President Donald Trump met the CEO of Intel, Lip-Bu Tan, and thinks that his “Success and Rise is an incredible story”. He also described Reunion as “very interesting” and has planned more for next week.
In a post on Social truthThe president said that Tan and his members of the cabinet “will bring suggestions” after these discussions. Although Trump has not specified the subjects, the suggestions will probably focus on the ways in which he and Intel can collaborate to strengthen the manufacture of national Tamiaux. A government’s cash injection would certainly help Intel to increase its capacity and compete with its main Taiwanese rival, Taiwan Semiconductor Manufacturing Company (TSMC).
Intel confirmed in a declaration That Trump and Tan had met “for a frank and constructive discussion on Intel’s commitment to strengthen American technology and the manufacture of leadership” and that he “seems impatient to work closely with him and his administration”.
Trump has a change of heart since the call of Tan’s resignation
Trump’s comments have indicated a change of heart since last Thursday, when He called on the lip Tan to “resign immediately“Because it is” very conflicting “via an article on social truth. Such conflicts of interest have been described in a Letter from the Senator of the Arkansas Tom Cotton The day before, which alleged that Tan “has deep ties with the Chinese communists”.
Tan, an American citizen born in Malaysia, became CEO of Intel in March. Before this role, he was a capital venture and CEO of Cadence Design Systems, a software company based in Silicon Valley which, in July, pleaded guilty to an export violation.
The advocacy agreement included a regulation of $ 140.6 million after a subsidiary CADENCE sold products to the national technology of China technology of the Defense University, violating American export restrictions. “These illegal activities have occurred under the mandate of Mr. Tan,” wrote Cotton.
The senator also presumed that Tan “control dozens of Chinese companies and has participation in hundreds of Chinese manufacturing and flea companies.” TAN capital venture work included investments in several Chinese technological companies.
At stake is nearly $ 8 billion in federal Intel funding as part of the Chips and Science Act. Cotton has supervised Tan’s curriculum vitae as a national security problem and asked the board of directors of Intel to disclose all the measures that could have been taken to deal with potential conflicts or demand that TAN is deposited by foreign companies.
Tan wrote an open letter to Intel staff after the Cotton bomb, arguing that he “always operated in the highest legal and ethical standards” and attacks the administration (United States) to approach the questions that have been raised and ensure that they have the facts. »»
Intel also shared a declaration Confirm that the Board of Directors and the TAN are “determined to advance American national and economic interests and make significant investments aligned on the president’s first program in America”.
Trump wants to see Intel succeed
Formerly a dominant force in the flea industry, Intel experienced difficulties in the middle of the boom of artificial intelligence. Unlike rivals specializing in the design or manufacturing of fleas, Intel continues to operate in the two sectors, a strategy that has left its manufacturing efforts to the TSMC.
In 2024, Intel’s action decreased by 60% and the company fell from first to second place on Gartner list of the best world semiconductor suppliers by income growth. It was also his first unprofitable year since 1986, displaying a net loss of $ 18.8 billion.
Then, CEO Pat Gelsinger, who directed Intel for 30 years, left after his recovery plan – focused on the silver funnel in new Fabs and the investment massively in its process of manufacturing inheritance fleas 18A – failed to deliver. It has been replaced by Tan, which has a training in design and manufacture of fleas, and had to reorganize the Intel production strategy.
Some of the major Tan movements have included POST the construction of two advanced semiconductor factories In Ohio, Cut 15% of the workforce,, Replacing internal processesAnd asset rotation who do not support his new mission. Unfortunately, it seems that the plans to use 18A to produce its new “Panther Lake” laptop fleas did not succeed, according to Reutersand it is Considering wrapping the process.
There were also rumors that TSMC would take control of some of the Intel Fabssomething that would have been Encouraged by TrumpBut these plans were pushed by the chairman of the Intel board of directors, Frank Yeary, according to the Wall Street JournalAnd Tan has never supported them. The CEO considers the internal manufacturing of chips as essential to reduce the dependence of the United States towards foreign competitors such as TSMC and Samsung.
Tan’s objectives therefore align with the president, who was Strongly pushing the production of national fleas through rates with high importance and Tax reductions. Trump recently began to grant the licenses of the American company NVIDIA to sell its chips advanced to ChinaDespite national security problems.
Intel would be Considering reducing its emphasis on its main process of manufacturing chiffs In an effort to better compete with the TSMC Rival and attract major customers, such as Apple and Nvidia.
