Hassan Khan
Trump Urges Intel CEO to Resign Over Alleged China Ties Shares Dip
In a bold move that stirred Wall Street, former President Donald Trump took to his social platform to call for the immediate resignation of Intel CEO Lip-Bu Tan. Trump claimed the CEO is “highly conflicted” due to his connections with Chinese chip firms and demanded he step down without delay.
This public statement came shortly after Senator Tom Cotton raised serious concerns in a letter to Intel’s board, pointing out Tan’s investments in several Chinese semiconductor companies some of which allegedly have direct ties to the Chinese military and Communist Party.
Read More: As Intel Welcomes a New CEO, Here’s a Look at the Company’s Future
Tan, who only recently stepped in as Intel’s CEO in March, has not yet publicly addressed whether he’s divested from these Chinese interests. Meanwhile, Intel issued a carefully worded response, reaffirming its strong commitment to U.S. national security and support for the “America First” economic agenda.
The scrutiny didn’t stop there. Cotton’s letter also highlighted Tan’s previous leadership at Cadence Design Systems a company that pleaded guilty just last year to export violations. According to the U.S. Department of Justice, Cadence’s Chinese subsidiary knowingly sold sensitive U.S. tech to a university linked to China’s military. Cadence was hit with a $95 million fine.
Tan’s past includes launching a venture firm, Walden International, which has backed numerous tech startups in Asia, including investments in state owned Chinese chipmaker SMIC and Taiwan Semiconductor. While some see this as a sign of deep global experience, others are alarmed by the potential conflicts of interest.
See More: Intel’s stock tumbles after President Trump says its CEO must resign
With tensions between the U.S. and China heating up especially over chips, AI, and cybersecurity this situation couldn’t have come at a more fragile time. Senator Cotton is pushing for tighter restrictions, even calling on the Pentagon to ban non U.S. citizens from accessing sensitive networks, citing fears of cyber espionage.
Intel, a key recipient of over $8 billion from Biden’s CHIPS Act to boost U.S. chip production, is now under a harsh spotlight. The company’s stock fell more than 3.5% in Thursday’s trading session, while other tech stocks saw gains.
Once the king of personal computing chips, Intel has been struggling to regain its footing in an industry rapidly shifting toward AI. With fierce competition from rivals like Nvidia and cost-cutting in play, Tan was brought in to steer a turnaround. But now, questions about his background may overshadow those plans.
