Intel director, tech industry veteran Lip-Bu Tan exits board of struggling chip maker

The move follows Intel’s disastrous quarterly report earlier this month amid competition with rivals like Nvidia and Advanced Micro Devices

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The Intel headquarters in Santa Clara, California. Photo: Getty Images via AFP

Published: 9:55am, 23 Aug 2024Updated: 8:53pm, 23 Aug 2024

Intel director Lip-Bu Tan, a semiconductor industry veteran brought in two years ago to help with the chipmaker’s comeback effort, has stepped down from the board.

Tan informed the board on August 19 that he would be leaving, effective immediately, Intel said in a filing on Thursday, confirming an earlier report by Bloomberg News. The director, a former chief executive officer of Cadence Design Systems who also runs an investment firm, cited “demands on his time” for driving the move.

“This is a personal decision based on a need to reprioritise various commitments and I remain supportive of the company and its important work,” he said in the filing.

The move follows a disastrous quarterly report earlier this month, which sent Intel shares on their worst rout in decades. The once-dominant chip maker gave a dour forecast, suspended its long-standing dividend and announced plans to slash more than 15 per cent of its workers.

CEO Pat Gelsinger has been trying to restore Intel’s standing in the chip industry by pouring money into new factories and technologies, but rivals like Nvidia and Advanced Micro Devices have only made further gains.

Tan was elected to the board in September 2022 and appointed to Intel’s mergers and acquisitions committee.