2018 Guide to Effective Proxies

6 TH EDITION | GUIDE TO EFFECTIVE PROXIES 464 EXTERNAL COMPETITIVE CONSIDERATIONS FOR 2017 To assist the Compensation Committee in its review of executive compensation for 2017, Farient, in conjunction with Intel’s Compensation and Benefits Group, provided compensation data compiled from executive compensation surveys, as well as data gathered from annual reports and proxy statements from companies that the committee selected as a peer group for executive compensation analysis purposes. The historical compensation data was adjusted to arrive at current-year estimates for the peer group. The committee used this data to compare the compensation of our listed officers to that of the peer group. The peer group for 2017 included our 15-company technology peer group and 10 S&P 100 companies outside the technology industry. When the peer group was created in 2007, the committee chose companies from the S&P 100 that resembled Intel in various respects, such as those that made significant investments in research and development and/or had substantial manufacturing and global operations. The committee also selected companies with three-year averages for revenue that approximated Intel’s. The peer group includes companies with which Intel competes for employees and the companies that Intel uses for measuring relative financial performance for annual incentive cash payments. For 2017, we made no changes to the technology or S&P 100 peer groups. The table below shows information for our 2017 technology peer group and peers selected from the S&P 100: Company Reported Fiscal Year Revenue ($ in billions) Net Income (Loss) ($ in billions) Market Capitalization on March 1, 2018 ($ in billions) Intel 2017 12/30/2017 62.8 9.6 223.89 Intel 2017 Percentile 58% 66% 75% Technology Peer Group Alphabet Inc. 12/31/2017 110.9 12.7 744.46 Amazon.com Inc. 12/31/2017 177.9 3.0 722.99 Apple Inc. 9/30/2017 229.2 48.4 887.95 Applied Materials, Inc. 10/29/2017 14.5 3.4 59.96 Cisco Systems, Inc. 7/29/2017 48.0 9.6 211.01 Facebook Inc. 12/31/2017 40.7 15.9 511.11 Hewlett Packard Enterprise Co 10/31/2017 28.9 0.3 28.83 HP Inc. 10/31/2017 52.1 2.5 38.42 International Business Machines Corporation 12/31/2017 79.1 5.8 142.40 Micron Technology Inc. 8/31/2017 20.3 5.1 55.06 Microsoft Corporation 6/30/2017 90.0 21.2 714.93 Oracle Corporation 5/31/2017 37.7 9.3 205.78 Qualcomm Incorporated 9/24/2017 22.3 2.5 96.16 Texas Instruments Incorporated 12/31/2017 15.0 3.7 104.80 TSMC Limited 12/31/2017 32.9 11.6 213.79 S&P 100 Peer Group AT&T Inc. 12/31/2017 160.5 29.5 221.00 DowDuPont Inc. 12/31/2017 62.5 1.6 160.14 General Electric Company 12/31/2017 122.1 (5.8) 121.73 Johnson & Johnson 12/31/2017 76.5 1.3 341.48 Merck & Co., Inc. 12/31/2017 40.1 2.4 146.30 Pfizer Inc. 12/31/2017 52.5 21.3 212.10 Schlumberger Limited 12/31/2017 30.4 (1.5) 90.26 United Parcel Service, Inc. 12/31/2017 65.9 4.9 91.70 United Technologies Corporation 12/31/2017 59.8 4.6 104.21 Verizon Communications Inc. 12/31/2017 126.0 30.1 195.65 2018 PROXY STATEMENT Compensation Discussion and Analysis 57 INTEL CORPORATION