Core Viewpoint - Recent dealmaking in the AI sector has intensified concerns regarding an AI bubble, reflecting a growing skepticism among some investors [1] Group 1 - The current wave of dealmaking in the AI industry is characterized as circular, indicating a potential lack of genuine innovation and value creation [1] - The fears surrounding the AI bubble have escalated, suggesting that investors are increasingly wary of overvaluation in the sector [1]

how this whole pattern is almost identical to what happened in the 1990s. >> You know, right now it feels like they're two opposite forces. One hand, people are talking about this AI bubble, potential crypto bare market.>> I've really enjoyed AI as far as whether it's a bubble or not. I mean, the thing about bubbles is even if you know, even if you knew for a fact we were in a bubble, it doesn't necessarily tell you how do you make money in the bubble. Because bubbles can last for years before they fully un ...

watch nowWhile markets expect Kevin Hassett to be named the next Federal Reserve chair, he is pointedly not the choice of respondents to the CNBC Fed Survey.The December survey shows 84% believe President Donald Trump will tap Hassett, director of the National Economic Council, to head the central bank. But only 11% think that's what the president should do. Fed Governor Christopher Waller is the favored pick of 47% of respondents, followed by Kevin Warsh at 23%. But only 5% of respondents think Trump will ...

Core Insights - The current wave of capital investment in AI infrastructure is expected to continue growing, with significant benefits for chipmakers and suppliers [2][4][5] Group 1: AI Capital Expenditure Trends - BlackRock's chief investment strategist predicts that AI-driven capital spending is accelerating, with major tech firms competing aggressively for market dominance [2][3] - The firm estimates that global AI capital expenditure could reach between $5 trillion to $8 trillion by 2030, with the U.S. leading this growth [5] Group 2: Beneficiaries of AI Investment - Suppliers of AI infrastructure, including chipmakers, energy producers, and copper-wire manufacturers, are identified as primary beneficiaries of the ongoing capital influx [2][4] - The hyperscalers are increasing their spending aggressively, driven by the belief that anything less than market leadership could jeopardize their positions [4] Group 3: Future Outlook and Execution - The next phase of AI investment will focus on execution capabilities rather than just spending, with success depending on infrastructure readiness and project management [7] - Concerns about a potential AI bubble persist, particularly regarding whether demand will justify the sector's high valuations [6]

Oracle (ORCL) is set to report quarterly earnings after the bell on Wednesday. Wall Street is closely watching the cloud firm's results for any signs of cracks in the AI bubble. The fast-growing AI player is expected to report earnings per share of $1.64 for its fiscal second quarter, according to consensus estimates of analysts tracked by Bloomberg, up from $1.47 the previous year. Oracle is projected to report revenue of $16.21 billion for the period, up 15% from the year-ago quarter. And the tech firm ...

SAN FRANCISCO (AP) — OpenAI said Tuesday it has picked Slack CEO Denise Dresser as its first chief of revenue, a message to wary investors that the ChatGPT maker is serious about making a profit from its artificial intelligence technology. OpenAI said Dresser will oversee global revenue strategy and “help more businesses put AI to work in their day-to-day operations.” Dresser had already spent more than a decade at Salesforce when the software pioneer announced in 2020 it was buying work-chatting service ...

DA Davidson recently issued a stock idea that was best positioned to survive an AI bubble-bursting scenario. It is a big name, and one many are already familiar with: Microsoft (MSFT). In case you didn’t know, Microsoft has a significant stake in OpenAI, the maker of ChatGPT. It is this stake that primarily drives analyst Gil Luria’s bullish take on the stock. According to the analyst, Microsoft has a significant dependence on OpenAI. It derives 75% of its Azure AI revenue, 17% of total Azure revenue, and ...

Meanwhile, uh, the tech sector likely to be sensitive to tomorrow's Fed decision on rates. Joining us right now is Doug Clinton, Intelligent Alpha founder and CEO. Good morning to you.Uh, help us understand what you think is going to happen tomorrow. And let's talk about the impact. Seems like, Andrew, the odds are going toward a rate cut.As it pertains to tech, where I spend most of my time, I think it's actually mostly irrelevant in the the medium to longer term what the Fed does tomorrow. The focus in th ...

Hey Sarah. So in a letter to investors that I obtained from a source, Tiger Global says it's launching a new private investment fund similar in size to its earliest vintages. Now Tiger was part of that mega fund frenzy of 2020 and 2021 when it took positions in OpenAI and Whimo.Those two companies are now leading the current cycle. In fact, the letter discloses that Whimo is now delivering 450,000 rides per week. That is nearly double what Whimo last shared in April.Now both the letter and the audio from fo ...

Hey Sarah. So in a letter to investors that I obtained from a source, Tiger Global says it's launching a new private investment fund similar in size to its earliest vintages. Now Tiger was part of that mega fund frenzy of 2020 and 2021 when it took positions in OpenAI and Whimo.Those two companies are now leading the current cycle. In fact, the letter discloses that Whimo is now delivering 450,000 rides per week. That is nearly double what Whimo last shared in April.Now both the letter and the audio from fo ...