Post by : Monika
Photo: Reuters
On August 1, 2025, Intel announced that three of its top executives in manufacturing and technology will retire. This major move is part of a broader plan led by Intel’s new CEO, Lip-Bu Tan, who is trying to turn the company around. The executives stepping down are Kaizad Mistry and Ryan Russell, both vice presidents in the technology development division, and Gary Patton, who was vice president of the Design Technology Platform group. Patton had previously worked at IBM before joining Intel.
This news marks a big moment for Intel as it works through many changes. The retirements show that the company is shifting away from its old leadership and trying to take a new path under Tan’s direction. The changes come after several years of struggles for Intel, including losing market share to competitors, failing to meet key goals, and seeing its profits shrink.
Why These Retirements Matter
The departure of these three leaders is more than just a personnel change. It shows that Tan is serious about making Intel leaner, more focused, and faster at decision-making. Before Tan became CEO, another executive, Naga Chandrasekaran, had already started changes in the manufacturing team. Now, Tan is building on those efforts with deeper changes across the company.
Intel plans to cut its workforce by around 22%. That means about 75,000 employees will remain by the end of this year. Many of these cuts are happening in the manufacturing and engineering departments, especially in the capacity planning and design teams.
These decisions are aimed at helping Intel become more competitive again by removing unnecessary layers of management and making the company more efficient.
A New Direction for Intel’s Chipmaking Plans
Under Tan’s leadership, Intel is also making big changes in how it plans its manufacturing projects. The company used to build large chip factories even before getting enough customer orders. Now, it will only build new factories when there’s real demand.
One major change is in Intel’s next-generation chipmaking process, called 14A. Intel now says it will only move forward with the 14A process if big customers agree to buy chips made using it. If not, Intel may delay or cancel its plans.
At the same time, the 18A chipmaking process, another advanced technology, will likely be used only for Intel’s own products, instead of selling to other companies. Even so, Intel will still start mass production of its new PC chip, called “Panther Lake,” using the 18A process later this year.
Tan has made it clear that every investment going forward must be financially sensible. The company will avoid spending on big projects unless it is sure that there will be a return on that investment. This is a big change from how Intel operated in the past.
Reshaping the Company’s Leadership Structure
Tan’s strategy goes beyond just retirements and manufacturing changes. He has also reorganized Intel’s leadership team. Earlier this year, he reduced the number of management layers. Now, the top engineering and chip development teams report directly to him.
Sachin Katti was promoted to Chief Technology and AI Officer. He will now be in charge of Intel’s plans for artificial intelligence, including the company’s lab work and future products.
To strengthen Intel’s engineering side, Tan brought in new talent from leading technology companies. These include experts from Cadence, Rain AI, and Google, who will work on Intel’s AI chips and improve how the company supports its customers.
Greg Ernst has taken over as Chief Revenue Officer. He now leads Intel’s sales efforts, working directly under Tan. This move gives Tan closer control over the company’s business performance and customer relationships.
What Led to These Big Changes?
Lip-Bu Tan became Intel’s CEO in March 2025. He took over from former CEO Pat Gelsinger, who left after a disagreement with Intel’s board over how to fix the company. Gelsinger had tried several strategies, but many failed to produce results. Intel had been losing ground to rivals like AMD and Nvidia, and its stock price and profits had fallen.
After taking charge, Tan quickly made major changes. He canceled some large spending projects, such as a giant factory and big hiring plans. Instead, he chose to focus Intel’s efforts on its core business—making chips and developing products that meet customer needs. This marked a return to basics for the company.
Tan’s approach is more careful and focused. He wants to avoid unnecessary risks and build Intel’s success on real customer demand and strong product development. This shift is helping to reshape the company’s future.
What’s Next for Intel?
Why This Matters to the Tech Industry
Intel’s decision to retire three senior leaders and cut jobs sends a strong message. The company is serious about becoming leaner and more focused. Instead of gambling on big projects, it wants to grow in a careful, steady way that depends on actual customer demand.
These changes also show a deeper shift in Intel’s culture. The company used to take long-term risks, building for the future even if there were no guarantees. Now, it’s focusing on shorter-term goals that make financial sense.
This new way of working may help Intel win back its place as a leader in the chipmaking world. But the path won’t be easy. It will depend on how well the company adapts to its new structure, handles its workforce changes, and delivers new products that customers really want.
executive retirement
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