TMTPOST -- Intel Corporation shares rose as much as 87% and settled 6.8% higher on Monday. Shares jumped to their highest since February 20 on new CEO Lip-Bu Tan’s reported shakeup of the chipmaker’s manufacturing and artificial intelligence (AI) strategy.

Credit：Intel

Tan, which is poised to take charge on Tuesday, has mulled plans to overhaul Intel’s chip manufacturing methods and AI strategies, Reuters quoted sources familiar with new CEO’s thinking on Monday. The reported plans, that Tan has been formulating and still could change, involve restructuring Intel’s approach to AI and layoffs since he thinks the company has become slow-moving with a bloated middle-management.

According to the report, Tan’s aim in the near term is to enhance Intel Foundry, a segment that is responsible for building chips for both the company and third party contractors and other design companies like Microsoft Corporation, by aggressively wooing new customers. The company will also restart plans to produce chips for AI servers and look to areas beyond servers such as software, robotics and AI foundation models, per the report.

Intel Foundry became a hot headline these days as the Trump administration is seeking to revive the company while maintaining American control. For Trump, who aims to make America great again, to boost Intel can help move production back U.S. and make the country a leader in the advanced chipmaking. Intel is the largest chip manufacturer of the United States. The country marks up just 12% of the global chip production, down from 37% in 1990.