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    Intel’s On‑Prem AI and TRACE Bet Could Be A Game Changer For Intel (INTC)

    Simply Wall St·08/29/2026 04:38:27
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    • Kasm Technologies recently expanded its partnership with Intel to deliver private, local AI through Kasm AI Workspaces running on Intel Xeon 6 processors with Advanced Matrix Extensions, while Intel also joined peers in contributing the TRACE open standard for hardware-attested AI governance under the Linux Foundation.
    • Together, these moves highlight Intel's attempt to anchor itself at the center of compliant, enterprise-ready AI infrastructure, spanning on-premises inference, security, and open standards for confidential workloads.
    • Next, we'll examine how Intel's expanded Kasm partnership for GPU-free, on-premises AI inference could reshape its investment narrative around AI infrastructure.

    The latest GPUs need a type of rare earth metal called Dysprosium and there are only 30 companies in the world exploring or producing it. Find the list for free.

    Intel Investment Narrative Recap

    To own Intel today, you need to believe the company can turn heavy AI and foundry investment into sustainable profits despite current losses and capital intensity. The Kasm AI Workspaces and TRACE announcements reinforce Intel’s push into enterprise AI infrastructure, but they do not fundamentally change the near term catalyst, which remains executing on AI data center platforms and foundry ramp, nor the key risk of execution missteps and continued weak profitability.

    The expanded Kasm partnership is particularly relevant here, because it showcases Intel’s attempt to serve enterprises that need compliant, on premises AI without GPUs. This speaks directly to the AI workload catalyst consensus analysts focus on, but it also intersects with the risk that Intel’s complex reorganization and cost cutting could slow delivery of exactly these kinds of solutions if execution slips.

    However, investors also need to be aware that if Intel’s costly foundry buildout fails to gain enough profitable volume, its balance sheet and earnings power could...

    Read the full narrative on Intel (it's free!)

    Intel's narrative projects $92.4 billion revenue and $21.7 billion earnings by 2029. This requires 17.4% yearly revenue growth and a $33.0 billion earnings increase from -$11.3 billion today.

    Uncover how Intel's forecasts yield a $115.65 fair value, a 29% upside to its current price.

    Exploring Other Perspectives

    INTC 1-Year Stock Price Chart
    INTC 1-Year Stock Price Chart

    Some of the lowest ranked analysts tell a far more cautious story than consensus, expecting revenue of about US$75.8 billion and earnings of only US$6.9 billion by 2029, even before factoring in deals like Kasm. If you lean toward that view, Intel’s AI and foundry push may feel like an uphill climb rather than a straightforward opportunity, which is why it is worth comparing several viewpoints before deciding what you believe.

    Explore 17 other fair value estimates on Intel - why the stock might be worth less than half the current price!

    Decide For Yourself

    Disagree with existing narratives? Extraordinary investment returns rarely come from following the herd, so go with your instincts.

    • A great starting point for your Intel research is our analysis highlighting 1 key reward and 2 important warning signs that could impact your investment decision.
    • Our free Intel research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Intel's overall financial health at a glance.

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    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.