Investing in AI: how to avoid the hype
Experienced tech investors are hunting for undervalued opportunities in an over-valued space. At stake is how best to invest in the potential of Artificial Intelligence (AI), which took a leap forward in November when Microsoft-backed OpenAI released its ChatGPT bot, without buying into a bubble. Shares in Nvidia, which makes computer chips that train AI systems, have almost doubled since ChatGPT's launch. The company's stock market value at roughly $940 billion is more than double that of Europe's Nestle. Nvidia surged some 25% on Thursday alone after forecasting a sales jump. Shares in loss-making AI software company C3.AI, which grabbed the stock ticker , have risen 149% this year and Palantir Technologies, which has launched its own AI platform, is up 91% year-to-date. Investors are chasing exposure to generative AI, the technology run by ChatGPT that learns from analysing vast datasets to generate text, images and computer code. Businesses are trying to use generati...
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