| DAILY ISSUE Hello, Reader. Most investors missed out on the initial phase of the AI Revolution. You know… that just passed era of advancements marked by ChatGPT, artificial intelligence chips, rapidly evolving robots – and substantial gains. However, another wave of AI innovation is coming… This time, though, it has nothing to do with any of the previous AI advancements that the mainstream media talks so much about. In fact, the opportunity here is significantly larger than any of those AI applications. In this letter, first, let’s chat about how we got to this spot in the AI Revolution. Then, we’ll dive into what to expect from this new wave of winners… And where to find some of that opportunity. The First Winners of the AI Boom Although artificial intelligence has been around since the 1950s, it wasn’t until OpenAI released ChatGPT to the public in November 2022 that interest in AI really caught fire. For perspective, following ChatGPT’s launch, more than 1 million people downloaded it in five days. And over 100 million people signed up for it in two months. In comparison, it took Facebook more than 4.5 years to reach 100 million users. In the early phase of the AI Revolution, in 2023, seven clear winners emerged. You know their names. CNBC’s Jim Cramer dubbed them the “Magnificent Seven.” And their performances certainly were magnificent. They gained an average 111% in 2023. Of course, the biggest winner of 2023’s boom was Nvidia Corp. (NVDA), the AI chip king, which surged 239% in 2023. Since ChatGPT’s debut in late 2022, shares of the company have skyrocketed nearly 765%. In different ways, each of these Magnificent Seven companies has been providing the hardware, software, and processing power that enable enterprises to create and operate AI platforms. They enabled the AI Revolution. For example… - Microsoft Corp. (MSFT) has its own in-house semiconductor chip: code name Athena.
- Alphabet Inc. (GOOGL) also has created its own new ARM-based CPU processor, called Axion.
- Amazon.com Inc. (AMZN) has Amazon Q.
- Tesla Inc. (TSLA) has Dojo.
- And Meta Platforms Inc. (META) has its Llama large language model (LLM) family.
Their efforts are why LLMs, like ChatGPT and Anthropic’s Claude 3, can be developed and improved upon so quickly. Cramer may call these companies the Magnificent Seven, but I think of them more as the “AI Seven.” However, the sudden dawn of the entire AI boom caught most people – and many investors – by surprise. Therefore, a lot of folks missed out on those big gains from the AI Seven. The good news is the AI Revolution is about to enter a new phase, and a different set of companies will lead the way. The AI Seven is about to become the AI Eight… Nine… and beyond… We’ve had the AI enablers. Now enter the “AI appliers.” The Next Winners of the AI Boom Unlike the AI enablers, these companies are not at the forefront of producing the material needed to create AI. Instead, they are employing AI technology within their own products and services. AI appliers are everywhere… and growing by the day. That universe includes companies as diverse as beauty-products purveyor Coty Inc. (COTY), gold and copper explorer Ivanhoe Electric Inc. (IE), and industrial-solutions provider Rockwell Automation Inc. (ROK). Clearly, many of these companies operate in niches that are not normally associated with technology. So, they are still lying low. However, they and many others are ready to explode with the next phase of the AI boom, which my InvestorPlace colleagues Louis Navellier and Luke Lango and I are calling AI Day One. AI Day One will be a “phase shift” in artificial intelligence. Without getting too into the weeds, it will involve the development of AI with much deeper, deliberate reasoning abilities. And it will make it much easier for companies – high tech and not – to apply AI to their business models and create huge efficiencies… and profits. However, not all AI appliers will deliver gains like we saw from Nvidia and the rest of the AI Seven. That’s why Louis, Luke, and I are releasing our AI Appliers Portfolio during a special broadcast this week. The portfolio is made up of stocks that could skyrocket from AI Day One. Now, this new opportunity before AI Day One is so fast moving that things can change quickly. The reality is that we don’t know exactly what the world will look like in a year or two; but we do know that AI is moving faster than anything before it. That is why it is important that you prepare yourself now. Go here to watch our broadcast and to learn more about our AI Appliers Portfolio. Regards, | 
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