Intel Corp (INTC)

[willco]

I am assuming that Abu Dhabi is doing this for profit. If I am correct in this then they will want the foundry operation to be profitable. If the foundry operation is to be profitable it seems that the foundry must sell to AMD at more than a break-even. If that is so then AMD's cost per processor has to be above cost to manufacture. Right now their cost is cost to manufacture.

Now, if you want to assume the foundry is so wildly successful that other profits will underwrite the AMD sales and that Abu Dhabi is so charitable that they don't care that AMD contribute to their profit, fine. I am not ready to entertain that possibility.

I have talked to middle eastern investment companies about investments. My experience is that they are quite sharp and looking for success.