lt cap,

Without looking my guess is that INTC gets the benefit of the doubt: The analysts I've heard previously pay attention to the guidance beat, rather than the y/o/y 'beating' it may deserve. There is no sign I can see that their mobile/tablet/phone initiatives are paying off. It's an old stat, but the last one I saw was a $1bln dollar investment in going into those segments, and a $1mln revenues, at that point, which needs a lot of faith to believe it's going to pay off. That said, I still believe if any company can pull it off, it's INTC. Having and R and D budget larger than some third world countries is a permanent plus, even in the face of the terrific challenges you correctly cite. I think the stock will likely be ok - for now. If they don't start performing better, eventually it must eat thru analyst's denial. I hope it doesn't come to that. 

Their left-for-dead partner MSFT looks like it has finally done something right - their TV ads are actually well constructed, and appear as future trailblazers rather than me-too catchups with Apple. Whether Win10 is a winner in actuality, that's the issue. I wouldn't know - I will hang onto Win7 for as long as humanly possible. Unfortunately, I think a lot of other folks will go that route also. A factor of which is not the least of it - if you sign on for win 10's come-on (upgrade for free), you're then a slave to whatever subscription costs MSFT extracts for yearly updates. And MSFT is so heavy-handed about making software changes without users having a choice. I wouldn't trust them.

Funny - just look at the AH INTC news - earlier headlines focus on 6.3% revenue loss. Later headlines tout datacenter revs making up for weaker pc sales. Take your pick.