Intel CEO Lip-Bu Tan insisted on Tuesday he won't resign despite US President Donald Trump publicly calling for his resignation over reported "deeply conflicted" connections to China.
In a letter to employees, Tan reaffirmed his commitment to the company and to US national security, reaffirming that he still has the full support of Intel's board.
The scandal dates back to Tan's days as Cadence Design Systems CEO, a US company that pleaded guilty to charges in a criminal case of selling chip design technology to a Chinese military university on the blacklist. Tan has also been accused of investing approximately \\$200 million in various Chinese tech start-ups, some with reported ties to the People's Liberation Army.
The charges initiated questioning by two Republican senators and escalated following Trump's statements, fuelling tensions regarding Intel's corporate path. The shares of the company dropped between 3% and 5% due to political pressure.
Tan dismissed the allegations as "misinformation" and emphasized his firm personal and professional connections with the United States. "I've lived in the US for more than 40 years. I cherish this nation and am more than thankful for its opportunities," he said. He further stated that Intel was in talks with the White House to establish the facts and reaffirmed his commitment towards furthering Intel's objectives as well as US national interests.
He also pointed out that Intel will start producing in high volumes later this year with its latest US-based semiconductor process technology. The board publicly expressed confidence in his leadership and reform agenda.
After his remarks, Intel's stock recovered some of its losses, closing Friday at $19.95 — up 0.9% from Thursday's $19.77 — after briefly falling more than 3% on the President's remarks. That is still short of the stock's March 2025 high of about $25.94, set shortly after Tan became CEO.
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