OpenAI is looking at ways to transform its Artificial Intelligence (AI) infrastructure expertise into a revenue-generating business — similar to how Amazon.com Inc. (AMZN) monetized its cloud capacity. That is another reason I like companies such as GE Vernova Inc. (GEV), writes Bill Patalon, chief stock picker at Stock Picker’s Corner.
While not a current priority, the company sees long-term potential in helping other ventures build and access AI optimized data centers. This is yet another sign that AI’s hold on our daily economy keeps deepening.
GE Vernova Inc. (GEV)
AI software heavyweights will make themselves even more essential by monetizing the physical backbone of their operations. OpenAI’s move toward owning and potentially leasing infrastructure could serve as a kind of “moat” for better protecting its intellectual property and cutting its dependence on third-party vendors.
As OpenAI considers monetizing its infrastructure expertise, investors don’t need to wait for a new business line to emerge. Several publicly traded companies are already powering AI infrastructure buildouts, especially within the energy sector.
In our free guide, “Visualizing the AI Boom: A Power Play for Profits,” we talked about companies like GEV, ABB Ltd. (ABBNY), and nVent Electric Plc (NVT). They have all trounced the recent 8.6% year-to-date gain of the S&P 500 Index (^SPX).
