NVIDIA (NASDAQ: NVDA) — The “Picks and Shovels” of AI
...Temasek Holdings recently announced a bold and massive bet on the future, to the tune of more than doubling its artificial intelligence (AI) exposure from 6% to as much as 15% by 31 March 2031.
Temasek’s CEO Dilhan Pillay explained that Temasek’s investments reflect the company’s view of AI as a structural, long-term driver of value creation.
To capture this AI-led tailwind, Temasek is deploying capital across five areas of the AI value chain: energy and data centres, semiconductors, cloud services providers, foundation models, and AI applications and software infrastructure.
It also singles out vertically integrated mega-caps — large companies with expertise spanning more than one of those areas.
Of course, no one should blindly follow others’ investment decisions.
Even a global investment company like Temasek has its fair share of investment blunders.
Still, it helps to reference the areas Temasek is investing in, and to ask whether companies in those areas make sense for your own investing objectives.
