Intel's top executive digs in after Trump demands his ouster

Intel chief executive Lip-Bu Tan dug in after President Donald Trump demanded his removal in the latest, staggering example of government intervention into the private sector.

On Thursday, Trump called Tan "highly conflicted" following mounting Republican scrutiny into the Intel chief's business dealings with China. The president urged his immediate resignation and said "there is no other solution to this problem."

In a publicly-posted note to Intel employees on Friday, Tan said there has been "a lot of misinformation" regarding his past roles at Walden International and Cadence Design Systems. He maintained the support of Intel's board, he said, and added he's been very scrupulous in corporate affairs.

"Over 40+ years in the industry, I’ve built relationships around the world and across our diverse ecosystem – and I have always operated within the highest legal and ethical standards," Tan wrote. "My reputation has been built on trust – on doing what I say I’ll do, and doing it the right way. This is the same way I am leading Intel." 

Tan was Cadence Design's chief executive from 2009 through 2021. Late last month, the software firm pleaded guilty for unlawfully selling products to a Chinese state institution with close links to the Chinese military. The company secured a $140 million settlement with the Justice Department to settle the charges. Tan, though, wasn't named in the government's indictment.

Tan's past business in China drew strong criticism earlier this week from Sen. Tom Cotton of Arkansas, a conservative hardliner who chairs the Senate Intelligence Committee.

A White House official on Thursday didn’t spell out the administration's concerns with Tan but said the president wants to shield U.S interests. “This includes ensuring that iconic American companies in cutting-edge sectors are led by men and women who Americans can trust,” the official said.

Tan also said in the note that the U.S. has been his home for four decades and added Intel's success is "essential" for the U.S. to maintain its leadership in the high-tech, semiconductor manufacturing sector.

"We are engaging with the Administration to address the matters that have been raised and ensure they have the facts," Tan wrote. "I fully share the President’s commitment to advancing U.S. national and economic security, I appreciate his leadership to advance these priorities, and I’m proud to lead a company that is so central to these goals."