AI Boom Fuels Data Center and Cloud Demand, Benefitting Nvidia and Others

Nvidia has benefited greatly from AI's rise, but likely won't be the only pick-and-shovel provider as AI advances. Others like AMD, Intel, Eaton, and Vertiv should benefit too.

Generative AI requires major data center infrastructure - benefiting electrical, HVAC, and cloud computing companies.

Software companies adding AI may face margin pressures, as AI models are costly to run vs traditional SaaS.

Microsoft, Alphabet, Amazon, IBM and others are investing heavily in foundational AI models.

Demand for cloud services should increase as companies incorporate generative AI features into products.