Intel’s (INTC) CEO Lip-Bu Tan used his venture capital background and extensive industry ties to push the company toward deals that also benefitted him personally, Reuters reported, citing three people familiar with the matter.
Soon after his appointment as CEO, Tan took direct control of Intel’s investment arm, Intel Capital, reversing a plan to spin it off.
A potential personal benefit instance involves Tan proposing to Intel’s (INTC) board in 2025 that the company take a look at purchasing Rivos—an AI chip firm where Tan served as chairman. However, the board did not approve the plan since Tan failed to present a strong AI plan and stood on both sides of the deals. Tan asked one of his lieutenants at Intel (INTC) to pitch a new AI plan, leading to partnership talks with Rivos, the people said.
His push for a bid by Intel (INTC) helped spark a competitive process that ultimately led Rivos’ valuation far beyond the $2 billion it was seeking earlier. Meta (META) eventually announced in September that it would buy Rivos.
Besides, the report also pointed out that Tan pushed internally at Intel (INTC) to explore a potential deal with SambaNova—a U.S. AI chip and computing startup. Because Tan was both executive chairman of SambaNova and CEO of Intel (INTC), the discussions have drawn corporate governance scrutiny. Talks with SambaNova are ongoing, two of the sources said.
Intel (INTC) has implemented conflict-of-interest safeguards that require Tan to recuse himself from decisions involving his outside holdings.
Despite overall concerns, the report noted that Tan’s extensive network has helped Intel (INTC) secure major strategic partnerships and capital, including investments from Nvidia (NVDA) and SoftBank (SFTBY) (SFTBF) alongside U.S. government support under President Trump.