Incoming Intel CEO Lip-Bu Tan to Receive ₹5,74,22,56,000 Compensation Package

New Delhi (The Uttam Hindu): Intel Corp.'s newly appointed Chief Executive Officer, Lip-Bu Tan, will receive a compensation package valued at approximately ₹5,74,22,56,000, contingent on meeting performance targets over the next few years. The package includes a ₹8,26,56,000 salary, a performance-based bonus of 200% of his salary, as well as ₹5,50,48,80,000 in long-term equity awards and stock options, according to a company filing made on Friday.

In addition, Tan has agreed to purchase ₹20,58,56,00,000 worth of Intel shares within the first 30 days of taking the role. Intel stated that this purchase reflects Tan's confidence in the company and his commitment to generating shareholder value.

Tan’s appointment follows the ousting of his predecessor, Pat Gelsinger. Tan, a semiconductor industry veteran and previously an Intel board member, will take on the role of CEO with the goal of steering the company back to a leadership position in an industry it once dominated. Tan, 65, will officially begin as CEO on March 18 and will rejoin the board after stepping down in August 2024.

Intel’s stock has seen a notable rise this year, gaining 20%, including a significant 15% surge on Thursday following Tan’s appointment.

Intel is a multinational technology company that is one of the world's largest and most well-known manufacturers of semiconductor chips. Founded in 1968 by Robert Noyce and Gordon Moore, it is most famous for its microprocessors, which are the central processing units (CPUs) found in many personal computers and other electronic devices.

Some of Intel's most popular products include:

Microprocessors (CPUs) – Intel's microprocessors, such as the Core, Pentium and Xeon series, are widely used in desktops, laptops and servers.

Chipsets – Intel also designs chipsets, which help manage data flow between a CPU and other components in a computer, such as memory and storage.

Memory and Storage Solutions – Intel manufactures memory products (e.g., Optane) and solid-state drives (SSDs).

Graphics Processing Units (GPUs) – While Intel is not as famous for GPUs as companies like NVIDIA or AMD, they have developed integrated graphics for CPUs and have started producing discrete GPUs, such as the Intel Arc series.

Networking and 5G technology – Intel produces networking products, including components for 5G infrastructure.

Intel has been a key player in driving advancements in computing technology and is often at the forefront of innovation in the semiconductor industry.