topical.day

Trump Demands Intel CEO Quit Over China Ties: ‘Highly Conflicted’

President Donald Trump on Thursday called for Intel’s CEO to resign as the tech company battles falling fortunes and criticism from the nation’s capital.

“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!” Trump posted on Truth Social.

Intel CEO Lip-Bu Tan’s past business dealings with Chinese companies and government-linked entities have fueled distrust among top Republicans, who argue that his close ties to Beijing pose a risk to America’s chip industry—a sector the White House deems critical to national security in the AI race against China. The Silicon Valley-based company is best known as one of the world’s largest semiconductor manufacturers, producing microchips that power computers and other devices.

Republican Sen. Tom Cotton of Arkansas, the top Republican and chair of the Senate Intelligence Committee, outlined his concerns in a letter to Intel earlier this week.

“Mr. Tan reportedly controls dozens of Chinese companies and has a stake in hundreds of Chinese advanced-manufacturing and chip firms. At least eight of these companies reportedly have ties to the Chinese People’s Liberation Army,” Cotton wrote.

“Mr. Tan was most recently the CEO of Cadence Design Systems, a company that makes electronic design automation (EDA) technology, which is a key enabler of advanced chip design. Last week, Cadence pleaded guilty to illegally selling its products to a Chinese military university and transferring its technology to an associated Chinese semiconductor company without obtaining licenses. These illegal activities occurred under Mr. Tan’s tenure,” Cotton added.

In a companywide email on Thursday, Tan, who is from Malaysia, reportedly denied any wrongdoing, insisting he has always held “the highest legal and ethical standards.”

“The United States has been my home for more than 40 years,” he wrote. “Leading Intel at this critical moment is not just a job – it’s a privilege.”

Tan founded the venture capital firm Walden International, through which Tan has participated in billions of dollars worth of investment deals with Chinese companies, some of which fall on U.S. government watch lists.

Intel received the largest grant awarded to a single company under the CHIPS and Science Act signed by President Joe Biden in 2022: nearly $8 billion. Tan’s deep web of business ties across China has thrown that grant into question and added more instability on top of Intel’s already turbulent business.

“Intel, the Board of Directors, and Lip-Bu Tan are deeply committed to advancing U.S. national and economic security interests and are making significant investments aligned with the president’s America First agenda,” the company said in a statement after Trump’s call for Tan to step down.

The tech company, once a leader in the tech industry, has struggled in recent years, and the backlash from political leaders has worsened its position. The company’s share price fell 3% on Thursday after the salvo from Trump. Since the start of last year, Intel’s share price has fallen roughly 60%, according to The Wall Street Journal.

Read More Stories