Concerns about whether investments in artificial intelligence will pay off may have shaken the market recently, but Dan Ives, a technology analyst at Wedbush Securities, said the tech boom is here to stay. Nvidia’s shares have been particularly hammered in recent weeks, but rebounded last week and boosted shares of other technology companies. Ives said on CNBC’s “Street Signs Asia” program on Monday that Nvidia will continue to drive technology stocks higher. “Everything we’re seeing from Nvidia… this party will continue over the next six to eight quarters… because we’re actually seeing demand accelerating,” he said. He concluded: “I believe the fourth industrial revolution has just begun, and now the second, third, and fourth industrial revolutions are in full swing — with Oracle, Microsoft, Palantir, front and center.” He added , which includes software areas, infrastructure, networks and smartphones. He’s also optimistic that the tech supply chain will see more growth, saying use cases are continuing to expand, which is good news for related components. Ives estimates that artificial intelligence capital spending will reach about $1 trillion. “The tech supply chain is gearing up for unprecedented growth, driven by our estimate of approximately $1 trillion in upcoming AI capital expenditures in the tech world over the next few years,” he wrote in a separate report on September 15. Driven by. Ives said technology stocks will move higher through the end of this year and into 2025 due to artificial intelligence spending, the start of the U.S. interest rate cut cycle and an assumed “soft landing.” Wedbush estimates that every $1 spent on Nvidia graphics processing unit chips. US dollars, the entire technology industry will receive a “multiplier” of US$8 to US$10. “Nvidia has transformed technology and the global landscape. Its GPUs have become the new oil and gold in IT, and its chips are powering the artificial intelligence revolution and now the only game in town,” the report said.
