Originally posted by: docinthebox
Market cap of Intel: $133 billion
Market cap of AMD: $2 billion
This about sums up the situation. Think about how many engineers Intel can hire, vs. AMD. This equates to how many concurrent projects each side can invest on at any one time, and how fast each side can develop a new technology.
Market cap has nothing to do with how many engineers a company can hire. It just means that Intel's stock is worth more and they have more shares outstanding than AMD. You need to look at the statement of cash flows and the balance sheet to determine how much cash a company has to hire people, not market cap.
