Intel's (INTC) board chair received a letter from US Republican Sen. Tom Cotton of Arkansas, who raised questions regarding the firm's new Malaysian-born Chief Executive Lip-Bu Tan's links to Chinese companies, and a lawsuit involving his former company, Cadence Design (CDNS), Reuters reported Wednesday.
In a letter to Intel's chairperson, Frank Yeary, Cotton voiced concerns about the security of Intel's operations and its implications for US national security, the report said, adding that the senator specifically inquired if Intel's board was aware of a criminal case involving their new CEO's former company.
As Intel receives federal funding under the Biden-era "Secure Enclave" program to ensure a secure supply of microelectronics for defense purposes, "Intel is required to be a responsible steward of American taxpayer dollars and to comply with applicable security regulations... Mr. Tan's associations raise questions about Intel's ability to fulfill these obligations," Reuters reported Cotton wrote.
Intel did not immediately respond to an MT Newswires request for comment.
(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)
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