Core Viewpoint - Bank of America expresses optimism towards chip stocks like Nvidia (NVDA.US), viewing AI chips as "new currency" that plays a crucial role in geopolitical negotiations and highlighting the long-term demand for AI computing in recent large-scale projects in the Middle East [1][2] Group 1: AI Chip Market Dynamics - The demand for AI computing capabilities continues, with significant investments projected in AI infrastructure projects, particularly in collaboration with Saudi Arabia's Public Investment Fund (PIF), estimated to reach $3 billion to $5 billion annually, potentially totaling $15 billion to $20 billion in the coming years [2] - Nvidia is set to supply 18,000 advanced Blackwell chips to the newly established company Humain, while AMD has signed a $10 billion agreement to provide 500 megawatts of AI computing power for Humain's data centers [2] Group 2: Investment Opportunities - Bank of America identifies Nvidia and AMD as likely major beneficiaries of the Saudi project, raising their target stock prices to $160 and $130 respectively [3] - Other chip stocks such as Broadcom (AVGO.US) and Marvell Technology (MRVL.US), along with optical connectivity provider Coherent (COHR.US), are also expected to benefit, with buy ratings reiterated for these companies [3] Group 3: Market Trends and Regulations - Capital expenditures from hyperscale/cloud customers have increased by 44% year-over-year, compared to just 7% in the previous year, indicating a robust demand for AI infrastructure [3] - The easing of regulations that previously restricted the diffusion of AI technology is expected to further drive the demand for advanced AI chips, as the Biden administration's prior licensing regime limited access to these technologies [3] - AI chips are becoming pivotal in geopolitical trade negotiations, functioning as a new form of "currency" in these discussions [3]
英伟达等赢麻了?美银:AI芯片成“新货币”,对地缘政治谈判至关重要!