Core Insights - IBM and Cisco announced a collaboration to conduct foundational research on distributed quantum computing, expected to be realized in the early 2030s [1] Group 1: Collaboration Details - The partnership aims to achieve the first proof-of-concept network within the next five years, integrating multiple independent large-scale fault-tolerant quantum computers [1] - The network will be capable of executing computational tasks involving tens of thousands to hundreds of thousands of quantum bits [1] Group 2: Potential Applications - This type of network is anticipated to address complex problems involving trillions of quantum gates, which are crucial for transformative quantum applications such as large-scale optimization and the design of complex materials and drugs [1]

Core Insights - IBM and Cisco Systems are collaborating to connect quantum computers over long distances, aiming to demonstrate the feasibility of this concept by the end of 2030 [1] Company Developments - The partnership between IBM and Cisco Systems signifies a strategic move towards advancing quantum computing technology [1] - The goal of linking quantum computers over long distances reflects the companies' commitment to innovation in the tech industry [1] Industry Trends - The initiative highlights the growing interest and investment in quantum computing as a transformative technology within the tech sector [1] - Demonstrating long-distance connectivity of quantum computers could pave the way for new applications and advancements in various industries [1]

Accessibility StatementSkip Navigation -Â New collaboration plans to unite strengths of both leaders to design a connected network of large-scale, fault-tolerant quantum computers, targeted by early 2030s-Â Companies plan to deliver an initial demonstration of multiple networked quantum computers within five years-Â Distributed quantum network could lay groundwork towards quantum computing internet defined by quantum computers, sensors, and communication in the late 2030s YORKTOWN HEIGHTS, N.Y. and SAN JOSE ...

Summary of Key Points from the Conference Call Industry Overview - **Industry**: US Technology, specifically focusing on large-cap tech stocks - **Key Findings**: Mega-cap tech stocks are currently the most under-owned in over 16 years, with a widening gap compared to the S&P 500 Core Insights - **Under-Ownership of Mega-Cap Tech Stocks**: - The gap in institutional ownership for mega-cap tech stocks compared to the S&P 500 increased to -148 basis points (bps) at the end of Q3 2025, up from -140 bps at the end of Q2 2025 [2][12] - Nvidia (NVDA) is identified as the most under-owned large-cap tech stock, followed by Apple (AAPL), Microsoft (MSFT), Amazon (AMZN), and Broadcom (AVGO) [1][2] - **Specific Stock Analysis**: - **Nvidia (NVDA)**: - Institutional ownership decreased by 20 bps quarter-over-quarter (QoQ), ending at -2.61% [9] - **Apple (AAPL)**: - Institutional ownership increased by 36 bps QoQ to 4.45%, while S&P 500 weighting rose by 90 bps, resulting in a widening gap of 53 bps to -2.19% [15] - The iPhone 17 cycle is expected to benefit from a longer replacement cycle and upgrades, with a price target of $305 [15] - **Microsoft (MSFT)**: - Institutional ownership increased by ~40 bps QoQ to 5.1%, but remains ~200 bps below its S&P 500 weighting of 7.1% [16] - The company is positioned well for growth beyond GenAI, with a focus on accelerating revenue growth and margin expansion [16] - **Amazon (AMZN)**: - Remains under-owned with a weighting approximately 144 bps below the S&P 500 [17] - AWS revenue growth is expected to accelerate, with a price target of $315 [17] - **Meta (META)**: - Under-owned with a weighting about 40 bps below the S&P 500, with a price target of $820 [19] - **Alphabet (GOOGL)**: - Under-owned with a price target of $330, driven by GenAI innovation and cloud business growth [17][19] Additional Insights - **Institutional Ownership Trends**: - The average active ownership for large-cap tech stocks is significantly lower than their S&P 500 weightings, indicating potential for future stock performance improvements [12] - The analysis suggests a statistically significant relationship between low active ownership and future stock performance, indicating potential upward price movement for under-owned stocks [12] - **Market Dynamics**: - The report highlights the importance of understanding the dynamics of institutional ownership as it relates to stock performance, particularly in the context of mega-cap tech stocks [12] - **Risks and Considerations**: - Rising commodity input costs may pressure margins for companies like Apple, but manageable due to better supply chain leverage [15] - Concerns regarding the broader return on investment for Nvidia's AI spending, despite strong demand indicators [25] Conclusion - The current landscape for mega-cap tech stocks presents a unique investment opportunity due to their under-ownership status, particularly for stocks like Nvidia, Apple, and Microsoft. The analysis indicates potential for upward price movement as institutional ownership adjusts to reflect their market performance.

Core Viewpoint - Investors are increasingly attracted to quantum computing stocks, but diversified AI stocks are considered better long-term investments [1][3]. Group 1: Quantum Computing Stocks - Key players in quantum computing include IonQ, Rigetti Computing, and D-Wave Quantum, which have outperformed the S&P 500 and Nasdaq Composite over the past year [1][3]. - These companies are primarily in exploratory phases, investing billions in R&D to achieve commercial breakthroughs [3]. Group 2: Nvidia - Nvidia's growth is driven by its GPUs and data center services, and it is innovating in quantum AI products [4][8]. - The company is leveraging its CUDA software architecture for hybrid computing environments [6]. - Nvidia's NVQLink platform addresses the fragility of qubits in quantum systems, enhancing its competitive edge [7][8]. Group 3: Alphabet - Alphabet is recognized for its diverse business model, with Google Cloud Platform (GCP) gaining traction among major clients like OpenAI and Meta [9][12]. - GCP's custom chip designs (TPUs) allow Alphabet to compete in the semiconductor market [12]. - Alphabet's research lab, DeepMind, is developing quantum computing systems, contributing to its AI foundation [13][14]. Group 4: Amazon - Amazon's extensive ecosystem includes e-commerce, streaming, and cloud services, with a focus on AI infrastructure [15][19]. - The company is investing heavily in data centers and has developed its own quantum processor, Ocelot [16][18]. - AWS leads in cloud computing market share, positioning Amazon well for AI-driven integration [19]. Group 5: IBM - IBM has a long history of investing in quantum computing and is now collaborating with AMD to commercialize quantum-centric supercomputing chips [20][22]. - This partnership could position IBM as a first mover in the quantum computing hardware market, potentially revitalizing its growth [22][23].

Core Insights - IBM and the University of Dayton have announced a collaboration to develop next-generation semiconductor technologies and materials, focusing on AI hardware, advanced packaging, and photonics [1][4]. - The partnership includes the establishment of a semiconductor nanofabrication facility at the University of Dayton, with completion expected in early 2027, aimed at enhancing research and workforce development [2][5]. Company Contributions - IBM will provide over $10 million worth of state-of-the-art semiconductor equipment to support the new facility, facilitating hands-on learning for students and researchers [4]. - The collaboration is designed to foster innovation and cultivate a skilled workforce essential for the U.S. semiconductor industry [5]. Academic and Community Impact - The initiative will allow students and researchers to work closely with industry experts, enhancing educational opportunities and positioning the University of Dayton as a leader in semiconductor research [3][4]. - Local leaders believe this partnership will significantly benefit the Dayton region by boosting the tech ecosystem and attracting more businesses [6].

Core Insights - IBM has expanded its collaboration with Microsoft to enhance its consulting capabilities through the integration of Microsoft's Copilot with IBM Consulting Advantage, allowing consultants to utilize AI tools within Microsoft 365 applications [1][9] - The AI consulting services market is projected to grow at a compound annual growth rate of 26.2% from 2025 to 2035, positioning IBM to capitalize on this trend with its integrated offerings [4] - IBM's Consulting segment reported revenues of $5.32 billion in Q3, an increase from $5.15 billion year-over-year, driven by business application transformation and modernization [5][9] Company Developments - IBM's integration of AI tools has resulted in the equivalent of over 250,000 hours saved annually, translating to approximately $35 million in value, allowing consultants to focus on revenue-generating tasks [3][9] - The company is currently trading at a price/earnings ratio of 24.19, which is above the industry average of 23.39, indicating a relatively higher valuation [10] Competitive Landscape - IBM faces competition from Accenture and Infosys in the consulting sector, both of which are also expanding their AI capabilities and forming strategic collaborations to enhance their service offerings [6][7] - Accenture has recently partnered with Microsoft to launch a copilot business transformation practice, while Infosys is expanding its generative AI portfolio through collaborations with industry leaders [6][7]

Accessibility StatementSkip Navigation Mark Hughes, Global Managing Partner, IBM Consulting Cybersecurity Services "Becoming 'quantum safe' is not a single event; it's a strategic enterprise transformation. This collaboration with Palo Alto Networks is critical because it delivers the foundational network visibility and control needed for that journey. Together, we are providing clients with the strategic roadmap and the technical controls necessary to manage their cryptographic transition to protect agains ...

Core Points - The event held by the International Liaison Department of the CPC aimed to explain the spirit of the 20th Central Committee's Fourth Plenary Session, focusing on China's reform measures and future investment opportunities for foreign enterprises in China [1][4][5]. Group 1: Economic Outlook - China's economic resilience was highlighted, with an average growth rate of 5.5% during the first four years of the 14th Five-Year Plan, and GDP expected to reach approximately 140 trillion yuan by the end of the year [5][7]. - The contribution rate of China to the global economy has consistently remained around 30% [5]. Group 2: Investment Opportunities - Key themes such as "trade innovation," "green transformation," and "high-level opening-up" were emphasized as areas of potential investment for foreign enterprises over the next five years [1][4]. - The event attracted over 160 representatives from more than 30 countries, indicating strong interest in China's market and investment landscape [4]. Group 3: Policy and Cooperation - The Chinese government aims to expand institutional openness, maintain a multilateral trade system, and promote trade innovation and bilateral investment cooperation [7][9]. - Experts discussed the importance of a modern industrial system, which offers foreign enterprises broader and deeper cooperation opportunities, particularly in high-end manufacturing, green low-carbon, and digital economy sectors [9][10]. Group 4: Innovation and Technology - China's R&D investment as a percentage of GDP has increased to 2.68%, narrowing the gap with the U.S. in total R&D investment [9]. - The unique scale of China's market is seen as a core competitive advantage for innovation, allowing for simultaneous development of various technological routes [9]. Group 5: Service Sector Opening - China plans to continue expanding its service sector, particularly in telecommunications, technology, healthcare, finance, and education, through platforms like free trade zones [10][11]. - The government encourages foreign investment in healthcare, which aligns with the "Healthy China" initiative, showcasing a commitment to mutual benefits [11].

"There's a whole discipline around evaluation that nobody's trained in doing... I think that's one of the biggest things everyone needs to learn."David Cox, VP of AI Models and IBM Director of the MIT-IBM Watson AI Lab at IBM, spoke at the 2025 #ForbesCIO Summit. https://t.co/OfvfUsiFwU ...