Intel’s shares fell Thursday following a post by former President Donald Trump on Truth Social, where he demanded the resignation of Intel CEO Lip-Bu Tan, citing alleged conflicts of interest.
“The CEO of Intel is highly CONFLICTED and must resign, immediately,” Trump wrote. “There is no other solution to this problem.”
Trump’s statement came shortly after Senator Tom Cotton sent a letter to Intel’s Chairman, Frank Yeary, raising concerns about Tan’s financial ties to semiconductor companies with reported links to the Chinese Communist Party and the Chinese military. Cotton questioned whether Tan had divested his investments in these firms to avoid national security risks.
“Mr. Tan reportedly controls dozens of Chinese companies and has a stake in hundreds of advanced-manufacturing and chip firms,” Cotton wrote. “At least eight of these reportedly have connections to the People’s Liberation Army.”
Tan, who took over as Intel’s CEO in March 2025, founded venture capital firm Walden International in 1987, which has backed numerous tech startups — many based in Asia. His portfolio includes investments in companies like Taiwan Semiconductor Manufacturing Company and China’s state-owned SMIC, a chipmaker pushing to strengthen China’s tech independence.
China’s state media has portrayed Tan as being deeply committed to Asian markets, a portrayal that is now drawing scrutiny as U.S.-China tensions escalate over control of critical technologies like semiconductors and artificial intelligence.
Cotton, who chairs the Senate Intelligence Committee, has voiced concern over possible Chinese espionage in tech and defense industries. He recently urged the Defense Department to ban non-U.S. citizens from roles that allow access to sensitive networks and called for investigations into Chinese nationals employed at U.S. defense contractors.
“The U.S. government recognizes that China’s cyber capabilities pose one of the most aggressive and dangerous threats to our country,” Cotton said, pointing to cyber intrusions targeting U.S. infrastructure and tech systems.
He added that companies receiving federal funds must follow strict security protocols and responsibly manage taxpayer dollars. Intel has received over $8 billion from the CHIPS Act, part of a government effort to boost domestic chip production.
Following Trump’s remarks and Cotton’s letter, Intel’s stock slipped 3.5%, even as broader markets, including the Nasdaq, saw gains.
Founded in 1968, Intel was once a dominant force in personal computing but struggled to adapt during the rise of mobile and, more recently, artificial intelligence. While competitors like Nvidia have surged ahead, Intel has been cutting costs and reducing its workforce — including scaling back some U.S. manufacturing — as Tan works to steer the company through tough times.
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