Veteran Intel CEO Pat Gelsinger has retired, effective immediately. David Zinsner and Michelle Johnston Holthaus have been appointed interim co-CEOs.
Gelsinger, a 40-year industry veteran, also resigned from Intel’s board. His career at Intel began in 1979, where he served as the company’s first chief technology officer before returning as CEO in 2021.
Intel announced on Monday that a search for a permanent CEO is underway.
Zinsner is Intel’s executive vice president and chief financial officer. Holthaus assumes the newly created role of CEO of Intel Products, overseeing the client computing group, data center and AI group, and network and edge group.
Frank Yeary, the independent chair of Intel’s board, will serve as interim executive chair.
“Pat’s contributions to Intel, spanning his early career and his crucial return in 2021, are significant,” Yeary stated. “He spearheaded the revitalization of our manufacturing processes through substantial investment in cutting-edge technology, and relentlessly pursued innovation across the company.”
Last week, reports surfaced that the Biden administration plans to reduce Intel’s federal funding for chip plants by a portion of the initial $8.5 billion allocation, according to sources who spoke on condition of anonymity.
This reduction stems largely from the separate $3 billion Intel is receiving for supplying military computer chips. President Biden announced the agreement to provide Intel with up to $8.5 billion in direct funding and $11 billion in loans in March.
Sources familiar with the grant clarified to The Associated Press that these funding adjustments are unrelated to Intel’s performance or milestones. In August, Intel announced a 15% workforce reduction—approximately 15,000 jobs—as part of a restructuring effort to enhance competitiveness against rivals like Nvidia and AMD.
Unlike many competitors, Intel both designs and manufactures its chips.
Intel’s stock price (Santa Clara, California) saw a premarket increase of over 4%.