Intel’s CEO Lip-Bu Tan plans to fire employees to revive the company

Intel

Intel got a new boss, Lip-Bu Tan, a couple of days ago and he is already gearing to make major changes in the company. Intel has not been doing too well and big changes are needed to turn things around. A Reuters report has claimed that Tan is planning to cut unnecessary jobs, he also wants to speed up the decision-making process and improve Intel’s chip making business.

Tan, who starts officially on Tuesday, told employees in a meeting that hard decisions are coming. This could mean the company could eliminate some roles, especially in middle management, which he believes is slowing things down. Experts say Intel’s former CEO, Pat Gelsinger, was too soft and avoided making tough calls—something Tan seems ready to change.

Tan primarily wants to focus on growing Intel’s chip-making business. The tech company used to only make its own chips, but now it also makes them for other companies like Nvidia. Tan wants to bring in more customers and make this side of the business stronger.

He also plans to boost Intel’s AI efforts. The company has fallen behind competitors like Nvidia in AI chip development. Tan wants to restart Intel’s AI projects and expand into areas like software, robotics, and smart AI systems.

Intel has made some bad decisions over the last 10 years, missing out on smartphone chips and falling behind in AI. The result? A massive $19 billion loss in 2024—its first since 1986.

While Tan will build on some of the old plans, he has been critical of how they were executed. Now, as he takes charge, he’s expected to move quickly and push Intel toward a better future.