Trump's Call for Intel CEO Resignation Sends Shares Down 3%

Intel shares declined more than 3% in mid-morning trading on Thursday following a social media post by former U.S. President Donald Trump, in which he called on the company’s CEO, Lip-Bu Tan, to “resign, immediately” [1]. The statement, which appeared to demand a swift resolution, cited concerns over Tan’s professional background and alleged conflicts of interest. Trump wrote, “The CEO of INTEL is highly CONFLICTED and must resign, immediately. There is no other solution to this problem. Thank you for your attention to this problem!” [1].

The criticism had been previously raised by U.S. Senator Tom Cotton (R-Ark.), who questioned Tan’s ties to Chinese companies and referenced a criminal case involving Cadence Design, where Tan served as CEO until 2021. Cotton reportedly raised concerns in a letter to Intel’s chairman on Wednesday. Reuters reported that Tan has invested at least $200 million in several Chinese companies, including some linked to the country’s military, which has led to prior scrutiny in the investment community [1].

Andrew King, a partner at Bastille Ventures, commented on the issue, stating, “The simple fact is that Mr. Tan is unqualified to serve as the head of any company competing against China, let alone one with actual intelligence and national security ramifications like Intel” [1].

Tan’s appointment in March had been initially well-received by investors, with shares jumping 10% at the time. He was seen as a highly qualified candidate and marked a historic shift as the first outsider to lead the company. His leadership has included plans to reduce the workforce by 25,000 employees this year, though the company recently exceeded analyst expectations in its earnings report [1].

Trump’s intervention in the private leadership of a major U.S. technology company is unusual, though not unprecedented. In 2009, Barack Obama reportedly asked a CEO to resign as part of a government restructuring plan for a major automaker, which involved an aid package for General Motors [1].

Intel has not yet responded to requests for comment from Fortune regarding Trump’s demand [1].

Source:

[1] title: Intel shares fall after Trump demands the CEO ‘resign, immediately’

(url: https://fortune.com/2025/08/07/trump-intel-ceo-resignation-demand/)