Earlier today, fellow Fool Rich Smith tried to prepare Intel
Ouch! That's the kind of news that could fuel a bit more volatility in Intel's stock, which is now selling for $21.65 a share but has fluctuated between $16 and $27 in the past year.
As longtime Fool readers know, I'm bullish on Intel's long-term prospects for a number of reasons. I liked the company's decision this past summer to restructure its workforce. More recently, I was impressed with its new silicon-photonics advances. And thirdly, I have always believed that its sizeable investments in nanotechnology-related research and development will position the company favorably against rival Advanced Micro Devices
All of these projects are long term in nature and won't be reflected in the stock price anytime soon. Increasingly, however, I have become bullish on what WiMax will mean for Intel in the near-to-mid term.
WiMax is short for "worldwide interoperability for microwave access," and it is a standards-based wireless technology. You can think of it as Wi-Fi on steroids. In August, Intel announced a major WiMax deal with Sprint Nextel
This is good news for Intel because it boosts its bid to make WiMax the dominant wireless broadband technology. And, of course, Intel stands to benefit enormously from this standardization, because it will be the major supplier of the chips that will allow cell phones, laptops, and other electronic devices to access the advanced wireless system. (Motorola
This latest development from Nokia won't do anything to offset this coming Tuesday's harsh news for Intel. But by giving WiMax a little push, it does give long-term Intel investors a reason to believe that better days are ahead.
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Fool contributor Jack Uldrich owns stock in Intel. The Fool has a strict disclosure policy.
