Bank of America analysts forecasted that the worldwide AI market could be worth $900B by 2026.
In a note sent to clients this week, the strategists said AI is on the verge of having an "iPhone moment" as large language models like ChatGPT allow people "to fully capitalize on the data revolution."
The analysts also wrote that if data is considered the "new oil," then AI technology "is the new electricity."
- The technology is developing at an exponential rate, they noted, citing ChatGPT's growth to 1 million users in only five days and an adoption rate that is "3x TikTok's and 10x Instagram's."
- The strategists said now is a "defining moment" for AI as it moves toward mass adoption, comparing the time period to "the internet in the '90s."
- They shared four reasons AI will have a great impact: mass adoption, "warp-speed" development, data democratization, and an abundance of commercial uses.
- Ultimately, BofA believes AI's ability to utilize data could boost the global economy to as much as $15.7T by 2030.
In a separate report to clients yesterday, BofA listed 15 stocks it believes will benefit from the AI revolution.
- These included Alphabet, Microsoft, Nvidia, Meta, Apple, Baidu, Adobe, and Palantir Technologies.
