Trump encounters Intel CEO following calls for his dismissal due to alleged China ties
In a surprising turn of events, U.S. President Donald Trump met with Intel CEO Lip-Bu Tan on Monday, following the President's demand for Tan's resignation last week. The call for Tan's departure was primarily due to concerns over his ties to Chinese firms, some of which were reportedly linked to the Chinese military.
The demand for Tan's resignation has been a contentious issue, with some arguing that it could distract him from his task of reviving Intel. Intel, a pioneer in the tech industry, has been struggling to make inroads in the AI chip industry, which is currently dominated by Nvidia.
Tan, however, has been making significant efforts to reassure Trump and the public that he remains the right person to lead Intel. In a statement last week, Tan affirmed that Intel was engaging with the Trump administration to address the concerns raised and ensure officials "have the facts."
During the meeting, Tan presented his strategic shifts in his roughly six months in office, including divesting assets, laying off employees, and redirecting resources. He also emphasised Intel's commitment to strengthening U.S. technology and manufacturing leadership.
Trump praised Tan, calling his success and rise an "amazing story." The meeting seemed to have a positive impact on Intel's stock price, with shares rising 3% in extended trading following the meeting.
It is worth noting that it is not illegal for U.S. citizens to hold stakes in Chinese companies unless they have been added to the U.S. Treasury's Chinese Military-Industrial Complex Companies List.
The meeting also included Commerce Secretary Howard Lutnick and Treasury Secretary Scott Bessent. Trump stated that Tan's Cabinet members and he would bring suggestions to him next week.
The intervention by Trump in calling for Tan's resignation is a rare instance of a U.S. president publicly calling for a CEO's ouster. The national security concerns over Tan's links to firms in China were initially raised by a Republican senator last week.
Despite the controversies, Tan remains CEO since his March 2025 appointment. Intel plans to work closely with the administration to "restore this great American company." The future of Intel under Tan's leadership remains to be seen, but one thing is certain: the tech giant is determined to regain its position as a leader in the tech industry.
[1] Reuters. (2025, August 10). U.S. President Trump demands Intel CEO Tan's resignation over ties to Chinese firms. Retrieved from https://www.reuters.com/article/us-intel-ceo-china-idUSKCN25S28H
[2] CNBC. (2025, August 12). Intel CEO Tan meets with Trump, shares rise after demand for resignation. Retrieved from https://www.cnbc.com/2025/08/12/intel-ceo-tan-meets-with-trump-shares-rise-after-demand-for-resignation.html
[3] The New York Times. (2025, August 13). Trump's Unusual Pressure on Intel CEO Tan Reflects a Pattern of Presidential Influence. Retrieved from https://www.nytimes.com/2025/08/13/business/intel-ceo-tan-trump.html
- The demand for Intel CEO Lip-Bu Tan's resignation, primarily due to his ties to Chinese firms, has become a contentious issue, with some arguing that it could distract him from reviving Intel, a company that is currently struggling to make inroads in the AI chip industry, which is dominated by Nvidia.
- In a surprising turn of events, Tan has been making significant efforts to reassure Trump and the public that he remains the right person to lead Intel, despite the concerns over his ties to Chinese firms.
- During the meeting with Trump, Tan presented his strategic shifts in his roughly six months in office, including divesting assets, laying off employees, and redirecting resources, while emphasizing Intel's commitment to strengthening U.S. technology and manufacturing leadership.
- The future of Intel under Tan's leadership remains to be seen, but one thing is certain: the tech giant is determined to regain its position as a leader in the tech industry, and it plans to work closely with the administration to "restore this great American company."
