Yes J., I agree with you. I think your referenced article is a very big deal for Intel .
mercurynews.com
However, we seem to be part of only a very small minority who believes that it is significant and particularly positive for Intel. I haven't seen any of the other analysts focus on the announcement yet.
The announcement, portends the extension of the current technology for another 5 to 10 years. This adds considerable longevity, than was previously thought possible, to the present manufacturing process. As Intel dominates this technology, with more than 90% of the market, it all but assures that they will continue to dominate the industry for this extended period as well. In addition, Intel will now be able to substantially reduce their R & D and capital expenditures, (as the article correctly points out), over the near term. Committed resources for the development of the next generation of semiconductor production, can now be placed on the back burner, and used for more pressing needs.
However, as has happened so many times lately, the stock market has once again ignored the significance of the announcement, (INTC down 3+ points since Wednesday night). Sometimes it is hard for me to understand the irrationality of the market. But I continue to trust that over time short term irrationalities will be factored out of Intel's price and those who can see the true significance will be rewarded for their patience.
Paul E.
I noticed that you had replied to this post, but really didn't make any analysis of the announcement. Could you be kind enough, (given your manufacturing background), to tell us how you believe the announcement will impact Intel,... (Financilly and Strategically).
Regards,
Jules |
