Key Takeaways:

• Intel's new CEO, Tan Lip-Bu, emphasizes direct customer feedback for product development.
• The company aims to spin off non-core units and enhance its engineering talent.
• Tan acknowledges Intel's past failures in meeting customer expectations.
• A roadmap to innovation and custom semiconductor development is on the agenda.
• The focus remains on rebuilding the company and regaining its leading market position.

SAN FRANCISCO, March 31 (Reuters) - In a significant move to reshape Intel's future, new CEO Tan Lip-Bu has made his inaugural speech emphasizing the importance of customer feedback in guiding the company's strategies. During the Intel "Vision" event in Las Vegas, Tan highlighted a desire to build a leaner organization that allows engineers to innovate more freely and connect directly with customer needs, stating, "Please be brutally honest with us. This is what I expect of you this week, and I believe harsh feedback is most valuable," according to Channel News Asia.

Tan's vision includes not only a restructuring of the company's internal processes but also plans to spin off non-core units. This restructuring aims to refocus on customer-centric product development, particularly emphasizing custom semiconductors. Tan remarked, "There are areas where we’ve fallen short of your expectations," signaling a willingness to address the challenges ahead (South China Morning Post).

Since his appointment earlier this month, Tan has recognized Intel's need to reclaim its place in the semiconductor industry, which it once dominated. He acknowledged the loss of engineering talent in recent years, emphasizing, "We lost quite a bit of talent. That's my top priority, to recruit some of the best talent in the industry to come back and then to rejoin or join Intel."

In remarks focused on innovation, Tan insisted that engineers need more room to develop ideas. He noted, "New ideas have not had 'room to develop and grow' at Intel in recent years," pointing to a future where his management style empowers engineers to drive solutions from within. The thrust towards engineering excellence is seen as vital for improving product offerings, especially those related to artificial intelligence and data centers, where Intel has recently lagged behind competitors like Nvidia (Reuters).

As Intel embarks on this transformative journey, Tan reassures stakeholders that while the path may be long, his commitment to fostering innovation and aligning with customer feedback will guide the company back to prosperity. "It won’t happen overnight, but I know we can get there," he stated, conveying his determination to reinvigorate the company's fortunes and redefine its future in a competitive landscape.

For further details on Tan's vision for Intel, you can read the full articles on Reuters, Channel News Asia, and South China Morning Post.