Advanced Micro Devices, Inc. (AMD) Stock Forecasts

Summary

Determining a realistic estimate for the size of the artificial intelligence (AI) industry is challenging because there is simply no measurable unit of AI output comparable to barrels of oil or tons of steel. Furthermore, much of AI development takes place in labs and universities – and results are measured in progress against goals, not dollars or units of output. In the enterprise world, almost all pure-play AI companies serve micro-niches, have little measurable revenue, and are heavily loss-making. Argus believes that much of the AI ​​industry’s revenue and most of its profitability can be attributed to several giant US companies and a few international ones. These operate primarily in growth sectors such as technology, communications services, and consumer goods. Notable companies include Amazon, Microsoft, Apple, Meta Platforms, IBM, Alphabet, Salesforce, Nvidia, and Qualcomm in the US. China has Baidu, Tencent, and Alibaba. There is also significant activity among companies pursuing advances in IoT, vehicle electrification, autonomous driving, automation and connectivity for manufacturing, warehousing, construction and other areas. Argus has derived a model of the size and scope of the global AI industry, based on our coverage of major listed players