Intel Restructures Leadership Under New CEO to Boost AI and Engineering Focus

Intel's new CEO, Lip-Bu Tan, has initiated a major leadership shakeup aimed at streamlining operations and reviving the chipmaker's competitive edge. In a recent internal memo obtained by Reuters, Tan announced a flatter leadership structure, with key chip divisions—including data center, AI, and PC chip units—reporting directly to him. This move marks the first significant shift since Tan took over last month to address Intel's long-standing challenges in manufacturing and innovation.

Networking chip lead Sachin Katti has been promoted to Chief Technology and AI Officer, taking over responsibilities from Greg Lavender, who is retiring. Katti will now spearhead Intel's overall AI strategy, product roadmap, Intel Labs, and partnerships with developers and startups. A Stanford professor, Katti is expected to craft a renewed AI direction after Intel shelved its previous AI chip, Falcon Shores, earlier this year.

The reorganization also elevates three senior technical leaders—Rob Bruckner, Mike Hurley, and Lisa Pearce—to report directly to Tan. Previously, Intel’s top technical minds were buried under layers of management, but the new structure aims to prioritize engineering and faster decision-making.

Tan emphasized a return to Intel's engineering roots, stating that excessive bureaucracy has hindered innovation. He vowed to eliminate organizational silos and accelerate execution to better compete in the rapidly evolving semiconductor and AI landscape, where rivals like Nvidia have taken the lead.

This leadership overhaul follows the departure of the former CEO, who exited after disputes with the board over strategy. Tan's message is clear: Intel must become leaner, more agile, and deeply focused on engineering to reclaim its position as a leader in AI and chip technology.