Yesterday, President Donald Trump publicly called for Intel CEO Lip-Bu Tan’s resignation, over accusations of “deeply conflicted” ties to China. Now, he is speaking out and making it clear he has no plans to step aside.
A quick recap
Before joining Intel, Tan worked as CEO for Cadence Design Systems, a firm that just pleaded guilty to an investigation by the Justice Department over charges of “selling its chip-design products to a Chinese military university,” per the Wall Street Journal’s description.
Tan was also the subject of a Reuters investigation earlier this year, which found that he had “invested in hundreds of Chinese tech firms, including at least eight with links to the People’s Liberation Army”.
This led at least two Republican Senators to publicly question Tan’s suitability as Intel’s Chief Executive Officer, and urge the board to consider new leadership.
Trump’s remarks yesterday escalated things further, adding to months of escalating friction between Tan and Intel’s board over the company’s future.
Tan speaks out
In a letter sent to all Intel employees (and later published on the company’s website), Tan pushed back on what he described as “misinformation” about his past ties to China, and reiterated his commitment to both the company and the United States.
“The United States has been my home for more than 40 years. I love this country and am profoundly grateful for the opportunities it has given me. (…) There has been a lot of misinformation circulating about my past roles at Walden International and Cadence Design Systems. I want to be absolutely clear: I have always operated within the highest legal and ethical standards.”
Despite mounting pressure both inside and outside the company, Intel’s board is standing by Tan for now, and the CEO says Intel is in active talks with the White House to clear the air:
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