Microsoft Stock: OpenAI Pushes Amid US-China Rivalry for AI Infrastructure Projects
Artificial intelligence pioneer OpenAI joined its biggest investor on Monday. Microsoft (MSFT), outlining steps to keep the US ahead of China in the race to develop advanced AI technologies. Microsoft stock fell amid a broader market selloff in the technology sector.
An estimated $175 billion is sitting in international funds awaiting investment in AI projects, and if the U.S. does not attract those funds, they will go to Chinese-backed projects—strengthening the Chinese Communist Party’s global influence.Design of the US AI infrastructure.”
Microsoft President Brad Smith b Blog post On January 3, he recommended new public/private industry partnerships to support large-scale AI infrastructure investments.
↑
X
Nvidia dominates the AI revolution. Can the chip maker stay on the packaging front?
Microsoft is the largest investor in generative AI leader OpenAI, investing $14 billion in the startup. Microsoft in 2010 On January 3, he announced plans to spend $80 billion on building data centers in the fiscal year.
In the stock market today, Microsoft shares fell 1 percent to 414.63.
Microsoft stock: Trump AI influence
OpenAI recently raised $6.6 billion in new funding, valuing the startup at $157 billion.
“We believe in America because America believes in innovation,” OpenAI said in its economic blueprint. “That’s why our CEO is gathering this work on January 30th in Washington, DC to see the state of AI development and how it can lead to economic growth.”
President-elect Donald Trump will take office on January 20. Trump is expected to rescind President Biden’s AI executive order.
It is unclear whether Trump will follow the new AI chip export rules introduced by the Biden administration. Nivea (NVDA) opposes the new AI chip export regulations.
Also, Nvidia stock fell 3.4% to close at 131 on Monday.
In addition, Trump named the former PayPal Holdings (P.P.L) executive and Silicon Valley venture capitalist David Sachs as the artificial intelligence and cryptocurrency czar. Also, Sachs is a collaborator. Tesla (TSLA) and SpaceX founder Elon Musk has emerged as a key adviser to Trump.
Follow Reinhardt Krause on Twitter @reinhardtk_tech Updates on artificial intelligence, cyber security and cloud computing.
You may also like:
Learn the best trading rules from the IBD Investor’s Corner
Want to trade options? Try these strategies
Monitor IBD’s “Releasing Today” list for companies hitting new buy points
IBD Digital: Access IBD’s premium stock listings, tools and analysis today
