Bet on the Chip Leaders… Intel (INTC)

There is a maxim which states companies that spend more on development and advertising during economic downturns, rise become leaders when then markets turn around. And it’s true.

Much of the reason behind this is that prices plummet during downturns: business investment – of any kind – can be done incredibly cheap compared to “normal” periods. Being a buyer when everyone else is selling has a simple benefit – you get great deals.

Intel Corporation (Nasdaq: INTC) has been one of the most public in its business investments. Today it’s detailing how it will spend $7 billion over the next two years on new chip manufacturing and development in the United States.

When you consider that a semiconductor chip manufacturing plant can cost in the neighborhood of $1 billion and take years before they show profits, these investments are not

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