Here's How the AI Trade Blows Up (Hint: It Has to Do With OpenAI, Anthropic, and China)
While the future of artificial intelligence is still incredibly bright, there is a scenario in which the trade takes a scary turn.
Overview
Investors who saw the artificial intelligence trade coming 10, five, and three years ago have done extraordinarily well.
The launch of large language models (LLMs) from OpenAI, Anthropic, and others has driven incredible demand for chips, memory, compute, and other parts of the AI supply chain -- so much so that investors have been scouring that chain for areas where demand could be constrained.
Details
But as the market has gone up and up, investors have grown wary, whether due to the hundreds of billions of dollars companies are investing in AI infrastructure or regarding valuations that, at times, have seemed ludicrous.
Source
Originally published at www.fool.com.