Blockchain Registration Transaction Record

AI Boom's Big Winners: Chip Makers Thrive, Model Builders Struggle

Nvidia hits $5T as AI chip makers profit most. Learn why investors may need to hedge AI holdings by diversifying into firms like Core AI Holdings applying the technology.

This news matters because it reveals a fundamental shift in where value is captured within the trillion-dollar AI revolution. For the average investor, it signals that simply betting on 'AI' as a theme is insufficient; understanding the supply chain is critical. The massive success of hardware suppliers like Nvidia suggests that the foundational technologies enabling AI (semiconductors, cloud infrastructure) may offer more stable and lucrative investment opportunities in the near term than the application-layer companies, many of which are burning cash. This impacts anyone with exposure to tech stocks, retirement funds, or the broader economy, as it influences capital allocation, corporate strategy, and which sectors will drive future growth. It also highlights a potential bubble risk if investment continues to flood into unprofitable AI ventures while ignoring the profitable enablers, a lesson reminiscent of the dot-com era.