AI Spending Could Soar to $4 Trillion: 2 No-Brainer Stocks to Buy Now (Hint: Neither Is Nvidia)

Core Viewpoint - The artificial intelligence (AI) infrastructure spending is projected to reach up to $4 trillion by the end of the decade, driven by increasing demand from companies for AI capabilities [2][3]. Group 1: AI Infrastructure Spending - Jensen Huang, CEO of Nvidia, predicts significant growth in AI infrastructure spending, indicating a robust market opportunity [2]. - Major companies like Meta Platforms and Alphabet are ramping up capital spending to enhance their AI capabilities, supporting Huang's forecast [3]. Group 2: Investment Opportunities - Despite rising stock prices, there are still opportunities to invest in certain companies as the AI infrastructure buildout continues [4]. - Nebius Group has experienced explosive revenue growth, with a 625% year-over-year increase to approximately $105 million, driven by demand for high-powered GPUs [5][8]. - Taiwan Semiconductor Manufacturing Company (TSMC) is positioned to benefit from the AI infrastructure buildout, manufacturing chips for multiple major companies, which diversifies its revenue sources [9][10]. Group 3: Company Strategies - Nebius Group offers cloud-based GPU rental services, allowing customers to save time and money while accessing necessary AI resources [6][7]. - TSMC has made significant investments in U.S. manufacturing, totaling $165 billion, to support its operations and mitigate tariff impacts, enhancing its market position [11]. - TSMC reported a 38% revenue increase in the recent quarter, indicating strong demand for AI chips and a favorable outlook for future growth [12].