I think the immediate question is the immediacy of how quickly the bill passes to the president's desk and how you see that happening. Well, thanks, Ed. Glad to be here.So the next step here is for the House to take it up. And I think the House is considering its options, but I think we're basically at the finish line here. The House already passed a similar version of the bill called the Stables Act.And I think that we're very close here to having a bill that can go to the president's desk. There is also a ...

I think that we do have to be concerned about Huawei competing on the global market. Uh they may not fully be there yet, but I would expect that to change in the future. And I think that if we're overly restrictive in terms of US sales to the world, I think there'll be a time where we're kind of kicking ourselves saying, you know, when we're and all of a sudden Huawei is everywhere, we'll be saying, well, wait, when we had this whole market to ourselves, why didn't we take advantage of that opportunity and ...

China's Economic Strategy & Consumer Market - China is strategically shifting away from export dependency on the US consumer by stimulating domestic consumption, which has been sluggish since COVID [3] - The Chinese government is using fiscal stimulus to support consumption, particularly for big-ticket items like washing machines and refrigerators [5] - Chinese retail sales rose more than expected due to stimulus measures like the consumer goods trade-in program [1] US-China Trade & Tech Competition - US companies, particularly Apple, are losing ground in the Chinese market due to US-China tensions and increasing domestic competition [6][7] - Huawei is dominating the smartphone market in China, while Tesla's market share in the EV space has significantly declined, now barely in the top 10 [8][9] - China is successfully implementing industrial policy, dominating the renewable energy sector and expanding into robotics, advanced manufacturing, and AI [9][10] Global Investment & US Economic Outlook - TPW Advisory is overweight on Chinese equity using US-listed ETFs and has been for over a year, also favoring emerging markets more broadly [10][11] - The US is perceived as being priced at a premium with governance and policy uncertainties, leading to a potential shift in global equity leadership away from the US [16][17] - There is a lack of appetite from domestic and foreign investors to significantly increase their treasury, dollar, or US equity positions [15] - The US is seen as falling behind in EVs and industrial policy compared to Europe and China, which are actively investing in AI, climate, and defense [21]

All right, five things to know ahead of today's opening bell. Israel's military says that it has achieved aerial superiority over Iran's capital, Thrron. It's the fourth day of fighting between the two countries since Israel launched attacks on Iran's nuclear infrastructure.US Ambassador to Israel, Mike Huckabe, said that the US embassy branch in Tel Aviv sustained minor damage from shock waves from a nearby explosion, but no US personnel were injured. President Trump has approved Nepon Steel's nearly $15 b ...

Investment Rating - The report does not explicitly state an investment rating for the industry or specific companies mentioned [8][12]. Core Insights - The report highlights that Apple (AAPL) is reinforcing its position as a platform of choice for existing users, but limited AI updates imply few switchers in the upcoming iPhone cycle [8]. - Amphenol (APH) is assessed for its long-term AI content growth story, with expectations for AI revenue to grow significantly from approximately $1 billion last year to around $7 billion next year, indicating a strong growth trajectory [9]. - Qualcomm (QCOM) is noted for its strategic acquisition of Alphawave IP for $2.4 billion, which is expected to enhance its position in the datacenter market and drive significant operating leverage [12]. Summary by Relevant Sections Apple (AAPL) - The updates from the WWDC event were incremental, with no major surprises that would change the outlook for iPhones or other devices. The redesigns are significant but lack updates on key AI integrations, which moderates expectations for the iPhone 17 cycle [8]. Amphenol (APH) - The report provides a roadmap for AI cable connector content growth, projecting an increase from ~$1 billion to ~$7 billion in revenue. The anticipated adoption of new technologies is expected to support mid-teens organic growth, with a 15% EPS upside versus consensus for 2026 [9]. Qualcomm (QCOM) - The acquisition of Alphawave IP is seen as strategically important for enhancing Qualcomm's capabilities in the datacenter market, with an estimated total addressable market (TAM) of $33 billion by 2027. The deal is expected to provide synergies and significant operating margins once scaled [12].

Investment Rating - The industry investment rating is In-Line [8] Core Insights - Total server shipments grew 22% year-over-year (y/y) in 1Q25, primarily driven by cloud demand for both AI and general servers [1][2] - AI server shipments are expected to continue growing sequentially throughout 2025 [1][15] - High-end server shipments saw significant growth of 491% y/y in 1Q25, indicating strong demand for AI servers [12][13] Summary by Sections Overall Market Performance - Global server shipments totaled 3.9 million units in 1Q25, reflecting a slight decrease of 1% quarter-over-quarter (q/q) but a robust increase of 22% y/y [2] - The US market outperformed with shipments up 43% y/y, while Western Europe saw a decline of 7% y/y [11] Segment Analysis - High-end servers grew 491% y/y, mid-range servers increased 143% y/y, and entry-level servers rose 12% y/y [12] - The aggregate ODM direct shipments reached 1,857k units, marking a 50% y/y increase [4][14] Vendor Performance - ODM direct market share increased to 47.4% in 1Q25, up 10 percentage points from the previous quarter [15] - Major vendors like Dell, HP, and Lenovo experienced declines in market share, with Dell at 9.1% and Lenovo at 4.9% [15] Stock Implications - Preference for ODMs/OEMs over components, with specific recommendations for companies such as Giga-Byte, Hon Hai, and Quanta [7]

Core Message - Nvidia is positioning itself as a key player in helping Europe build its artificial intelligence infrastructure, emphasizing the importance of AI as a foundational technology for the region's future [2][5]. Group 1: Nvidia's Role in AI Infrastructure - Jensen Huang, CEO of Nvidia, has articulated that the company is more than just a chip manufacturer, framing Nvidia as an infrastructure firm essential for developing AI capabilities in Europe [5]. - Huang highlighted the need for Europe to collaborate and build a joint capacity in AI to compete effectively on a global scale [6]. - A significant partnership was announced between French startup Mistral and Nvidia to create an AI cloud utilizing Nvidia's GPUs [6]. Group 2: Sovereign AI and European Potential - The concept of "sovereign AI" was discussed, focusing on the importance of establishing data centers within national borders to serve local populations [7]. - Huang praised the potential of the U.K., France, and Europe in the AI sector, indicating a positive outlook for the region's capabilities [7]. Group 3: Competitive Landscape with China - Nvidia has faced challenges in selling advanced chips to China due to U.S. export controls, resulting in a $4.5 billion loss on unsold inventory in its last quarterly results [8]. - Huang noted that while Huawei is currently a generation behind Nvidia in AI chip technology, the company is leveraging its resources to catch up [9]. - Concerns were raised about the strategic implications of U.S. companies not engaging with the Chinese market, which could allow Chinese firms to advance in the AI race [11][12]. Group 4: Future Technologies - Huang expressed optimism about the future of robotics and autonomous vehicles, predicting that this decade will be pivotal for these technologies [13][14]. - He also mentioned that quantum computing is reaching an "inflection point," with the potential to solve complex problems beyond the capabilities of classical computers [15].

Group 1 - Apple Inc's iPhone sales in China topped the charts in May, indicating a rebound in growth in its key markets, China and the U.S. [1] - Global sales for Apple increased by 15% during April and May, marking the highest growth since the pandemic began in 2020 [1]. - Discounts of up to 2,530 yuan ($351) were offered on Apple's latest iPhone 16 models in May through Chinese e-commerce platforms [1]. Group 2 - The rebound in iPhone sales was partly driven by tariff evaders and double-digit growth in Japan, India, and the Middle Eastern markets [2]. - The U.S. and Chinese markets are crucial for the iPhone's future prospects, as highlighted by Ivan Lam of Counterpoint [2]. Group 3 - Counterpoint Research revised its growth expectations for global smartphone shipments in 2025 down to 1.9% from 4.2%, citing uncertainties related to tariffs [3]. - Shipment growth from China is expected to be nearly flat, with Apple and Samsung's shipments anticipated to slow due to increased consumer costs [3]. - IDC also lowered its 2025 global smartphone shipment growth outlook to 0.6% from 2.3% [3]. Group 4 - IDC forecasts a 3% growth in smartphone shipments in China for 2025, driven by government subsidies, while Apple is expected to decline by 1.9% due to competition from Huawei and economic slowdown [4]. - U.S. smartphone shipment growth is projected to slow to 1.9% in 2025, down from 3.3% in 2017, primarily due to tariff-related price increases [4]. - As of the last check, Apple stock was down 0.82% to $197.57 [4].

Uh, you know, I had Jensen uh Hang on the BG2 podcast uh last year. It's when people were were saying, "Oh, this training is hitting an upper bound and all this AI is overblown and remember uh Nvidia fell and all these AI stocks were falling and and Jensen Hang said on on the podcast, he said, you know, we are now moving into inference time reasoning where the machines begin to recursively think for themselves." And he said at that moment, inference isn't going to 10x. It isn't going to 100x. It isn't going ...

Nvidia's Jensen Wong issuing a warning to the US when it comes to imposing these chip restrictions on China. Our Arjent Carpal is in Paris at the Viva Technology Conference where he talked to Nvidia's CEO earlier today. Arjun, good morning. Good morning, Carl.It's been Jensen Mania here in Europe for the past few days. He was in London, now he's in Paris. Uh, and there's been a slew of deals announced around Nvidia and infrastructure deals here in Europe.But I had a chance to catch up catch up with Jensen H ...