“It starts with the culture” Intel’s new CEO explains how the company will recover from ‘learned helplessness’
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The year 2024 was not a strong one for Intel. The company didnโt have any major product launches that stood out (besides perhaps the Intel Arc B-Series at the very end of the year), and its sales numbers were often behind AMD’s, its big rival for processing power.
Looking back, there were no truly groundbreaking innovations from Intel, and many in the tech industry started to question the companyโs future. However, at Intel Vision 2025, the companyโs new CEO shared a new direction and explained the steps he will take to turn things around.
Intel’s culture problem
In February this year, Raja Koduri, who was once the chief architect at Intel, spoke openly about the companyโs problems. According to him, Intelโs main issue isnโt just slow chip production or manufacturing delays. He said the real problem is the companyโs culture. Koduri described a mindset of โlearned helplessnessโ among many of the engineers. In simple terms, this means that people inside Intel have stopped trying to innovate due to all the rules and processes slowing everything down.
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Koduri also pointed out how Intelโs internal systems have become a big roadblock. He used the phrase โspreadsheet and PowerPoint snakesโ to describe how the company focuses too much on reports, presentations, and short-term targets. This kind of thinking makes it hard for engineers to take risks or try new ideas.
How Lip-Bu Tan aims to fix the culture
Intelโs new CEO, Lip-Bu Tan, is now working to change that. Speaking at Intel Vision 2025, he said he plans to bring the company back to focusing on what truly matters for innovation. He wants to regroup the talent Intel already has and also bring in new people who can help shape the future. His goal is to rebuild the company culture from the inside out.
“It starts with the culture. We have to foster, inside the company, the culture change.”
Lip-Bu Tan, Intel CEO
Lip-Bu Tan said he wants to create what he calls a โstartup day oneโ mindset inside Intel. This means going back to the basics -encouraging new ideas, taking smart risks, and giving engineers the freedom to build something meaningful. He plans to provide resources directly to the teams and individuals who show strong potential to innovate. According to Tan, the future of Intel will be led by engineers and guided by values like collaboration, humility, and strong customer focus.
He says that Intel “will simplify the way we work,” claiming that “bureaucracy kills innovation” and describes how “small, focused teams” are much better for innovation. Tan states that they “may not be perfect in the beginning,” but affirms the belief that he can make it perfect.
Instead of just talking about change, Intel now wants to show it through real actions. The company aims to build a strong culture that delivers real-world success. Tan made it clear that customer needs will be a top priority, and Intel will โlisten closelyโ to what customers and partners want.