Microsoft Corporation (MSFT), Intel Corporation (INTC), Advanced Micro Devices, Inc. (AMD): Who To Buy Now That The PC Is Dead?

In addition, Intel Corporation (NASDAQ:INTC) chips power more than just PCs. They also power the computers that provide the backbone to the Internet. All of the tablets being sold instead of computers are being used to send email, visit websites, stream movies and music, and keep up with friends on a social network. None of that happens without a huge number of computers on the other end of the transaction.

Intel Corporation (NASDAQ:INTC) is well worth the risk as it pushes into mobile and continues to support the infrastructure that makes tablets and cell phones so desirable.

Not so well positioned

One company best avoided, however, is Advanced Micro Devices, Inc. (NYSE:AMD). The company has always been an also ran in the PC chip market, competing mainly by selling cheaper chips. That hasn’t worked particularly well so far, resulting in a corporate reshuffle and jettisoning of the company’s manufacturing operations.

Now just a design firm, management has been looking to diversify into other products, like set-top boxes. That looks more like a sign of desperation than strength. Investors should avoid this chip also ran. Intel Corporation (NASDAQ:INTC) is financially stronger and enjoys too many benefits from its larger scale to give Advanced Micro Devices, Inc. (NYSE:AMD) a fighting chance.

WinTel, part two

Intel Corporation (NASDAQ:INTC) and Microsoft Corporation (NASDAQ:MSFT) probably won’t find their paths as tightly connected in the future. However, both still play important roles in the technology space. The current slowdown in the PC business will hurt, but certainly won’t kill these tech giants. That makes the recent malaise an investment opportunity.

The article The PC Is Dead: Buy WinTel originally appeared on Fool.com and is written by Reuben Brewer.

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