Peter St. Onge

"For this year I'm very bullish on the sort of picks and shovels in AI that means overwhelming semis. So, Nvidia, Broadcom, companies like that." AI applications currently lack clear economic moats, making it difficult to pick software winners. However, the massive venture capital flowing into AI development guarantees immediate and sustained revenue for the hardware and semiconductor companies building the underlying infrastructure. LONG. "Picks and shovels" (semiconductors) are the safest, most profitable way to play the AI boom while the software landscape remains unsettled. A broader macroeconomic recession or a sudden halt in AI venture capital funding could reduce aggregate demand for high-end chips.

"For this year I'm very bullish on the sort of picks and shovels in AI that means overwhelming semis. So, Nvidia, Broadcom, companies like that." AI applications currently lack clear economic moats, making it difficult to pick software winners. However, the massive venture capital flowing into AI development guarantees immediate and sustained revenue for the hardware and semiconductor companies building the underlying infrastructure. LONG. "Picks and shovels" (semiconductors) are the safest, most profitable way to play the AI boom while the software landscape remains unsettled. A broader macroeconomic recession or a sudden halt in AI venture capital funding could reduce aggregate demand for high-end chips.