Elon Musk just flipped the script on AI (From Behind the Markets)
Intel-Taiwan Semiconductor Alliance Fuels Turnaround Hopes 
Intel Corporation (NASDAQ: INTC) is the subject of intense market speculation following rumors of a potential landmark partnership with Taiwan Semiconductor Manufacturing Company (NYSE: TSM), the world's leading contract chip manufacturer. These reports suggest a possible joint venture that could significantly reshape Intel's foundry ambitions and accelerate its broader turnaround strategy. This news emerges against a backdrop of significant market volatility, driven partly by concerns over potential global tariffs. Intel's stock price pulled back sharply from recent highs to trade near $19.30 in early April. While the market digests these external pressures, the persistent buzz around a strategic tie-up with Taiwan Semiconductor Manufacturing Company (TSMC) presents a potentially transformative catalyst. It prompts investors to assess whether current market fears overshadow a fundamental, game-changing development for the US chip giant. Building Blocks: Progress Paves the Way for Strategic Moves Intel's potential partnership with TSMC is not unexpected, given the company's recent progress under new CEO Lip-Bu Tan. Since Tan, a respected industry veteran, took over on Mar. 18, investor confidence has grown. Additionally, Intel recently began risk production for its 18A process node, indicating that its advanced manufacturing technology is nearing commercialization. This progress in leadership and technology suggests that Intel was already taking steps to improve its position before the partnership rumors, making it a more attractive collaborator. The Proposed Alliance: A Potential Turning Point Recent reports citing sources familiar with the discussions suggest Intel and TSMC have explored a preliminary agreement to form a joint venture operating Intel’s semiconductor manufacturing facilities in the United States. Under the unconfirmed proposal, TSMC would acquire a significant minority stake—reportedly around 20%—in the new entity. Adding weight to the speculation, these discussions are reportedly encouraged by U.S. government officials aiming to strengthen the domestic supply chain for advanced semiconductors. A partnership with TSMC could give Intel access to the world’s leading operational expertise in high-volume, cutting-edge chip production, a move that would significantly accelerate improvements in Intel Foundry Services (IFS). For Intel, this knowledge transfer could enhance manufacturing yields, operational efficiencies, and overall service quality, helping it become more competitive in attracting major external clients. Additionally, housing critical TSMC-backed operations on U.S. soil would align with geopolitical goals to diversify semiconductor production away from East Asia, potentially unlocking further government incentives. Although neither Intel nor TSMC has officially confirmed these discussions, the strategic and technological benefits suggest a partnership could be a defining catalyst for Intel’s turnaround efforts. Elon Strikes Back
You may already sense that the tide is turning against Elon Musk and DOGE. Just this week, President Trump promised to buy a Tesla to help support Musk in the face of a boycott against his company. But according to one research group, with connections to the Pentagon and the U.S. government, Elon's preparing to strike back in a much bigger way in the days ahead. Click here to see what they're predicting now. Buy Signal Flashing? Why Intel Looks Attractive After the Pullback Intel's stock price has recently dropped sharply to its 52-week low of $18.51. This decline appears to be driven by broader market fears, such as potential tariffs and macroeconomic uncertainty, which are impacting the entire semiconductor sector. This presents a possible opportunity for investors, as the current market valuation may not accurately reflect Intel's intrinsic value, especially considering the potential TSMC partnership. The stock's valuation metrics have been compressed, with a price-to-sales ratio of 1.56 and a price-to-book ratio of 0.79. This indicates that the stock is trading below the stated value of its assets, which is often a sign of market pessimism and potential undervaluation. Despite receiving a consensus rating of Reduce from analysts, the average price target is $25.58. This suggests a potential upside of approximately 34% from current levels, indicating that Wall Street sees additional value in the stock. This difference between the current price and the potential value may present an opportunity for investors focused on fundamentals and strategic catalysts. A Defining Moment for Investors Intel is navigating a critical juncture. While external market fears have weighed on the stock, the company’s operational progress and strategic ambitions suggest a different story taking shape beneath the surface. With key updates expected at the Q1 earnings report on Apr. 24 and the Foundry Direct Connect event on Apr. 29, investors will soon have clearer insight into whether Intel’s turnaround efforts are gaining real traction. Written by Jeffrey Neal Johnson Read this article online › Recommended Stories: Did you like this article?  
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