TSAI: Market Report

TSAI

The report points out that AI investment is expected to reach US$65 billion in 2024, marking the arrival of the third wave of AI investment. This number not only reflects the strong confidence and enthusiasm of investors in the field of AI, but also indicates that AI technology will continue to promote changes and upgrades in multiple industries in the next few years.

In terms of investment structure, AI companies have received VC (venture capital) investment as high as 20%, a record high. These funds mainly flowed to startups in the application layer and basic layer. Application layer companies, such as generative AI companies, provide diversified AI services through technologies such as LLM (large language model); while basic layer companies focus on purchasing computing resources, such as GPUs, to support their technology research and development.

U.S. AI investments perform strongly

In the U.S. stock market, technology giants continue to increase their investment in the field of AI. The four major cloud vendors, including Microsoft, Google, Amazon and Meta, all achieved significant growth in capital expenditures (CapEx) in the second quarter of 2024. Microsoft's CapEx reached US$19 billion, a month-on-month increase of 36%, and a year-on-year increase of 78%; Google's CapEx was US$13.2 billion, a month-on-month increase of 10%, a year-on-year increase of 91%. These investments not only enhance the technical strength of cloud vendors, but also lay a solid foundation for the further expansion of AI applications.

As a leader in the field of AI chips, AMD's data center business revenue hit a new high in the second quarter of 2024. MI300 sales grew rapidly, with revenue exceeding US$1 billion. In the future, AMD will also launch a new generation of AI accelerator products, which is expected to further promote the development of AI computing power.

Apple is also continuing to make efforts in the field of AI, planning to enable Apple Intelligence services in China and the EU, and increase investment in AI technology and products in mobile phones, PCs and other devices. This move will not only help enhance the market competitiveness of Apple products, but will also further promote the popularization and application of AI technology.

Commodity markets affected by AI

With the widespread application of AI technology in smart manufacturing, smart transportation and other fields, the demand for bulk commodities such as raw materials and energy will also change accordingly. These changes will not only affect the supply and demand pattern of the commodity market, but will also bring new investment opportunities and challenges to investors.

On the future investment path, we expect AI technology to continue to lead market changes and inject new vitality into the global economy.