Intel folds losing hand

Every player knows you have to fold once in a while to conserve chips that could be used in a better spot. This weeks recommendation, Intel (INTC), did the business equivalent last week, when they sold their communications and applications processor division to Marvell Technology (Nasdaq: MRVL). While this may seem like a strange move for a company that hopes to grow, it will pay off down the road, since it frees up $600 million in cash to invest in the wireless Internet services company Clearwire to try to drive a technology called WiMAX that they hope will sweep the globe like its predecessor Wi-Fi technology, which it hopes to make obsolete with a much larger range. Coupled with the unveiling of their new Core Microarchitecture chip and price cuts on their older model chips, this will give Intel an advantage that will allow it to gain market share from its nearest competitor, Advanced Mircro Devices (NYSE: AMD).