Intel CEO Tan Rips Up Former CEO Gelsinger’s Playbook, Brings Talent Back And Strips Silos To Salvage Data Center Business Ramish Zafar • at EDT Add on Google Intel CEO Lip-Bu Tan. Intel Corporation In a fresh interview, Intel's CEO Lip-Bu Tan candidly discussed his firm's current market position and the mistakes made under the previous position. Tan, whose tenure at Intel has seen the firm manage to turn around its dismal share price performance, is one of the most experienced executives in the industry. During Intel's latest earnings call, he shifted the narrative around the AI buildout and asserted that agentic AI would make CPUs relevant in the ongoing multi-billion-dollar buildout. In his interview, he admitted that the currently high demand for CPUs could only grow in the future and added that his firm lost leadership in the data center segment under former CEO Patrick Gelsinger. Intel CEO Lip-Bu Tan Admits His Firm Made Mistakes In The Past Over the course of the past few years, Intel has consistently lost market share to its former rival AMD. The dip in market share has been accompanied by a dip in market price, with AMD's latest market capitalization of $689 billion higher than Intel's $563 billion despite the latter's share price having jumped 182% year-to-date. Related Story Intel’s Crescent Island PCB Leaks, Showing a Massive Xe3P GPU, 16-Pin Connector, 160GB LPDDR5X as Intel Sidesteps the HBM ShortageIn fact, as of the third quarter of 2025, Intel's market share in the server market fell to a multi-year low of 72% while its server revenue share sat at an even lower 61%. Both of these were 91% during the first quarter of 2019. In his interview with CNBC's Jim Cramer, Tan admitted that his firm had made mistakes. "We used to have leadership in data center, and over the years we lost it," he said. To rectify the errors, the Intel CEO outlined that he has brought back former workers to focus on product lines. Image Source: Bernstein Analysis Intel CEO Shares Insights On His Transformation Plan For The Firm Tan also discussed the yields of Intel's 18A chip manufacturing technology. This manufacturing process has been in the news lately due to Intel's deal with Apple to provide the latter with chips built through it. While admitting that the yield was unsatisfactory when he took over, the Intel CEO explained that "the best practice is to see 7% or 8% yield improvement per month, and now I’m seeing it.” Returning to the mistakes under his predecessor, Tan remarked that his firm had corrected them and rectified Intel's roadmap. One change he's made is to have all the engineers report to him so that he has "an understanding, hear from the customer, and know where are the mistakes.” Under the previous management, Intel, according to him, "had too many silos, too many people reporting." To correct the compartmentalization, he decided "the best thing is to really understand where the problem is, so I can focus on the engineering, how to redesign, simplify the product and then get the real killer products out.” For more on Tan's strategy, be sure to read Intel CEO Wants To Establish Firm As A “World-Class Foundry” In First Letter After Taking Over. About the : Ramish is a seasoned technology writer and with more than a decade of experience. He specializes in semiconductor fabrication and market analysis. With a background in finance and supply chain management - via his bachelors in Finance and a micromasters in supply chain management from MIT - Ramish combines financial rigor with deep industry insight to deliver accurate and authoritative coverage. Follow on Google to get more of our news coverage in your feeds. Further Reading Intel Strong-Arms PC Partners Into Buying 18A Chips, Forcing Costly Redesigns As Older Node Supply Dries Up Intel CEO Lip-Bu Tan Calls Foundry a “National Treasure” as External Customers Knock on His Door After 18A Yield Turnaround Intel Has Reportedly Started Shipping Nova Lake CPUs, Expected To Bring Up To A Massive 2x Multi & 20% Single-Core Performance Gain Intel Drags Partners Into a Unified Wildcat Lake Blueprint, as ‘Project Firefly’ Standardizes Laptop Designs To Tackle MacBook Neo Read all on Intel CEO Tan Rips Up Former CEO Gelsinger’s Playbook, Brings Talent Back And Strips Silos To Salvage Data Center Business
