Intel’s New CEO Lip-Bu Tan Pays a Visit to Santa Clara HQ — Here’s What’s Next for Team Blue Under His Leadership
Intel’s newly appointed CEO Lip-Bu Tan has officially taken the reins at a critical turning point for the company, and his recent visit to Intel’s Santa Clara headquarters marks the start of what could be a transformative — though initially rocky — chapter for Team Blue. After the exit of former CEO Pat Gelsinger, Intel’s leadership transition arrives amid challenges across nearly all business segments. From losing momentum in AI to being outpaced in the semiconductor race by AMD and NVIDIA, Intel now faces mounting pressure. The board’s decision to bring in Lip-Bu Tan signals a strategic recalibration — one aimed at reinvigorating Intel’s competitive position in both core and emerging markets.
Tan is widely respected for his tenure at Cadence Design Systems, where he served as CEO from 2009 to 2021. Under his leadership, Cadence saw tremendous financial growth, doubling its revenue and cultivating strategic ties in key regions, including China — a vital market for AI and semiconductors. With Tan's track record and global perspective, there is cautious optimism that he may be the right leader to steer Intel through its ongoing reinvention.
Immediate Vision: IFS, Foundry Focus & Market Expansion
One of Tan’s first moves as Intel CEO was to reaffirm the strategic importance of Intel Foundry Services (IFS). Contrary to speculation about a potential spin-off, Tan emphasized that IFS is central to Intel’s transformation strategy. He labeled this moment as “one of the most pivotal in Intel’s history” and expressed clear intent to strengthen Intel's position in the semiconductor and foundry markets, directly competing with TSMC.
Tan’s familiarity and past admiration for TSMC — a company he often worked closely with during his Cadence days — could indicate a more pragmatic approach to foundry partnerships. While in-house manufacturing remains a priority, he may push for outsourcing chip production to external fabs like TSMC if Intel's 18A process node fails to meet expectations.
Structural Reforms & Potential Challenges Ahead
Tan’s restructuring plan is anticipated to be sweeping, potentially including cost-cutting measures and layoffs. While no official details have been confirmed, internal whispers suggest that significant workforce changes could be coming.
His leadership is expected to bring a more customer-focused, engineering-driven culture, with stronger accountability and progress monitoring — hallmarks of Tan’s previous roles. However, success won't be immediate. Intel is still recovering from multiple delays, competitive missteps, and an evolving AI landscape that it failed to capitalize on early.
With Intel falling behind in GPU competitiveness and struggling to regain its process leadership crown, Tan's strategy must hit several key objectives:
Successfully execute on the 18A node to regain foundry relevance.
Leverage IFS to attract major external clients.
Expand AI capabilities and software infrastructure, especially in China.
Restore investor confidence with improved financial and operational execution.
Intel’s future hinges on how well this transformation is managed — and Tan’s performance will be under the microscope from day one.
Do you think Lip-Bu Tan is the right leader to steer Intel’s revival? What changes are you hoping to see under his leadership? Let us know in the comments below!
