AI could impact $7 trillion in 10 years: 4 top stocks to buy now

AI For Business

“Major Disruption” That’s the Impact goldman sachs believes artificial intelligence (AI) will enter the labor market in the next few years. A Wall Street firm predicts that generative AI could fully automate his 300 million jobs worldwide and two-thirds of his jobs in the U.S. could be partially automated by AI. I’m here.

But Goldman Sachs also believes this significant disruption will lead to significant productivity gains. AI estimates that over the next decade, he could increase annual global gross domestic product (GDP) by 7%. This equates to an economic impact of nearly $7 trillion.

As you can imagine, the AI ​​market presents great opportunities for investors. Here are his four AI stocks you should buy now (listed alphabetically).

AI above clouds with lights in the background.

Image Source: Getty Images.

1. Alphabet

don’t think about it alphabet (GOOG -0.50%) (Google -0.61%) Become a second-rate AI player. The company has invested heavily in his AI technology and could be a big winner on multiple fronts.

Alphabet is already benefiting from AI built into its search algorithms. The better these algorithms are, the more advertising revenue the company could potentially make. will get

Sure, self-driving cars may have been hyped in the past. However, they are coming true. Alphabet subsidiary Waymo is one of the leaders in developing the AI ​​technology needed to make self-driving cars a reality.

Last but not least, Alphabet is a pioneer in quantum computing. This technology has the potential to accelerate AI to a higher gear due to its powerful processing power. I believe Alphabet’s quantum computing efforts are probably the most overlooked reason for its stock purchase.

2. Amazon

Speaking of oversights, Amazonof (AMZN -2.48%) AI efforts come to mind. The company is also investing heavily in AI.

Like Alphabet, Amazon’s current business incorporates AI in several ways. Examples include recommendations for the company’s e-commerce platform and, of course, the Alexa virtual assistant.

But I think the biggest way Amazon will win in the AI ​​explosion is with Amazon Web Services (AWS). AWS ranks as the top cloud provider based on market share. This is Amazon’s fastest growing and most profitable business. AWS partnered with innovative AI company Hugging Face in February to make it easier for customers to create generative AI applications.

Amazon is also stepping into the door of the self-driving car market. The company acquired his Zoox in 2020. Zoox wants to realize an automated ride-hailing service. Amazon could also use this technology to deliver products to homes.

3. Microsoft

microsoft (MSFT -1.17%) It has been a top player in AI for a long time. But our partnership with and investment in OpenAI has changed all that. There are two main ways he sees Microsoft benefiting from his OpenAI integration.

First, we are integrating OpenAI’s ChatGPT across the Microsoft 365 product suite. Microsoft 365 is competing evenly with Google’s G Suite in the office productivity market. While Google plans to introduce its own rival generative AI technology, Microsoft has an opportunity to gain first-mover advantage.

Second, Microsoft has its own cloud services unit called Azure. Like Google Cloud and AWS, Azure is trying to attract customers by making his AI development as easy as possible. Microsoft hopes to leverage ChatGPT’s integration with Azure to gain an edge on the current market leader, AWS.

4. Nvidia

As Alphabet, Amazon and Microsoft compete in AI, NVIDIA (NVDA -3.33%) It stands to win regardless of which tech giant comes out on top. The chipmaker has announced a series of deals with all three AI leaders, along with several other AI collaborations.

Nvidia and Amazon are working together to build massive infrastructure on AWS for building AI apps. Google Cloud uses Nvidia’s L4 Tensor Core graphics processing unit (GPU). This is ideal for building large-scale generative AI models. Microsoft and Nvidia are collaborating to make Nvidia’s supercomputing service DGX Cloud available on Azure.

Of course, many other tech companies are already using Nvidia’s AI platform. Nvidia has also developed an AI platform for self-driving cars and other intelligence devices, including drones and robots.

Nvidia’s valuation is the highest of these four AI stocks. As such, it can be the most volatile of stocks. In the long term, however, we expect Nvidia to be one of the biggest winners of the AI ​​explosion.

Alphabet executive Suzanne Frey is a member of The Motley Fool’s board of directors. John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. Keith Speights has held positions at Alphabet,, Microsoft, and Nvidia. The Motley Fool has positions in and recommends Alphabet,, Goldman Sachs Group, Microsoft and NVIDIA. The Motley Fool’s U.S. headquarters has a disclosure policy.

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