Intel bets new CEO can achieve what Pat Gelsinger failed

Lip-Bu Tan js taking over as CEO.

Transcript

00:00After struggling for years to keep up with its rivals,

00:03there may finally be some blue skies ahead for Intel.

00:06The chipmaker announced on Wednesday that it has appointed

00:09longtime industry veteran Lip Butan as CEO.

00:13Longtime Intel executive Pat Gelsinger resigned in December of 2024.

00:18Intel was once the world's largest producer of computer chips

00:21with its technology used in almost every PC on the market.

00:25However, Intel was slow to dive into both the mobile computing

00:28and AI booms that have defined the last decade,

00:31leading competitors like Nvidia to take its place

00:33at the top of the chip hierarchy.

00:35Gelsinger was brought back in to lead a turnaround

00:38but retired after failing to right the ship.

00:41In August of 2024, Intel announced it would lay off 15% of its staff

00:45as part of efforts to cut $10 billion in costs

00:48and was subsequently removed from the Dow Jones Industrial Average

00:51in November of the same year.

00:53Tan's appointment couldn't come at a more critical time,

00:56having served as CEO of a tech design firm for more than a decade,

01:00in addition to serving as a founding managing partner

01:02of Walden Catalyst Ventures, a top firm in the AI,

01:06semiconductor and cloud computing space.

01:09That'll do it for your daily briefing from the New York Stock Exchange.

01:12I'm Caroline Woods with The Street.