Intel CEO's Decades of China Chip Investing Under Scrutiny
For over three decades, Lip-Bu Tan, now the chief executive of Intel, was a prominent figure in the venture capital world, strategically investing in the burgeoning Chinese economy. His firm, San Francisco-based Walden International, deployed more than $5 billion across a portfolio of over 600 companies globally. A significant portion of these investments, exceeding 100 deals, were directed towards businesses in China, capitalizing on what were then seen as clear opportunities for growth and innovation.
Among these strategic plays was an early investment in Semiconductor Manufacturing International Corp. (SMIC), a company that at the time was a relatively obscure startup. Under Tan’s guidance, Walden International helped nurture these nascent enterprises, with SMIC eventually growing into China’s largest chipmaker. Tan’s direct involvement extended beyond financial backing; he served on SMIC’s board for a decade and a half, gaining intimate knowledge of the company’s operations and the broader Chinese semiconductor landscape.
This extensive history of deep engagement with China’s technology sector, particularly in the critical field of semiconductors, now forms a complex backdrop for Tan’s leadership at Intel. As geopolitical tensions between the United States and China escalate, with semiconductors at the forefront of the rivalry, the past affiliations of a leading American tech CEO come under increasing scrutiny. Intel, a cornerstone of US technological prowess, is central to Washington’s efforts to bolster domestic chip manufacturing and reduce reliance on foreign supply chains, especially those linked to China.
Tan’s long-standing ties to major Chinese players like SMIC, which has since become a focal point of US export restrictions and national security concerns, present a unique challenge. While his investments were made during an era when global economic integration was widely encouraged, the current climate demands a careful navigation of allegiances and perceived conflicts of interest. His past successes in leveraging the Chinese market for venture returns now underscore the intricate and often fraught relationship between global commerce and national security, placing Intel’s leadership squarely in the crosscurrents of a rapidly shifting geopolitical landscape.