As it is with any company, Intel (NASDAQ: INTC ) has problems and opportunities. It’s important to be aware of both, but you’ll regret it if you let perceived headline risk shake you out of a perfectly good trade with INTC stock. Intel has aspirations to become an international chipmaking-foundry superstar. The demand for
Artificial intelligence chips is strong in 2024, and there’s a call for Intel to produce AI chips domestically. At the same time, Intel is expanding so quickly that it has to establish chip foundries in multiple countries. That’s easier said than done, and there will be obstacles along the way. Nevertheless, nothing should stop Intel from capitalizing on the global AI chip boom. Intel in the U.S.: Good News and Bad News Not long ago, Yahoo! Finance reported that the Biden administration wants the U.S. to “ produce 20% of the world’s most advanced semiconductor chips by the end of the decade.” Naturally, Intel will play a significant role in achieving this objective. The passage of the CHIPS and Science Act made one thing crystal clear. The U.S. government, without a doubt, wants chipmakers like Intel to produce AI-compatible processors domestically. However, Intel stock traders might be worried about a particular news item. Specifically, Bloomberg reported the
Pentagon is canceling its plan to “spend as much as $2.5 billion on a chip grant” to Intel. Is this a red flag for Intel? Not necessarily. Bloomberg suggested that the Commerce Department could be tasked with making up for the funding shortfall. Thus, Intel could still receive billions of dollars of funding, but just from a different federal entity. Meanwhile, Reuters reported that the Biden administration plans to award billions of dollars to Intel “to expand its chip production” in the U.S. Hence, there’s no need to worry about Intel. The U.S. government isn’t just going to stop providing funding to Intel, even if the details might change sometimes. A Wrinkle in Intel’s Global Chipmaking Plans Again, don’t fret about the seemingly bad headlines. If you do that, you’ll only end up missing out on substantial returns with INTC stock. For example, there’s a wrinkle in Intel’s plans to become a multinational chipmaker. On closer inspection of the facts, however, this news item isn’t really a deal breaker. Here’s the rundown. Adolfo Urso, Italy’s industry minister, announced that Intel has “ given up or postponed its investments in
France and Italy.” Be sure that you get the full story before you assess the situation, though. The other part of Urso’s statement clarified that
Italy is shelving its investments in Italy and France “compared with others that it plans in Germany.” Intel either plans to build, or is already building, chipmaking factories in Israel ,
Ireland and, of course,
Germany . So, Intel is carefully choosing its chipmaking plant locations. There’s inherently nothing wrong with that, and Intel still appears to be on the path to international expansion. INTC Stock: Focus on Your Goals, Not on Perceived Headline Risk There will always be excuses to sell Intel stock if you scour the headlines and let yourself get worried about them. The reality is, Intel is an AI chipmaking powerhouse with tremendous growth prospects. In the long run, Intel will prevail as a mission-critical chipmaker at home and abroad. Now’s the perfect time to pick up some INTC stock shares for a confident buy-and-hold position. On the date of publication, David Moadel did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines .