Intel's new CEO rolls up his sleeves to initiate reforms: appoints Indian CTO, personally takes charge of AI and PC chips.

On April 18, The Science and Technology Innovation Board Daily reported (Editor: Zhu Ling) that Intel’s new Chinese CEO, Chen Liwu, is vigorously reforming this old chip giant.

In recent years, a series of mistakes by Intel in manufacturing processes and product roadmaps has led to a continuous erosion of its market share by TSMC, AMD, and NVIDIA.

Recently, Chen Liwu initiated the most important reform since he took office last month - an organizational restructuring centered around a flat leadership team.

“I want to roll up my sleeves and work hard with the engineering and product teams to truly understand how we can strengthen our product capabilities and solutions,” said Chen Liwu in an internal memo. The data center and artificial intelligence chip division of Intel, as well as the client computing (PC chip) division, will report directly to him.

At the same time, the senior executive Michelle Johnston Holthaus, who was originally in charge of these tasks, will continue to serve as the Chief Executive Officer of the product department and will be given greater responsibilities.

What is even more noteworthy is that the current general manager of the Network and Edge Business Unit, Sachin Katti, who is also a professor at Stanford University, has been promoted to Chief Technology Officer (CTO) and head of artificial intelligence.

Kathy will succeed the retiring CTO Greg Lavender and lead the company’s AI strategy and product roadmap, Intel Labs, and collaborations with startups and the developer ecosystem.

Previously, despite acquiring several startups such as Habana Labs in the AI field, Intel has never managed to establish a clear and unified artificial intelligence strategy capable of challenging Nvidia. Even earlier this year, it announced the suspension of its key AI chip project “Falcon Shores”, revealing issues with internal collaboration and technology integration.

Chen Liwu candidly stated in the memorandum: “The complexity of the organization and bureaucratic procedures have slowly suffocated the innovative culture we need to win.”

Previously, Intel’s technical leaders were typically several levels below the CEO, but Chen Liwu has made it clear that this will change. Several technical leaders, including Rob Bruckner, Mike Hurley, and Lisa Pearce, will report directly to Chen Liwu himself, aiming to build a technology-oriented senior team that more closely connects the executive leadership with the engineering team.

It is worth noting that this adjustment also involves the government affairs department. Given the current complex international trade environment, particularly the implementation of Trump’s tariff policy, Intel is seeking a new head of government affairs. This position has been vacant since the departure of former head Bruce Andrews in November last year. The new head will be responsible for coordinating relations between Intel and the U.S. government as well as governments around the world.

In fact, Intel has already lost many opportunities it could have led, from falling behind in manufacturing processes to failing in AI strategies, and missing out on the GPU market boom.

The appointment of Chen Liwu itself marks Intel’s senior management’s denial of its past development strategy. Former CEO Pat Gelsinger, despite proposing the “IDM 2.0” strategy in an attempt to revive its own manufacturing system, encountered differences with the board and investors during internal promotion and ultimately resigned in disgrace.

In contrast, Chen Liwu has rich experience in investment and technology management. His strengths lie not only in understanding technology but also in building strategic alliances and promoting structural reorganization of companies.

He stated in the memo: “We need to become a company that is engineering-focused; only then can we understand how to compete and ultimately win.”

Whether this reform, which reduces hierarchies, improves efficiency, and strengthens technology orientation, can help Intel achieve a turnaround in the AI era remains to be seen.

Source: Sci-Tech Innovation Board Daily

Author: Sci-Tech Innovation Board Daily