Enterprise and cloud demand for AI computing power is igniting a massive hardware resurgence. Dell Technologies saw its stock surge 31% Friday following an 88% revenue jump, driven by AI server sales. NetApp and HP also benefited from the trend.
Memory chip makers Micron and SK hynix both surpassed $1 trillion in market capitalization this week, fueled by the AI server buildout.
Software companies are also defying fears of an AI-driven 'SaaSpocalypse.' Snowflake stock jumped 36% Thursday after strong earnings and a multi-billion-dollar deal with Amazon Web Services, signaling confidence in its role as a central data hub for AI. MongoDB, Salesforce, and UiPath also posted solid results.
Anthropic this week raised $65 billion at a $965 billion valuation and released Claude Opus 4.8, a model with significantly improved coding capabilities, challenging OpenAI's early lead.
Pope Leo XIV issued his first encyclical, highlighting risks associated with rapid AI development. While unlikely to slow the industry, his warning underscores growing societal concerns.
Next week features key events including Snowflake Summit, Microsoft Build, and Computex, with earnings reports from HPE, Palo Alto Networks, CrowdStrike, and Broadcom on the horizon.