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Intel Raises $6 Billion in Bond Sale to Buy Back Stock

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Re: Intel Raises $6 Billion in Bond Sale to Buy Back Stock

#21
post #19

Earlier quoted context omitted.

It's honestly not clear that the underlying CPU architecture really matters anymore. Smaller customers might care about the technical hassles involved with switching to a new architecture, but smaller customers don't count. The larger customers care much more about per-unit cost savings, and not at all about NRE costs. In any case there isn't a lot of ARM assembly out there these days, and everything else can retarge…

In practice Intel had to develop an ARM emulator for x86 to even stand a chance in the Android market, because so many apps use native ARM code and they have no reason to so much as recompile.

I suppose thy could buy into an exclusive deal with a minority market share platform such as BB10 or WinMo8 instead, because then the installed base wouldn't matter. That would only work if they could: (a) offer a competitive advantage over ARM. (b) make it financially appealing to the platform vendor. (c) Pick a platform that has a hope in hell of getting market traction. Their best bet there would be MS/Nokia, but it would be a case of seeing if tying three sinking ships together works better than two.

Re: Intel Raises $6 Billion in Bond Sale to Buy Back Stock

#23
There seems to be a lot of confusion about why they would do this, the text books say it indicates that the company thinks its stock is undervalued and that the management have the best information on the company so they would know. In this case I think it is a cost of capital vs interest rate decision. tl:dr Interest rates are low
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