December 30, 2025
NOTE: THIS BLOG IS NOT FINANCIAL ADVICE NOR INVESTMENT ADVICE AND DOES NOT REFLECT THE VIEW OR OPINIONS OF MY EMPLOYER
"Technological revolutions are always capital-hungry at the beginning and productivity-rich at the end."
On November 30, 2022, ChatGPT was officially launched to the public for the first time. Since then, ~1.8 billion people (~20% of the global population) have used various AI products, including ChatGPT, Canva, Gemini, DeepSeek, Perplexity AI, Grok, Claude, and more.
Since the public launch of these AI tools, users have quickly gravitated towards a few leaders. With the top seven AI tools representing 85% of the market share.
Corporations have also embraced AI, and some have already achieved strong results across their organizaitons. As shown below, AI has helped diverse organizations save time, cut costs and deliver higher quality service.
As highlighted above, AI applications can be broad. As AI continues to advance, more industries will emerge with niche AI and automation applications to streamline their operations. Time will tell which sectors will benefit most from this paradigm shift.
As AI continues to become more widely used across various industries, the advances in productivity should result in global GDP growth. Over the next decade, AI could add 1.5 - 3.0% to annual productivity growth.
All of this impressive innovation and mass adoption has been accompanied by colossal spending on AI. A significant portion of the capital expenditure ("CapEx") spending has been from the large technology companies that are building out compute capacity through data center build outs ("Hyperscalers"). These Hyperscalers include firms such as Microsoft, Google (Alphabet), Meta Platforms, and Amazon who are expected to spend a combined ~US$370 billion on CapEx in 2025.
NOTE: THIS BLOG IS NOT FINANCIAL ADVICE NOR INVESTMENT ADVICE AND DOES NOT REFLECT THE VIEW OR OPINIONS OF MY EMPLOYER
Reference
1. Exploding Topics. 65 Most Popular AI Tools Ranked. Anthony Cardillo. Source. December 16, 2025. Accessed December 29, 2025.
2. Exploding Topics. How Many People Use AI?. Anthony Cardillo. Source. October 27, 2025. Accessed December 29, 2025.
3. talentsprint (Accenture). How AI is Cutting Costs & Boosting Business Efficiency?. Source. July 3, 2025. Accessed December 30, 2025.
4. Financial Times. UK civil servants who used AI saved two weeks a year, government study finds. Melissa Heikkilä. Source. June 2, 2025. Accessed December 30, 2025.
5. BMW Group. Artificial intelligence as a quality booster. Source. April, 28, 2025. Accessed December 30, 2025.
6. J.P. Morgan. Is the AI Capex Boom signaling “buy” or “diversify”?. Stephanie Aliaga. Source. February 2, 2025. Accessed December 30, 2025.
7. CNBC. Nvidia CEO Jensen Huang says AI is in a ‘virtuous cycle.’ Here’s what he means. Tasmin Lockwood. Source. October 31, 2025. Accessed December 30, 2025.
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