want to uh talk some tech right now. AI valuations. Kanye Nagella is managing partner at Kindred Ventures.Uh want to get into all of this uh with him this morning as we try to understand where this is all going. The venture business has been um an interesting one. This could be a huge year, huge year for some of the the vintage, but probably what two probably five, six, seven years ago for what's going to happen in 26.Yes, this is really an exciting year because you've got some of the biggest potential IPOs ...

Core Insights - Saudi Arabia is actively diversifying its economy beyond oil, with over 50.6% of its economy now "completely decoupled" from oil revenues [2] - The kingdom is focusing on fast-growing sectors such as artificial intelligence, aiming to be a "key investor" in AI applications and data centers [3] - The Public Investment Fund (PIF) is leveraging oil revenues to acquire stakes in various sectors, including technology and sports [5][6] Economic Diversification - More than half of the Saudi economy is now independent of oil, with 40% of government revenue coming from non-oil sources [2] - The country reported a 1.3% rise in GDP for 2024, driven by a 4.3% increase in non-oil segments, while oil activity fell by 4.5% year on year [5] Investment in AI - Saudi Arabia is expected to gain over $135 billion by 2030 from AI investments, supported by its energy surplus [4] - The kingdom plans to build data centers at a competitive cost, aiming to lead in AI development [3] Public Investment Fund Activities - The PIF has made significant investments in tech giants and sports, including stakes in Electronic Arts and a takeover of Newcastle United [6]

Market Performance - Major indices are at record highs, with the S&P 500 and Nasdaq composite both achieving new peaks [6][7] - The Dow Jones Industrial Average increased by approximately 100 points, or 0.2%, while the S&P 500 rose by about 5 points, or 0.1% [6][7] - The Russell 2000 index closed higher by about 16 points, or 0.7%, nearing its last record high [7] Sector Performance - Information technology was the largest contributor to gains, with communication services, industrials, and materials also performing well [8] - Consumer discretionary, energy, and consumer staples sectors lagged behind, contributing to the downside [9] Notable Gainers - Fair Isaac (FICO) shares surged by nearly 18% after announcing it will sell credit scores directly to mortgage resellers, impacting competitors Equifax and TransUnion negatively [10] - Nebulous Group (N.BIS) shares rose by about 9% following a deal with Microsoft worth approximately $9.4 billion to provide computing power for AI development [12] - Acer Space Mobile's stock increased by 16% as it continues to expand its satellite technology partnerships with AT&T and Verizon [15][17] Notable Decliners - Tesla shares fell by 5.1% despite reporting a record quarter of vehicle sales, raising concerns about future earnings amid changing market conditions [19] - Occidental Petroleum's shares dropped over 7% after announcing the sale of its oxy cam petrochemical unit to Berkshire Hathaway for about $9.7 billion, which was below analyst expectations [20] - Equifax shares declined by 8.5% following Fair Isaac's announcement regarding the direct sale of credit scores, marking it as the worst performer in the S&P 500 [21]

AI Industry Overview - The AI industry is transitioning from an initial feature cycle to a more comprehensive AI economy, similar to the evolution of electricity and the internet [3][4]. - Companies are increasingly focused on building infrastructure to support AI, with networking becoming a critical area for investment [5]. Key Players and Investment Opportunities - Major tech companies like Microsoft, Amazon, and Google are ramping up capital expenditures to expand their data center capacities, indicating a strong commitment to AI [6][7]. - Google is highlighted as a leader in utilizing AI effectively, with significant growth in search traffic and cloud services [11][12]. Emerging AI Utility Companies - Nebius has secured a $17 billion contract with Microsoft, positioning itself as a key player in AI infrastructure with long-term deals [12]. - Iris Energy is pivoting from Bitcoin mining to GPU services, capitalizing on the demand for renewable energy in AI data centers, with a revenue run rate of $1.2 billion [14].

AI发展与影响 - AI技术正以惊人的速度发展，各行各业都受到了影响 [2][6] - AI并非魔法，而是以惊人速度运行的数学、数据和算法 [5][6] - AI在科学发现、语言掌握、多模态智能、预测分析和生成创造力方面都取得了显著进展 [6][7][8][9][10] - AI虽然学习速度快，但在理解、推理和情商方面仍有不足，需要监督 [11][12][13] AI领导力与策略 - 领导者需要关注AI革命的方向，以及如何塑造AI在世界中的角色 [5] - 组织应为员工提供AI工具，实现现代化，并打破官僚主义障碍 [18][19][20] - 通过AI赋能员工后，组织可以更清晰地看到哪些人能够适应并充分利用AI，哪些人会被替代 [23][24] - 组织应自动化重复性工作，让人类专注于更有价值的任务 [25][26] - 在AI时代，领导力应侧重于质量而非数量，重视人才的选拔、提升和奖励 [26][27][28][29][30][31] AI伦理与未来 - AI可能成为人类创造力的解放者，也可能成为行业的破坏者，这取决于领导者的选择 [32] - 避免对AI采取反应性、恐惧性和短视的态度，而应采取果断、合乎伦理和智能的方式 [33]

Investment Rating - The report does not explicitly state an investment rating for the industry Core Insights - The report highlights a historic paradigm shift driven by artificial intelligence (AI), which is expected to create new industries and transform the economy [6][19] - AI is projected to increase global data center power demand by 160% by 2030, necessitating innovative financing solutions and infrastructure development [9][38] - The convergence of compute and power is creating urgency for corporate leadership to strategically navigate the evolving landscape [10] Section Summaries A Historic Paradigm Shift: AI Ushers In a New Era for Computing - AI is rapidly advancing, fundamentally transforming industries and creating new opportunities [19] - The infrastructure required for AI workloads is significantly more complex and resource-intensive than previous computing paradigms [21] - Hyperscalers are expected to invest $1 trillion in AI technology by 2027, indicating a substantial expansion in capital expenditure [22] The Power Imperative: Generational Opportunities and Challenges - Data center power usage is expected to increase by 160% by 2030, driven by AI demands [38] - The aging US power grid poses a critical bottleneck for meeting this rising demand [39] - Utility companies are exploring new rate structures and partnerships to accommodate large-load customers like hyperscalers [45][46] Data Center Diplomacy: A New Tool for Geopolitical Influence - Data centers are becoming strategic assets for nations, allowing them to leverage infrastructure for geopolitical and economic advantages [71] - The flexibility in data center location enables countries to form strategic alliances and enhance competitiveness in the digital economy [73] Meeting the Moment with Capital Solutions - Global hyperscalers' capital expenditure reached approximately $800 million per day in 2024, reflecting the urgency of infrastructure needs [78] - Joint ventures and creative financing solutions are emerging to meet the unprecedented capital demands of the AI ecosystem [79][80] - The expected capital demand for digital infrastructure by 2030 is projected to be $2 trillion, highlighting the scale of investment required [80]

AI & Human Potential - The speech emphasizes the importance of human potential in the age of AI, advocating for a balance between technological efficiency and positive human impact [1] - It highlights the need for diverse perspectives in AI development, as AI requires human judgment, connection, imagination, and feedback loops [5][7] - The speech encourages individuals to contribute their voices and ideas to shape the future of AI, emphasizing that everyone's input matters [4][12] AI Applications & Concerns - AI has various positive applications, such as diagnosing early-stage Alzheimer's, improving airport security, and personalized education [1][9] - Concerns exist regarding the trustworthiness of AI, including deep fake scandals and the potential for AI to "run amok," leading to calls for restraint [1][2] - AI can be used to enhance humanity by fostering kindness, compassion, and love, and by building a world that reflects the values we want to live by [10][12] Engagement & Shaping the Future - Individuals are encouraged to engage with AI by identifying areas of curiosity or concern and using AI to address them [5][6] - The speech highlights the importance of ethical considerations in AI development, citing examples of biased AI projects and algorithms that made mistakes [7][8] - Technology is a tool that should be used to enhance human capabilities and connect people, rather than diminish them [9][12]