Intel CEO meets Trump after resignation demand

Trump meeting with Intel CEO Lip-Bu Tan follows an earlier demand for resignation, signaling a shift in tone toward the chipmaker.

Trump backs Intel CEO after demanding resignation

President Donald Trump said he and members of his cabinet met with Intel chief Lip-Bu Tan days after he publicly urged Tan to resign. Intel confirmed the meeting, and a company spokesperson framed it as a candid discussion about strengthening U.S. technology and manufacturing leadership. Intel shares rose about 2 percent in extended trading after the disclosure. The episode comes as Tan has faced scrutiny over his ties to China, and amid broader tensions in the U.S. push to maintain technological leadership in semiconductors.

Tan, who became Intel CEO in March, has acknowledged a difficult start, including layoffs and shifts in the foundry unit. The company has also paused or cancelled certain manufacturing site plans in Europe and slowed work in Ohio, moves that executives say are part of a longer turnaround. Last week, Sen. Tom Cotton questioned Tan’s connections to China and asked whether Intel required Tan to divest from positions linked to Chinese entities. The context includes competing pressures from the Trump administration and allies on chipmakers as the United States grapples with competition from China and national security concerns.

This episode highlights how political signals can press on corporate leadership without clear governance rules. When a president publicly praises a chief executive after previously calling for resignation, markets and workers watch for stability or further shifts in policy. Investors may weigh political risk as a factor in long term strategy, even when a company reiterates commitment to American leadership.

The wider backdrop is a global contest over semiconductor dominance and supply chains. The Nvidia episode and export-control talks show how policy moves can ripple through boardroom decisions. For Tan and Intel, the test is not just turning a company around but navigating a political landscape where leadership choices are closely watched by lawmakers, workers, and international partners.

Highlights

Markets will watch how political signals shape corporate leadership.