Intel elevates its share buyback plans by $10 billion

Intel Corp escalated its buyback plan of shares by $10 billion, as it seeks to revive its falling stock prices because of severe competition from rivals like Nvidia, who are moving ahead of Intel in the aggressively growing tablets market, sources informed.

According to sources, Intel performed very well last year, but despite the success it appeared weak infront of its rivals. After Intel made the buyback announcement public, its shares saw a hike of 2%. But, Nvidia which is looming as the biggest threat to Intel saw its shares upsurge by an 11%, after a prediction that its stocks could grow upto 80% in the near future.

Experts believe, it is frustrating for Intel to be lagging behind in terms of its share prices, therefore they are splashing huge money on acquisitions like that of the software security firm McAfee and are doubling their capital expenditure. They are also banking a $22 billion cash to persuade investors to keep faith in the company’s stocks, sources informed.

Intel has a very strong hold over the PC segment, which shall remain intact for the next few years but with smaller portable devices replacing PC needs, Intel may lose more and its growth prospects may get mitigated.