Transcript
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This is Scott Becker with the Becker Business and the Becker Private Equity Podcast. We try to bring you one to two business or market insight episodes a day, plus typically an interview with a business leader. Today's discussion is Intel Surges Two Core Reasons so here's the deal. We're going to talk about intel and intel over the last decade it seems like, had been so beaten down. And last year through a series of partnerships, a series of alliances, a new CEO. They seem to be back really on the right track and starting to surge again. I'll give you a quick couple notes on the stock price, then we'll talk about two of the drivers of this. So so the the stock price itself up 125% over the last year, up about 9% today, Friday, January 9th and up about 20 or 20% or so year to date. So the stock price moving in the right direction. I think there's two big drivers of this. The first is intel developed some serious alliances with both the US Government and with Nvidia, most recently US Government. He has converted grants they'd given to intel into ownership in the company, amounting to about 10% stake in the company. And again, lots of different political thoughts on this. But we do need a homegrown chip industry that's become clear in the ability to develop some stuff here in the US and long term strength in some of our chip companies. So at the end of the day, all kinds of complications around it, but I think all in all probably needed versus not and I know complicated. But the investments by Nvidia in the United States in Intel have been a big boost to Intel. They also brought in the new CEO, really well regarded and he seems to have his clarity on what they're trying to accomplish. The second big thing besides the alliance investments is the release of their new chip series. It's called the Panther Lake, the Core Ultra series, Panther Lake processors. These were introduced at the Computer Electronics show, the CES show and what has happened so far is these are getting rave reviews. It's viewed as a turning point in their product roadmap and where Intel's trying to get to, to get back to being critical to the chip ecosystem. They'd largely become almost relevant over the last decade or so and now it seems like they're making the road back. I find this resurgence and reemergence of intel, their leadership, the replacement of Jim Geisinger and their new leader, just to be incredible what they're doing in a short period of time. Again, the stock up under 25% over the last year, tremendous alliances being built between both the United States government and Nvidia, and the release of the new processors, which are getting great reviews. Thank you for listening to the Becker Business and the Becker Private Equity podcast. Thank you very, very much.