But this criticism misses the key point of Intel’s investment strategy.
An investment’s strategic value to Intel may be justified simply if the investment
increases demand sufficiently for Intel’s own products. Intel
need not closely manage every investment, because it typically coinvests
alongside VC firms, which direct the venture’s growth and monitor its
performance. Moreover, the metrics that disclose the current market
value of Intel’s portfolio holdings take no account of any internal learning,
development, or increased sales of Intel’s own products as a result of
its investment activities.