There are few large and established companies in the market today that pay as generous of a dividend as Intel (NASDAQ:INTC) does. And while the company is working through a host of problems -- stemming principally from its failure to anticipate the importance of mobile computing -- income-seeking investors shouldn't rule the chip maker out as a potential addition to their portfolios.

As Motley Fool contributor John Maxfield discusses in the video below, there are three reasons for this. First, Intel yields 3.4% compared to the S&P 500, which yields 2%. Second, the company currently distributes 48% of its earnings, leaving a cushion to increase the dividend if its board of directors chooses to do so. And finally, Intel has both paid and increased its quarterly distribution consistently since at least the early 1990s.

Does this mean that the chip-making giant is the perfect fit for your portfolio? While only you can answer that based on your individualized investment goals, it's certainly worthy of consideration.

John Maxfield has no position in any stocks mentioned. The Motley Fool recommends and owns shares of Intel. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.