Saturday, May 9, 2026

Intel

Most people remember the slogan, Intel inside, back in 2000 when Intel was the world leader in chips. Instead of continuing to develop new chips they rested on their laurels, a big mistake in any industry and especially in the tech world, and lost their leadership position to Nvidia. In early 2024 the company regrouped under new management in an attempt to turn things around and so far, they have been successful. They recaptured some of the Apple market that they lost and Musk is using their new chip in his, “Terafab” factory in Austin, TX. In less than a year their stock has risen from $21 to $120. As a part of their turnaround the US government purchased 433 million shares at $21 on Aug of 2025. The value of Intel is somewhat similar to Tesla in that it is mostly Blue Sky. Intel property, plant and equipment is valued at $105 billion but is market value (stock) is valued at $600 billion. Tesla’s property value (assets) is valued at $60 billion while its market value is $1.4 trillion. The stockholders have faith in the long-term success of each company but in the high-tech world, things can change overnight. It is a high risk, high return business.

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