The industry expects the resource-light new model could usher in a wave of more efficient AI models, hurting demand for AI hardware.

Making smart investments often requires you to not follow the crowd. In the semiconductor industry, you can't follow the crowd any less than buying Intel (NASDAQ: INTC) stock. While Intel is struggling right now,

No one wants to buy Intel's fabs and their bottomless funding needs, but the company probably cannot be sold without someone taking them on.

Intel (NASDAQ: INTC) stock rose more than 9% on Jan. 17 after online news site SemiAccurate reported that a mystery buyer expressed interest in buying the company. That put the spotlight on the troubled chipmaker that once dominated the semiconductor industry.

While several chip stocks had convincing performances in 2024, Intel (NASDAQ: INTC) and Advanced Micro Devices (NASDAQ: AMD) were not among them. Intel shares fell about 60% last year, while AMD shares were down about 18%.

Intel's takeover rumors, particularly involving Elon Musk, have altered its risk/reward profile. Click here to read an analysis of INTC stock now.

Intel (NASDAQ:INTC) develops and produces computing products such as processors, memory, and AI solutions. Since TSMC released its earnings results on January 16, Intel’s stock is up over 7%. Explaining why Intel and other stocks in the group experienced gains because of TSMC, Cramer said:

Intel's bullish technical momentum in 2025 indicates potential for strong investor gains with low valuation and strategic restructuring. Read an analysis of INTC.

Intel faced fierce competition and strategic shifts last year. Is the company poised for a comeback in the near future?

Fujifilm Holdings has announced an ambitious plan to invest approximately ¥100 billion ($640.5 million US) by March 2027 to increase its global semiconductor materials production capacity.

AI inference has long been a focus area for former Intel CEO Pat Gelsinger; that interest continues in his post-Intel investment in AI startup Fractile.

After sending shockwaves through the semiconductor industry following a third-quarter earnings miss, scrutiny is building ahead of ASML Holding NV’s results next week with uncertainty over the spending plans of its top clients.