tan is a well-known figure in the semiconductor and venture capital world. Before joining Intel, he served as CEO of Cadence Design Systems for over a decade. He was credited with leading a turnaround at Cadence and doubling its revenues during his tenure. He’s also been awarded the Robert N. Noyce Award in 2022, the highest honour by the Semiconductor Industry Association.
Born in Singapore, Tan holds a degree in physics from Nanyang Technological University, a Master’s in nuclear engineering from MIT, and an MBA from the University of San Francisco.
Intel, which alongside TSMC and Samsung is one of the few companies making cutting-edge chips for defense and commercial use, is under heavy pressure to revive its global standing. The Biden administration has directed large sums of federal money into semiconductor manufacturing, making CEO appointments and boardroom decisions subject to closer political and public attention.
As of now, Intel has not officially responded to Trump’s demand or Senator Cotton’s letter.