President Donald Trump demanded the immediate resignation of Intel CEO Lip-Bu Tan in a post on Truth Social Thursday, calling him "highly CONFLICTED" and stating there is "no other solution to this problem."

This call for resignation follows concerns raised by Senator Tom Cotton regarding Tan's extensive business ties to China, including investments in hundreds of Chinese firms, some linked to the Chinese military, and his past leadership at Cadence Design Systems, which pleaded guilty to violating U.S. export controls by selling technology to a Chinese military university.

The demand came shortly after Senator Cotton sent a letter to Intel's board chair, Frank Yeary, expressing concerns about the security and integrity of Intel's operations and Tan's connections to China.

Tan, a Malaysian-born American businessman, was appointed Intel's CEO in March 2025 to lead the company's turnaround, which includes significant cost-cutting and restructuring efforts. His past investments, made through his venture capital firm and other entities, reportedly totaled over $200 million in hundreds of Chinese advanced manufacturing and chip firms, some with links to the Chinese military.

He also served as CEO of Cadence Design Systems from 2009 to 2021, during which time the company faced a criminal case over export control violations.

Intel in a statement, said that both the company and Tan are "deeply committed to the national security of the United States and the integrity of our role in the U.S. defense ecosystem" and that they would address the questions raised by Senator Cotton directly. The company has not issued a public statement on Tan's future or the resignation demand.

Intel's stock price fell significantly in pre-market and early trading on Thursday, following Trump's post.

The company is grappling with a severe crisis, struggling to keep pace with competitors’ superior products while reeling from a leadership overhaul and significant layoffs.

Trump administration emphasizes boosting U.S. manufacturing, particularly in the semiconductor industry. Intel has received federal funding to build massive new chip fabrication plants in Ohio, alongside its existing facilities in Oregon, Arizona, and New Mexico. These investments are critical to Intel’s strategy to revitalize its manufacturing capabilities.

However, Intel’s foundry ambitions are faltering. In July, the company alarmed markets by suggesting it might exit chip manufacturing if it cannot secure customers for its upcoming 14A process, set for 2028 or 2029.

The lack of major clients for Intel’s foundry operations has raised doubts about the viability of its strategy, with former board members urging a drastic rethink, including a proposed “Operation Warp Speed II” to nationalize Intel’s fabs through a public-private partnership.

Other companies are moving to increase manufacturing footprint in the U.S. to comply with Trump's America first policy 'MAGA' policies. Apple CEO Tim Cook on Wednesday, presented Trump with a golden plaque after announcing $100 billion in U.S. manufacturing investments. Nvidia, an Intel rival, committed $500 billion to U.S. production amid soaring AI-driven profits, and its CEO Jensen Huang secured relaxed export restrictions on AI chips.

A 22-year-old U.S. Army soldier, Taylor Adam Lee, from El Paso, Texas, was arrested on Wednesday on charges of attempting to transmit national defense information to a foreign adversary and attempting to export controlled technical data without a license, according to the Department of justice(DOJ).

Lee, who was stationed at Fort Bliss and held a Top Secret/Sensitive Compartmented Information (TS/SCI) security clearance, allegedly sought to provide classified technical information on the M1A2 Abrams main battle tank to Russia's Ministry of Defense. The Justice Department stated he attempted to exchange this information for Russian citizenship, with the FBI investigation revealing he communicated with an individual he believed to be a Russian intelligence officer.

Lee allegedly began establishing contact with the individual he believed to be a Russian intelligence officer in May 2025, aiming to bolster his credentials and send U.S. defense information 

In June 2025, he transmitted export-controlled technical data on the M1A2 Abrams tank online, stating, "the USA is not happy with me for trying to expose their weaknesses," and offered to "volunteer to assist the Russian Federation when I’m there in any way" 

In July 2025, Lee met in person with the individual he believed to be a Russian representative and handed over an SD card containing documents and information on the M1A2 Abrams tank, another armored fighting vehicle, and combat operations  Several documents on the card were marked as Controlled Unclassified Information (CUI) with dissemination controls 

On July 31, 2025, Lee delivered what he believed to be a specific piece of hardware from the M1A2 Abrams tank to a storage unit in El Paso and sent a message stating, "Mission accomplished" 

The case is being prosecuted by the Department of Justice's National Security Division and the Western District of Texas, with the FBI and U.S. Army Counterintelligence Command leading the investigation.

President Donald Trump demanded the immediate resignation of Intel CEO Lip-Bu Tan in a post on Truth Social Thursday, calling him "highly CONFLICTED" and stating there is "no other solution to this problem."

This call for resignation follows concerns raised by Senator Tom Cotton regarding Tan's extensive business ties to China, including investments in hundreds of Chinese firms, some linked to the Chinese military, and his past leadership at Cadence Design Systems, which pleaded guilty to violating U.S. export controls by selling technology to a Chinese military university.

The demand came shortly after Senator Cotton sent a letter to Intel's board chair, Frank Yeary, expressing concerns about the security and integrity of Intel's operations and Tan's connections to China.

Tan, a Malaysian-born American businessman, was appointed Intel's CEO in March 2025 to lead the company's turnaround, which includes significant cost-cutting and restructuring efforts. His past investments, made through his venture capital firm and other entities, reportedly totaled over $200 million in hundreds of Chinese advanced manufacturing and chip firms, some with links to the Chinese military.

He also served as CEO of Cadence Design Systems from 2009 to 2021, during which time the company faced a criminal case over export control violations.

Intel in a statement, said that both the company and Tan are "deeply committed to the national security of the United States and the integrity of our role in the U.S. defense ecosystem" and that they would address the questions raised by Senator Cotton directly. The company has not issued a public statement on Tan's future or the resignation demand.

Intel's stock price fell significantly in pre-market and early trading on Thursday, following Trump's post.

The company is grappling with a severe crisis, struggling to keep pace with competitors’ superior products while reeling from a leadership overhaul and significant layoffs.

Trump administration emphasizes boosting U.S. manufacturing, particularly in the semiconductor industry. Intel has received federal funding to build massive new chip fabrication plants in Ohio, alongside its existing facilities in Oregon, Arizona, and New Mexico. These investments are critical to Intel’s strategy to revitalize its manufacturing capabilities.

However, Intel’s foundry ambitions are faltering. In July, the company alarmed markets by suggesting it might exit chip manufacturing if it cannot secure customers for its upcoming 14A process, set for 2028 or 2029.

The lack of major clients for Intel’s foundry operations has raised doubts about the viability of its strategy, with former board members urging a drastic rethink, including a proposed “Operation Warp Speed II” to nationalize Intel’s fabs through a public-private partnership.

Other companies are moving to increase manufacturing footprint in the U.S. to comply with Trump's America first policy 'MAGA' policies. Apple CEO Tim Cook on Wednesday, presented Trump with a golden plaque after announcing $100 billion in U.S. manufacturing investments. Nvidia, an Intel rival, committed $500 billion to U.S. production amid soaring AI-driven profits, and its CEO Jensen Huang secured relaxed export restrictions on AI chips.