Intel Boosts Dividend; Forms Joint Venture
Intel Corp. (NASDAQ: INTC – $29.93) said it will distribute a quarterly dividend of $0.26 a share, up 8.3% or two cents from the previous quarterly distribution. The dividend is payable on March 1 to holders of record on Feb. 7 and will yield investors nearly 3.5% at current levels. In other news, Intel has formed an unusual chip venture with two partners in China that could help address concerns about the security of imported technology. The arrangement with Tsinghua University and Montage Technology Global Holdings Ltd., aided by more than $100 million in research funding from Intel follows calls by Chinese officials to reduce the country’s reliance on foreign-made semiconductors—particularly those used in systems that could be targeted by spies from abroad. Montage, a subsidiary of one of China’s largest state-owned tech companies, CEC, which makes electronics for the government and military, will commercialize the modules containing the two chips, starting in 2017.