To The Moon

In a recent Business Insider article, CEO and cofounder of Inflection AI and a venture partner at Greylock Partners, Suleyman said that generative AI would soon become pervasive.

He predicted that within five years everyone would have access to an AI personal assistant, but not without potential risks posed by AI especially in combination with synthetic biology. So what does this mean to companies who are already embarking in AI, in terms of either hardware, software or integration?

Look Ahead For A Future Of AI (Artificial Intelligence)

ChatGPT have become a familiar name, and there have been courses conducted by public and private on how to utilize ChatGPT, this is only a surface scratch of the understanding of ChatGPT.

A.I. assistants market have been getting very crowded, particularly as Chinese entrants are also starting to appear. According to MIT Technology Review, “Ernie Bot” from $Baidu(BIDU)$ reached 1 million users in the 19 hours following its recent public launch. Since then, at least four additional Chinese companies have made their large language model (LLM) chatbot products available.

$Microsoft(MSFT)$ have been building product and services with OpenAI, Co-Pilot would be worth exploring. $Alphabet(GOOGL)$ is trying to get into the AI assistant market, but they have to first get Gemini fixed, as today allow no exception when you launch your application. Time of deployment is getting faster and more accurate.

Intelligence as a commodity

During the current Information Age, both information and computing have become commodities, items readily bought and sold and at low cost. Coming onto the AI wave, intelligence can be viewed as a commodity, where it is cheap and widely available, thus making everyone smarter and more productive.

With the wide availability of Pre-trained [language] models, the way and time to transform AI from an application to a general-purpose technology have greatly improved. This in itself show that intelligence is becoming a commodity.

A.I. : Game-Changer For Business

I guess everyone would have some interaction with A.I. in one form or another. We can safely say that it is now widely accepted that AI will also be a game-changer for business. It is expected to increase efficiency and productivity, reduce costs and create new opportunities. Gen AI is already being used to develop personalized marketing campaigns, generate creative content and automate customer service tasks. It can help creators to iterate faster, from the brainstorming stage to actual development.

Gen AI is already an excellent editor for written content and is becoming a better writer too, as linguistics experts struggle to differentiate AI-generated content from human writing. It will soon be a better teacher, as well. It likely short sells the impact of AI to call this merely a wave. It is not; some have referred to this as a tsunami.

But we need to be mindful of the significant downsides as well, as deepfakes to the spread of misinformation on a global scale is imminent. For example, a new report claims that China is using AI-generated images to try to influence U.S. voters.

Who Shall Be The Winners Now?

Even though gen AI is still nascent, its impact on jobs could be huge. The disruptive nature of AI might displace jobs. So the companies who are producing productivity software with A.I. enhancement would be the beneficial.

I personally think that it is time to look beyond the hardware side of things, as we are moving into the era where Gen AI has the potential to automate almost 25% of work tasks in the arts, design, entertainment, media and sports sectors.

Like many technology firms, $Salesforce.com(CRM)$ has been pushing investment in new AI-based features to boost sales. On 27 Feb (Tuesday), Salesforce unveiled its Einstein Copilot, a new generative AI assistant that can answer questions and generate new content.

On 27 Sep 2023, $Workday(WDAY)$ a leader in enterprise cloud applications for finance and human resources, announced multiple new generative AI capabilities that will help increase productivity, grow and retain talent, streamline business processes, and drive better decision-making.

I personally feel that these 2 companies should be in our watchlist, as I foresee that AI tsunami comes, and focus onto productivity software begins, this is when these 2 stocks shall shine.

Summary

We need to slowly move with the AI trend, as AI revolution would slowly turned into a tsunami, this is when Generative AI become widely adopted.

The most obvious we could see is our daily productivity software, this is where stocks with potentials would be rising. We need to keep them in our watchlist at until their next earnings.

Appreciate if you could share your thoughts in the comment section whether you think AI tsunami would be about software, especially productivity software?

@TigerStars @Daily_Discussion @Tiger_Earnings @TigerWire appreciate if you could feature this article so that fellow tiger would benefit from my investing and trading thoughts.

Disclaimer: The analysis and result presented does not recommend or suggest any investing in the said stock. This is purely for Analysis.