Intel has appointed Lip-Bu Tan as its new CEO, effective March 18, replacing Pat Gelsinger. Tan, a well-known figure in the semiconductor industry, previously led chip design software firm Cadence Design Systems and served on Intel’s board.
Intel is facing a tough period, struggling to compete in the booming AI chip market while investing heavily to manufacture chips for other companies. This has raised concerns among investors about financial pressure on the company.
Tan had left Intel’s board last year, reportedly due to disagreements over the company’s management structure and customer focus. His biggest decision as CEO will be whether to keep Intel’s chip design and manufacturing together or separate them. Meanwhile, competitor TSMC has approached potential Intel customers about forming a joint venture to run Intel’s factories.
Following the announcement, Intel’s stock jumped 11%, reflecting investor confidence in Tan’s ability to steer the company forward.
