Intel is going through one of the most turbulent periods in its recent history. Veteran Michelle Johnston Holthaus, with over 30 years at the company, has been removed from her position just nine months after taking it. Although the official statement from management stated she “resigned” voluntarily, all signs point to a concealed dismissal after failing to meet the targets set under the leadership of the new CEO, Lip-Bu Tan, and in a context where political pressure from the US, with Donald Trump demanding changes, is increasing.
A sudden departure amid crisis
Holthaus took charge of product division — which accounts for two-thirds of Intel’s revenue — at the end of 2024, after Pat Gelsinger’s departure. During the transition, she even served as interim co-CEO, which led many to believe her leadership would usher in a new era.
However, with Tan’s arrival, her prominence waned. The new CEO personally decided to review the technological roadmap, significantly reducing Holthaus’s responsibilities. She herself claimed this reduction in duties was the reason she invoked the “just cause” clause, which entitles her to severance pay.
Regulatory documents indicate her contract, valued at $12.6 million per year, anticipated this exit. Intel has confirmed she will remain as a non-executive advisor until March 2026 to facilitate the transition.
An era ends and the loss of female leaders
Holthaus’s departure joins that of Ann Kelleher this year, another key woman in tech development. Currently, only April Miller Boise remains in Intel’s executive leadership, while other strategic roles are now predominantly held by men.
This imbalance reinforces the perception that Intel is not only facing a results crisis but also a loss of diversity within its top ranks, a factor increasingly valued in the global tech industry.
New hires and a vertical management style
Alongside Holthaus’s exit, Intel has announced significant personnel moves:
- Kevork Kechichian, with experience at Arm, NXP, and Qualcomm, will lead the data center division, a critical area where Intel has lost ground to AMD and NVIDIA.
- Srinivasan Iyengar will head a new central engineering team to boost the custom silicon business.
- Naga Chandrasekaran expands his responsibilities to also oversee Foundry Services.
- Jim Johnson has been appointed head of client computing.
All will report directly to Lip-Bu Tan, reinforcing a more vertical and centralized management model, with the CEO personally overseeing key areas.
Washington’s pressure and an uncertain future
The dismissal of Holthaus can’t be separated from the political backdrop. After the infusion of public funds into Intel to strengthen US technological sovereignty, the Trump administration demands immediate results.
The company must demonstrate it can recapture CPU leadership and concurrently compete in artificial intelligence and foundry services against Asian and American rivals.
The executive purge and external appointments reflect an effort to accelerate change. However, analysts warn that without a clear and sustainable strategy, these moves risk being mere gestures aimed at appearances.
Conclusion
Michelle Johnston Holthaus’s departure after just nine months symbolizes the chronic instability that has characterized Intel over the past decade. With political and market pressures at their peak, the company’s reputation and its role as a central player in the global semiconductor industry are at stake.
Frequently Asked Questions (FAQ)
Why did Michelle Johnston Holthaus leave Intel?
Officially, she resigned, but in reality, she was sidelined after losing influence with the arrival of Lip-Bu Tan and failing to meet objectives during her short tenure.
What impact does this departure have on the company’s diversity?
It leaves April Miller Boise as the only woman in Intel’s executive leadership, significantly reducing female representation in top positions.
Who will replace Holthaus in product management?
While no direct successor has been announced, Kevork Kechichian and other key hires will take control of critical areas, all under the CEO’s direct supervision.
How is US politics influencing these decisions?
The Trump administration, which has invested in Intel to ensure technological independence, demands quick results, increasing pressure on the leadership team.