News/Investing
NSF Invests $20M in AI to Transform Geosciences Research
NSF's $20 million investment in AI for geosciences: The U.S. National Science Foundation (NSF) has announced funding for 25 projects totaling over $20 million through the Collaborations in Artificial Intelligence and Geosciences (CAIG) program, aiming to advance AI techniques in geosciences research. The CAIG program seeks to foster transdisciplinary partnerships between geoscientists, computer scientists, mathematicians, and other experts to drive innovative discoveries and solutions in Earth sciences. This investment will support the development and implementation of cutting-edge AI techniques while expanding access to education and training opportunities for using AI in geosciences research. The funded projects align with key technology...
read Aug 30, 2024Fetch.ai Launches $10M AI Agent Innovation Hub in San Francisco
Fetch.ai launches innovation hub to accelerate AI agent development: The company has established a new lab in San Francisco to foster the creation of AI agent solutions for businesses and consumers, backed by a $10 million annual funding commitment. Key features of the innovation hub: Fetch.ai's new initiative aims to provide comprehensive support for startups and developers working on AI agent technology. The lab will offer funding, expert mentorship, and strategic support to help founders navigate the complexities of AI development. Competitions and fast-track development opportunities will be available to accelerate innovation in the field. The hub focuses on supporting...
read Aug 28, 2024What to Expect from Nvidia’s Upcoming Earnings Report
AI industry powerhouse: Nvidia, the leading chipmaker in the artificial intelligence sector, is set to report its second-quarter earnings, with Wall Street anticipating significant growth driven by the ongoing AI boom. Financial expectations: Analysts project Nvidia to report adjusted earnings of 65 cents per share on revenue of $28.74 billion for the second quarter, more than doubling its performance from the same period last year. The company's revenue has more than tripled on an annual basis over the past three quarters, with the majority of growth stemming from its data center business. Wall Street is closely watching for any signs...
read Aug 27, 2024AI Startups Now Represent 75% of Y Combinator’s Summer 2024 Cohort
AI dominates Y Combinator's latest cohort: The renowned startup accelerator Y Combinator's Summer 2024 (S24) cohort reveals an unprecedented focus on artificial intelligence, with 75% of startups working on AI-related products. Out of 208 startups in the YC S24 directory, 156 are developing AI-powered solutions, marking the highest proportion in the accelerator's history. This trend aligns with recent venture capital investments, as nearly half of all US VC funding in the previous quarter went to AI companies. Y Combinator has a track record of producing successful startups, including unicorns like Airbnb, Stripe, Coinbase, and DoorDash. Factors driving the AI surge:...
read Aug 27, 2024AI-Powered Oncology Fund Raises $30M for Cancer Tech Startups
Oncology Ventures has successfully closed its first fund, raising $30 million to invest in early-stage healthcare technology companies focused on improving cancer care and research. Fund details and focus: Oncology Ventures' inaugural fund will make seed investments in startups leveraging data and artificial intelligence to advance oncology. The $30 million fund was raised in a relatively quick 16-month timeframe, suggesting strong investor interest in the firm's specialized focus. Investments will target companies developing data-driven and AI-powered solutions to enhance various aspects of cancer care and research. By focusing on seed-stage investments, Oncology Ventures aims to support promising innovations at an...
read Aug 27, 2024Australian Pension Fund Acquires Bandwidth Infra Company to Capitalize on AI
Australian pension fund invests in European fiber network: Aware Super, an Australian pension fund, has acquired a minority stake in euNetworks, a London-based bandwidth infrastructure company, aiming to capitalize on the growing artificial intelligence sector. The investment was made through a vehicle led by Stonepeak, a global infrastructure and real assets manager, along with other investors including Investment Management Corporation of Ontario and APG Asset Management. Aware Super, which manages A$180 billion in assets, did not disclose the size of its stake or the investment amount. EuNetworks operates deep fiber networks in 18 European cities and a long-haul network across...
read Aug 26, 2024Governors Face Tough Choices Balancing AI Investment with Economic Needs
Economic priorities and technological investments: Illinois Governor J.B. Pritzker's recent comments on national economic priorities highlight the complex balance between addressing immediate socioeconomic needs and investing in future technologies like artificial intelligence (AI). Pritzker referenced Vice President Kamala Harris and Minnesota Governor Tim Walz's vision for financial stability, affordable living costs, and an inclusive housing market, resonating with many Americans' aspirations for economic stability. In 2020, Pritzker sanctioned $230 million in AI funding, aiming to position Illinois at the forefront of scientific and technological breakthroughs. The investment was directed towards two new National Quantum Information Science Research Centers led by...
read Aug 25, 2024Frontier AI Models Could Cost $250B by 2027, Experts Predict
Scaling AI: The path to colossal models: Recent research and analysis suggest that by 2027, we could see the emergence of a $100 billion AI model, with further scaling beyond this point becoming less certain. Epoch AI's research forecasts AI training compute to reach 2e29 floating-point operations per second by 2030, requiring hardware investments of approximately $250 billion. This projected scale dwarfs current investments, being over five times Microsoft's annual capital expenditure. The study indicates no insurmountable technical barriers to this level of scaling, although there is high uncertainty surrounding various factors. Infrastructure challenges: Power availability and chip production present...
read Aug 23, 2024AI-Driven Investment Funds Struggle to Beat Market Benchmarks
The rise and fall of AI-powered investment funds: Despite initial excitement surrounding artificial intelligence in finance, AI-driven investment funds have largely failed to deliver on their promise, underperforming traditional benchmarks and raising questions about the technology's readiness for critical financial decisions. The launch of the first AI-powered ETF (AIEQ) in 2017 marked a significant milestone in the integration of AI into investment strategies, but its performance has since lagged behind the S&P 500. Another early entrant, the AI-driven MIND fund, also underperformed before ultimately shutting down, highlighting the challenges faced by AI in navigating complex financial markets. Performance analysis of...
read Aug 21, 2024World’s Largest Wealth Fund Urges Its 9,000 Portfolio Companies to Build AI Literacy
Norway's sovereign wealth fund pushes for AI governance: The world's largest sovereign wealth fund, Norway's $1.7 trillion fund, is urging boards of its portfolio companies to enhance their AI proficiency and take control of its implementation to mitigate potential risks. Key initiative details: The fund, which holds shares in nearly 9,000 companies worldwide, has issued recommendations for integrating responsible AI practices across its vast portfolio. Carine Smith Ihenacho, chief governance and compliance officer, emphasizes the need for boards to collectively understand AI's relevance to their business and establish appropriate policies. The fund has shared its perspective on AI with its...
read Aug 16, 2024Arm’s Stock is Up But the Company Faces Complex Hurdles
Arm Holdings' AI-driven growth and market position have captured investor attention, propelling the company to become the third-best performing AI-related semiconductor stock in 2024. However, a closer examination reveals a complex picture of opportunities and challenges for the chip designer. Recent performance and technological advancements: Arm Holdings has seen its stock surge 56% year-to-date, reflecting growing investor enthusiasm for AI-related semiconductor companies. The company's latest Arm v9 architecture offers significant improvements for AI applications, positioning Arm to capitalize on the growing demand for AI-capable chips. This new architecture commands double the royalty rate of previous versions, potentially boosting Arm's revenue...
read Aug 15, 2024AI Reality Check Prompts CIOs to Rethink Investments
Generative AI faces a reality check as initial hype gives way to pragmatic considerations, prompting CIOs to reevaluate their strategies and investments in this transformative technology. The looming correction: A course correction for generative AI appears inevitable after two years of intense excitement and speculation in the tech industry. Gartner predicts that 30% of current generative AI projects will be abandoned after proof-of-concept by 2025, signaling a sobering shift in expectations. The reasons for project failures are multifaceted, including poor data quality, inadequate risk controls, unclear business value, and escalating costs associated with implementation and maintenance. Generative AI initiatives can...
read Aug 14, 2024AI Propels Norway’s Wealth Fund to $138 Billion Profit
Record-breaking performance: Norway's Government Pension Fund Global, the world's largest sovereign wealth fund, posted a remarkable profit of 1.48 trillion kroner ($138 billion) in the first half of 2023. The fund's overall return for the six-month period was 8.6%, slightly lower than its benchmark index by 0.04 percentage points. As of the end of June, the fund's total value reached 17.75 trillion kroner. Tech stocks fuel growth: The fund's impressive performance was primarily attributed to strong returns on investments in technology stocks, particularly those related to artificial intelligence. Equity investments yielded a "very strong" return, according to Nicolai Tangen, CEO...
read Aug 12, 2024Veteran Investor Warns of 20% Market Drop in 2025
The global economy faces potential headwinds in 2025, with a veteran investor predicting a bear market due to several key factors. This forecast comes amid ongoing debates about monetary policy, economic growth, and the sustainability of the AI boom. Market outlook and key drivers: David Roche, a seasoned strategist at Quantum Strategy, anticipates a bear market in 2025, citing three main factors that could lead to a significant downturn. Roche expects the Federal Reserve to resist reducing interest rates to the market's desired 3.50%, potentially disappointing investors who are anticipating more aggressive rate cuts. Economic slowdown and lower-than-expected profits are...
read Aug 10, 2024How Snowflake Approaches AI Investment Strategy
Snowflake, a leading data company, is making significant strides in the artificial intelligence space, focusing on four key areas of investment to enhance its capabilities and offerings. Cortex: Bringing AI to data: Snowflake is developing Cortex, a comprehensive suite of AI building blocks designed to empower customers with large language model (LLM) capabilities and application development tools. Cortex supports both structured and unstructured data, allowing users to extract information from various sources, including presentations and PDFs. This initiative aims to make AI more accessible and actionable for Snowflake's customers, enabling them to leverage advanced AI technologies within their existing data...
read Aug 6, 2024Why Some Skeptics Argue the AI Investment Bubble is about to Burst
The recent AI investment boom, reminiscent of past tech bubbles, is showing signs of potential collapse as skepticism grows about the technology's near-term transformative potential and ethical concerns mount. The AI bubble's unique characteristics: This current investment frenzy in artificial intelligence differs from previous tech bubbles in several significant ways, setting it apart from historical precedents like Railway Mania and the dot-com boom. The AI bubble has inflated faster and to a larger scale than previous tech bubbles, with massive investments pouring into the sector at an unprecedented rate. Unlike previous innovations, AI development relies heavily on using data and...
read Aug 5, 2024Tech Stock Plunge Raises Questions About AI Industry’s Future
The recent tech stock selloff has sparked debate about the future of artificial intelligence investments and the industry's profitability, with major players like Apple and Nvidia experiencing significant share price drops. Market turbulence hits tech giants: The tech sector faced a severe downturn as stocks crashed on Monday morning, continuing the previous week's global selloff trend. Apple's shares fell over 4% following news that Warren Buffett's Berkshire Hathaway had sold almost half of its stake in the company. Nvidia, a key player in the AI chip market, saw its stock plunge up to 13% after announcing delays in the release...
read Aug 5, 2024Bezos Bets Big on AI: Inside His $1 Billion Tech Gamble
The big picture: Jeff Bezos, through his family office Bezos Expeditions, has made a significant pivot towards artificial intelligence investments in 2024, reflecting a broader trend among family offices and tech giants in recognizing AI's transformative potential. AI-centric investment strategy: Bezos Expeditions has exclusively focused its 2024 investments on AI companies, participating in funding rounds totaling over $1 billion. The family office has backed Perplexity AI, an AI search engine, in two separate funding rounds in January and April. In February, Bezos Expeditions invested in Figure AI, a company developing humanoid robots. July saw an investment in Skild AI, which...
read Aug 5, 2024AI and Crypto Plunge: Market Shaken by Surprise Economic Data
Market turbulence hits Wall Street: A significant sell-off is underway on Wall Street, with investors losing confidence in artificial intelligence (AI) and other risky investments, including cryptocurrency. The downturn in AI-related stocks is particularly noteworthy, as it marks a shift in sentiment from the previous AI enthusiasm that dominated the market. Cryptocurrency, often viewed as a barometer for risk appetite in the investment world, has also experienced a sharp decline, further indicating a broader risk-off attitude among investors. This market correction is affecting not just specific sectors but is having a ripple effect across various investment categories. Economic data sparks...
read Aug 5, 2024Major Investor Questions AI Hype and Nvidia’s Soaring Valuation
AI investment skepticism: Elliott Management, a prominent activist investment firm, has raised concerns about the current valuation of Nvidia and the overall hype surrounding artificial intelligence technologies. In a recent letter to investors, Elliott Management characterized Nvidia's stock as being in a bubble, suggesting that the company's market value may be inflated beyond its fundamental worth. The firm expressed skepticism about the practical applications of AI, arguing that many proposed uses may prove to be economically unfeasible, technically flawed, or environmentally unsustainable. Elliott Management's stance challenges the prevalent optimism in the tech industry regarding AI's potential and its impact on...
read Aug 3, 2024Apple Ends Five-Quarter Sales Slump, Gears up for AI-Powered Phones
Apple's latest quarterly results show a return to growth, with the company gearing up to launch new AI features expected to drive iPhone demand. Breaking a sales slump: Apple's fiscal third-quarter results reveal a 5% year-over-year increase in revenue, exceeding analysts' projections and ending a streak of five consecutive quarters of sales declines. The company reported revenue of $85.78 billion for the April-June period, traditionally a slow quarter for Apple as customers await the next iPhone release. Apple's profit also grew by 8% compared to the same period last year, reaching $21.45 billion, or $1.40 per share, surpassing analyst forecasts....
read Aug 2, 2024Intel’s Woes Trigger Global Chip Selloff, Dragging Markets Down
Key highlights of Intel's announcement: Intel's shares plummeted nearly 30% on Friday following a series of disappointing news, setting the company up for its worst day since 2000: Intel is cutting over 15% of its workforce, amounting to around 15,000 jobs. The company is scrapping its dividend and reported a $1.6 billion loss in Q2, along with a pessimistic Q3 forecast. Ripple effect on global semiconductor stocks: The Intel selloff triggered a widespread decline in semiconductor stocks worldwide: Major Asian chipmakers, including Samsung Electronics, TMSC, and SoftBank Group, experienced significant losses, with SK Hynix and Tokyo Electron hit particularly hard....
read Aug 2, 2024NSF Invests $2.8M to Expand Ethical AI Education at Two-Year Institutions
The National Science Foundation invests $2.8 million to establish a National Applied Artificial Intelligence Consortium (NAAIC) at Miami Dade College, aiming to expand ethical AI education at two-year institutions and prepare students for the growing demand for AI expertise across various industries. Strengthening AI education at two-year institutions: The NAAIC, funded through the NSF Advanced Technological Education program, seeks to bolster responsible AI education at two-year institutions nationwide: The investment aims to provide students with the necessary technical knowledge and skills to navigate an AI-driven world, preparing them for meaningful employment in the rapidly evolving AI sector. By establishing the...
read Aug 2, 2024AI-Driven Advertising Boosts Meta’s Q2 Growth
Meta's strong Q2 results beat expectations, with revenue climbing 22% year-over-year to $39 billion, driven by AI advancements and e-commerce advertising. AI empowering advertising: Meta is focusing on AI to improve marketing performance and potentially reshape its advertising fundamentals in the future: Core AI systems have been supporting Meta's ecosystem for years, while newer generative AI technology is costly but positioned as transformative. CEO Mark Zuckerberg envisions AI eventually generating and personalizing creative for advertisers based on business objectives and budgets. Meta's ad-ranking framework, Meta Lattice, improved ad efficiency and performance in Q2, while more advertisers are using Advantage+, a...
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