From Nasdaq: 2025-04-24 06:10:00

1. The top AI models from companies like OpenAI and Alphabet require expensive AI accelerators in data centers for operation. Chinese start-up DeepSeek has challenged this norm by developing a more cost-effective model with comparable results, potentially changing the AI infrastructure market landscape.
2. On-device AI features on PCs and smartphones have limitations due to memory and computational constraints. Microsoft’s new "1-bit" AI model, small enough to run on a CPU with minimal memory requirements, shows promise in matching performance of larger models, potentially revolutionizing AI capabilities on devices.
3. Nvidia’s dominance in AI accelerators could face a challenge as breakthroughs in lowering computational costs emerge. Intel and AMD, with advancements in AI inference on CPUs, may benefit from reduced reliance on Nvidia’s GPUs in data centers and devices, signaling a shift in the AI infrastructure market.
4. Intel and AMD could see significant growth if AI inference transitions to CPUs, presenting investment opportunities. The Motley Fool’s Stock Advisor team highlights 10 top stocks for potential high returns, with Intel not among them, showcasing the market’s evolving landscape in the AI sector.

Read more at Nasdaq: Microsoft Just Showed the Future of AI, and It’s Great News for Intel and AMD