In a bold move signaling a new era for Intel, recently appointed CEO Lip-Bu Tan has announced sweeping organizational changes aimed at cutting through corporate red tape and jumpstarting the company’s innovation engine. The move comes just weeks after Tan took the helm of the chipmaking giant, as it faces mounting pressure from rivals like Nvidia in the fast-evolving AI and semiconductor landscape.
At the heart of Tan’s strategy is a drastic flattening of Intel’s leadership hierarchy. Critical business units—including those focused on data centers, AI chips, and personal computing—will now report directly to the CEO. By eliminating layers of middle management, Tan aims to foster quicker decision-making and tighter alignment between engineering and executive leadership.
“This is about accelerating our ability to innovate and execute,” Tan stated in an internal memo. “Organizational complexity and bureaucratic processes have been slowly suffocating the culture of innovation at Intel. That ends now.”
One of the most prominent moves under this restructuring is the elevation of Sachin Katti—formerly the head of networking chips—to Chief Technology and AI Officer. Katti, a Stanford professor with deep expertise in distributed systems and networking, will now lead Intel’s AI product strategy, oversee Intel Labs, and spearhead engagement with startups and developers. He replaces Greg Lavender, who is retiring after serving in a similar role.
Katti’s appointment comes at a critical time. Intel recently shelved Falcon Shores, its much-hyped AI chip project, due to what insiders called “strategic misalignment.” With Katti at the helm, Intel is now expected to chart a more focused and cohesive AI roadmap.
In addition to these changes, three of Intel’s senior technical leaders—Rob Bruckner, Mike Hurley, and Lisa Pearce—will now report directly to Tan. This “engineering-first” model is a clear sign that technical excellence will be at the core of Intel’s transformation.
Beyond internal shakeups, Intel is also expanding its focus on external challenges. The company is currently searching for a new head of government affairs, acknowledging the increasing impact of geopolitics, tariffs, and global supply chain tensions on its operations. With semiconductor policy now a strategic national concern in the U.S. and abroad, the move underscores Intel’s commitment to navigating complex international dynamics.
Tan, best known for his leadership at Cadence Design Systems and investments in numerous semiconductor startups, brings a deep understanding of both innovation cycles and global business strategy. His appointment was seen as a pivot toward revitalizing Intel’s competitiveness in an industry that is no longer just about chips—but also about AI, cloud, geopolitics, and next-gen computing.
Whether these changes can restore Intel’s former glory remains to be seen. But one thing is clear: under Lip-Bu Tan, the status quo is no longer an option.
Intel is betting big on speed, strategy, and science—and the tech world is watching.
