C3.ai vs. Applied Digital: Which Artificial Intelligence Stock Is a Better Buy in 2026?
Both face customer concentration and heavy losses, but their balance sheets tell starkly different stories.
Overview
The artificial intelligence revolution offers two distinct paths, software or the hardware that powers it. Choosing between C3.ai (NYSE:AI) and Applied Digital (NASDAQ:APLD) depends on your appetite for risk.
C3.ai specializes in providing enterprise-grade software that helps businesses deploy AI at scale. Applied Digital focuses on the physical side, building the high-performance data centers needed for intensive computing. While both companies aim to capitalize on the AI boom, they operate in different niches, offering unique risk profiles for investors.
Details
C3.ai operates among tech stocks by selling the C3 Agentic AI Platform to help large organizations deploy artificial intelligence applications. The company relies on strategic partnerships with major names, such as Baker Hughes and Microsoft, to serve as sales channels to reach global industrial and cloud customers. Customer concentration like this adds a layer of risk to the business, as a handful of large contracts currently drive the majority of its total revenue.
Source
Originally published at www.fool.com.