Cathie Wood Endorses DeepMind as a Leading AI Company and Predicts the Transformational Power of the AI Revolution
Renowned investor Cathie Wood has praised DeepMind, a U.K.-founded artificial intelligence research lab, as one of the world's top AI companies. Acquired by Google in 2014 and now operating as Google DeepMind, Wood believes DeepMind has played a vital role in Google's evolution. Speaking on CNBC's "Squawk Box Europe," Wood highlighted DeepMind's groundbreaking research in robotics, deep learning, and neuroscience. Notably, DeepMind's AlphaFold project, which predicts 3D models of protein structures, has garnered significant attention.
This year, Alphabet, Google's parent company, announced the merger of DeepMind with its internal Google Research team called Brain. This strategic move aims to foster closer collaboration between two AI-focused groups as the competition in the AI space intensifies. Google is racing to keep up with tech giants like Microsoft, which has made significant strides through its investment in OpenAI.
Despite concerns of a potential dotcom bubble-like bust, Wood remains optimistic about the transformative power of the AI revolution. She acknowledges the possibility of mistakes being made when there is excessive excitement and capital influx into a new technology. However, Wood firmly believes that the current AI landscape is different from the tech and telecom bubble of the past. The technologies today are more advanced and the costs are more reasonable, making it an enormous opportunity for growth.
In a notable development, Ark Invest, Wood's investment firm, recently ventured into the European passive investment market by acquiring British thematic exchange-traded fund issuer Rize ETF for £5.25 million ($6.5 million). This move marks Ark Invest's first foray into the European market and demonstrates their confidence in the potential of thematic investing.
Wood's flagship $8 billion Ark Innovation ETF (ARKK) fund has shown impressive performance, with a year-to-date increase of over 30%. As of June 2023, top holdings in the fund include Tesla, Coinbase, and Zoom, reflecting Wood's strategic investment choices in companies driving innovation and technological advancements.
In conclusion, Cathie Wood's endorsement of DeepMind as a leading AI company and her belief in the transformative impact of the AI revolution highlight the immense potential of this rapidly evolving field. As Ark Invest expands its presence in global markets, Wood's investment strategies continue to demonstrate success, positioning her firm as a key player in the ever-changing landscape of innovative technologies.
Hot Take: Cathie Wood's Endorsement of DeepMind and the Implications for New Business Formation
In the world of business journalism, Cathie Wood's endorsement of DeepMind as a leading AI company is a significant development. Wood's belief in the transformative power of the AI revolution sends a strong signal to new businesses about the potential of this rapidly evolving field.
The AI Revolution and New Businesses
Wood's optimism about the AI revolution, despite concerns of a potential dotcom bubble-like bust, offers a valuable perspective for new businesses. She acknowledges the potential for mistakes in the face of excessive excitement and capital influx into a new technology. However, her firm belief that the current AI landscape differs from the past tech and telecom bubble, with more advanced technologies and reasonable costs, suggests an enormous opportunity for growth.
DeepMind's Influence on AI-focused Business Ventures
DeepMind's groundbreaking research in robotics, deep learning, and neuroscience, as highlighted by Wood, can serve as a roadmap for new businesses in the AI space. The merger of DeepMind with Alphabet's internal Google Research team, Brain, underscores the importance of collaboration in the competitive AI landscape.
Ark Invest's Expansion and its Impact
Ark Invest's recent venture into the European passive investment market by acquiring British thematic exchange-traded fund issuer Rize ETF for £5.25 million ($6.5 million) demonstrates their confidence in the potential of thematic investing. This move could inspire new businesses to explore similar opportunities in global markets.
In essence, Cathie Wood's endorsement of DeepMind and her belief in the transformative impact of the AI revolution underscore the immense potential of AI. As Ark Invest expands its global presence, new businesses can draw insights from Wood's successful investment strategies, positioning themselves for success in the ever-changing landscape of innovative technologies.