US President Donald Trump called for the immediate resignation of Intel Corp’s new CEO Lip-Bu Tan (陳立武), saying he was “highly conflicted” after questions arose about his ties to Chinese firms and sparking doubts over the future of the US chipmaking icon.
“There is no other solution to this problem,” Trump wrote on social media, knocking shares of Intel down nearly 5 percent in premarket trading.
The move comes a day after Reuters reported US Senator Tom Cotton sent a letter to Intel’s board chair with questions about Tan’s ties to Chinese firms and a recent criminal case involving his former firm Cadence Design Systems Inc.
Photo: Reuters
In April, Reuters reported that Tan — himself or through venture funds he has founded or operates — has invested in hundreds of Chinese companies, some of which are linked to the Chinese military.
Tan invested at least US$200 million in hundreds of Chinese advanced manufacturing and chip firms between March 2012 and December last year, Reuters found.
Intel did not immediately respond to a request for comment yesterday.
Tan, who took over the CEO role in March after the ousting of his predecessor Pat Gelsinger late last year, has set a goal of slashing the chipmaker’s workforce to 75,000 people by the end of this year, a reduction of around 22 percent.
Intel also vowed to take a more disciplined approach to manufacturing investment, after it fell behind Taiwan Semiconductor Manufacturing Co (台積電) and Samsung Electronics Co in the made-to-order semiconductor business. The company also has virtually no presence in the booming market for artificial intelligence chips dominated by Nvidia Corp.
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