SAN FRANCISCO, California: Intel's aggressive push to rebuild its position in artificial intelligence has repeatedly intersected with the private investment interests of its CEO, Lip-Bu Tan, creating situations in which the chipmaker evaluated deals that could increase the value of companies Tan helped fund, according to people familiar with the matter.

The most prominent example involved AI chip startup Rivos, whose chairman was Tan himself. When Rivos' board explored a sale earlier this year, Tan initially urged Intel to buy the company, pitching the idea to Intel's directors in mid-2025. But the board rejected the overture, saying he had a conflict of interest and had not articulated a clear AI strategy to justify the acquisition, three people with knowledge of the matter said.

Tan then asked a senior Intel executive to present a revised AI plan, leading to partnership talks with Rivos. Those conversations took a turn when Meta began pursuing the startup, pushing Intel to make an offer of its own. Meta countered with a higher bid, and the competition drove the package of incentives and payments well beyond Rivos' earlier US$2 billion fundraising valuation, with some sources estimating it reached about $4 billion.

Meta ultimately announced plans to acquire Rivos in September, and the heightened bidding lifted the startup's return — and the value of Tan's stake — at Meta's expense. The precise size of Tan's personal gain as a Rivos shareholder is unknown because the financial details are private. But Tan's venture firm, Walden Catalyst, publicly praised the "successful outcome" for its investors.

The Rivos episode is one of at least three situations in which Intel evaluated transactions that could financially benefit Tan through his holdings in startups or venture funds, said two of the people.

Intel declined to make Tan available for an interview. Meta did not comment, and Rivos also declined to comment.

Intel hired Tan in March partly for his decades of experience in venture capital and his deep network of industry relationships. Those ties helped Intel secure a $5 billion investment from Nvidia and $2 billion from SoftBank. But they also introduced potential conflicts that had been rare among previous Intel leaders.

Intel has instituted policies requiring Tan to recuse himself from investment decisions where he could benefit, the people said. In those cases, decision-making authority for Intel Capital transfers to Chief Financial Officer David Zinsner, who reports directly to Tan. Intel did not make Zinsner available for comment.

The board was aware Tan's broad portfolio could create conflicts, but was willing to accept that risk to revive a company that lost $19 billion last year, one of the people said. In a statement, Intel said its board believes Tan's network helps "position Intel to capture the next wave of industry innovation."

According to two people familiar with his views, Tan does not see his dealmaking as conflicted. He believes his position at both Intel and various startups allows him to negotiate outcomes that benefit all sides, they said. Intel, in a statement, said it maintains "the highest standards of corporate governance."

Tan argued internally that Intel needed Rivos because earlier efforts to build AI chips had fallen short, one person said. He also pushed Intel to consider buying SambaNova, another AI computing startup where he served as executive chairman. SambaNova, which had once raised money at a $5 billion valuation with backing from SoftBank and Tan's venture funds, has been struggling with demand and cash constraints, the people said.

SambaNova declined to comment on any talks with Intel. Intel also declined to comment.

Tan's portfolio has drawn scrutiny before. Reuters reported in April that his investment firms held stakes in more than 600 Chinese companies, some with military ties, prompting criticism from President Donald Trump, who later said Tan had addressed his concerns in an Oval Office meeting.

Despite the controversies, Intel's share price has roughly doubled since Tan became CEO, outperforming the S&P 500 and Nvidia over the same period.

Soon after taking over, Tan reversed a plan to spin off Intel Capital and put the unit directly under his control. Its investment committee now consists only of Tan and Zinsner, according to people familiar with the changes. Since then, Intel Capital has invested in several companies in which Tan also has stakes through vehicles such as A&E Investment, Celesta Capital, and Walden International.

One example is proteanTecs, which completed a Series D funding round in September. Intel Capital increased its stake, boosting the value of Tan's holdings in the startup, according to funding data.

Corporate governance experts consulted by Reuters said such overlaps raise conflict-of-interest concerns, though they also noted that leveraging a CEO's network can be valuable. Intel's code of conduct requires executives to avoid situations that could appear to compromise their ability to act in the company's best interest.

SambaNova, once a high-flying AI hopeful, has been seeking fresh capital as demand lags. Tan stepped in as executive chairman in 2024. The startup laid off 77 people in California in April and began exploring funding or a sale at a valuation of $2 billion to $3 billion, sources said. Tan asked Intel to examine a potential deal over the summer, the people added.

SambaNova recently secured additional financing from existing investors, and deal talks with Intel remain ongoing, said two of the people. One said the companies have signed a non-binding term sheet.