Trump accuses Intel CEO of being ‘highly conflicted,’ demands resignation as Tom Cotton highlights reporting into China ties
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“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 wrote Thursday morning.
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August 7, 2025
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·Fortune IntelligenceTrump accuses Intel CEO of being ‘highly conflicted,’ demands resignation as Tom Cotton highlights reporting into China tiesBy Nick LichtenbergBy Nick LichtenbergFortune Intelligence EditorNick LichtenbergFortune Intelligence EditorNick Lichtenberg is Fortune Intelligence editor and was formerly Fortune's executive editor of global news.SEE FULL BIO President Donald Trump.Anna Moneymaker/Getty ImagesPresident Donald Trump sent a jolt through the industry on Thursday, demanding the immediate resignation of Intel’s chief executive officer, Lip-Bu Tan, and branding him as “highly conflicted.” The call, issued via Trump’s Truth Social platform, s a request earlier in the week from Republican Sen
Tom Cotton to the Intel chairman, demanding answers Tan’s ties to China. “The CEO of Intel is highly CONFLICTED and must resign, immediately
There is no other solution to this blem
Thank you for your attention to this blem!” Trump wrote Thursday morning
Tan only took the helm at Intel in March 2025, and his appointment was initially welcomed by investors, with Intel’s stock rising as much as 15% ing his start
Tan took over from Pat Gelsinger, long considered a star CEO in the chips and semiconductor space, who was reportedly forced out by the board, which had grown frustrated with the former leader in the chips space losing market to Nvidia
By late July, Tan sent a memo to employees informing them of significant layoffs and other cost-cutting measures, and s were trading below their springtime level by that point
On Thursday, s fell as much as 3% in premarket trading after Trump’s post
Why Trump thinks Tan could be ‘conflicted’ The conflict centers on Tan’s financial and fessional ties to Chinese companies, particularly those with links to China’s military and nology sector
According to a Reuters investigation in April, Tan—either directly or via his venture funds—has invested at least $200 million in at least 20 Chinese advanced manufacturing and semiconductor firms between 2012 and 2024
The be identified several companies with links to the Chinese People’s Liberation Army
These revelations gained new urgency after Sen
Cotton sent an open letter to Intel’s board, also reported by Reuters, questioning Tan’s allegiances and whether the company could be trusted with nearly $8 billion in federal subsidies under the CHIPS and Science Act—money designed to shore up domestic chip fabrication critical to U.S. security, finalized during the Biden administration
Cotton’s letter demanded to know whether Intel had required Tan to divest any interests in Chinese nology companies or firms tied to China’s Communist Party and its armed forces
The senator referenced not just Tan’s investments, but also his leadership of Cadence Design Systems, a major chip design company
Less than two weeks before Cotton’s letter, in late July, Cadence admitted to violating export rules by viding nology to a Chinese military university and agreed to pay a $140 million fine as a result
Broader political context Trump’s demand comes just one day after he announced plans to impose a 100% tariff on imported computer chips, part of his broader economic campaign against reliance on foreign—especially Chinese—nology, with America’s lead in chips a key tension point
Trump’s s are also stoking new leadership drama for Intel, which has already cycled through several CEOs and directors in recent years amid fierce competition from Nvidia, AMD, and Samsung
The dustup threatens to further destabilize Intel at a critical moment
The company, which once dominated the global chip market, has been battling to regain its competitive edge in artificial intelligence cessors and advanced semiconductor manufacturing
Just days before Trump’s remarks, Intel said it was separating its networking division to line its operations under Tan’s leadership
Intel has pledged $100 billion toward U.S. chip manufacturing and packaging, with major jects in Arizona, Ohio, Oregon, and New Mexico
The company received almost $8 billion in direct CHIPS Act funding for these expansions
Companies including Micron nology, Samsung and Apple have also have pledged large-scale investments for American manufacturing
Several former board members of Intel criticized the company’s performance in a ary for Fortune earlier this week, arguing that “U.S. advanced semiconductor manufacturing has been withering for some time,” wrote Charlene Barshefsky, a former U.S
Trade Representative, Reed Hundt, a former chair of the Federal Communications Commission, James Plummer, a former Dean of Engineering at Stanford, and David Yoffie, a fessor at Harvard School. “The once-leading Intel appears to be dropping out of the race
Missed deadlines, poor execution, and a misguided strategy to retain manufacturing within Intel while also serving as a foundry for its fabless chip competitors resulted in a dearth of customers.” Intel did not immediately respond to a request for
For this story, Fortune used generative AI to help with an initial draft
An editor verified the accuracy of the information before publishing
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