Intel CEO Responds To Trump's Call For Resignation Over China Ties, Says Board 'Fully Supportive:' 'My Reputation Has Been...'
Intel CEO Lip-Bu Tan has responded to President Trump's call for his resignation over alleged ties to China, asserting his commitment to U.S. interests and Intel's success. In a letter to employees, he defended his reputation and emphasized the board's support for the company's strategy. Tan acknowledged concerns raised by the Trump administration regarding national security and Intel's federal grant under the CHIPS Act. Amid these challenges, Intel's stock has seen a decline, dropping 3.14% recently and 16.19% over the past month.
Intel INTC CEO Lip-Bu Tan has responded to calls for his resignation by President Donald Trump, asserting his loyalty to the U.S. and his commitment to the company’s success.
CEO Denies Conflict Claims, Re-Affirms US Commitment
In a public letter to Intel employees, Tan addressed the allegations of his ties to Chinese companies and the conflict of interest raised by Trump. Tan, who has lived in the U.S. for over 40 years, defended his reputation, stating that he has always operated within the highest legal and ethical standards.
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My reputation has been built on trust,” Tan stated in his letter, affirming his leadership at Intel.
He emphasized the importance of Intel’s success to U.S. technology, manufacturing leadership, national security, and economic strength. Tan also assured that Intel is addressing the concerns raised by the Trump administration and “engaging” with them.
Tan expressed his commitment to advancing U.S. national and economic security. He also addressed the Wall Street Journal’s reports about disagreements with Intel’s board over the company’s strategy, stating that the board is “fully supportive” of the company’s transformation efforts.
Intel’s Woes Amid Senator’s Allegations, Chip Yield Issues
Tan’s response comes after Trump’s call for his resignation due to alleged conflicts of interest. This follows a letter from Senator Tom Cotton (R-Ark.) demanding answers from Intel regarding the national security risks posed by Tan’s extensive Chinese investments, raising concerns about Intel’s $8 billion federal grant under the CHIPS Act.
“I fully share the President's commitment to advancing U.S. national and economic security, I appreciate his leadership to advance these priorities,” said Tan about Trump.
This comes at a critical time for Intel, as the company faces challenges with its 18A chip ambition, which has reportedly hit yield issues, jeopardizing its ability to profitably produce advanced chips.
On Thursday, Intel stock dropped 3.14%, while over the past month, it slumped 16.19%, according to data from Benzinga Pro.
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