2026 will be the year of AI monetization, says Wedbush’s Dan Ives

Group 1: AI Spending Forecast - Global AI spending is projected to exceed $2 trillion by 2026, driven by the integration of AI into various products and infrastructure [2] - The increase in AI investment is expected to come from a broader base of enterprises, not just top tech giants [1][2] - Regional economic conditions, regulatory environments, and access to skilled talent will impact the pace at which companies scale their AI initiatives [2] Group 2: Market Trends and Insights - 2026 is anticipated to be a pivotal year for AI monetization, with a focus on turning existing capabilities into measurable business results rather than introducing new models [3][5] - Analysts from Wedbush Securities note a recent acceleration in AI-related business activities, suggesting that enterprises are fast-tracking their AI deployments [3] - Deloitte emphasizes the shift from experimentation to execution in AI spending, highlighting the importance of data hygiene, integration, and compliance [4] Group 3: Investment Activity - In November, E*TRADE reported that clients were net buyers in 10 of 11 S&P 500 sectors, particularly favoring technology stocks amid a market dip [11] - The consumer discretionary sector saw the highest net buying activity at +13.41%, followed by utilities at +7.35% and communication services at +4.9% [11]