Key insights
- The author argues that the next major AI trend will be 'Physical AI,' moving beyond software-based AI to AI that interacts with the physical world. They highlight Intel's focus on Physical AI and Elon Musk's investment in Optimus robots as key indicators. The author suggests that Musk's involvement could drive significant market hype and investment in robotics, potentially benefiting companies in the robotics and automation sectors.
We’ve spent the last few years obsessing over software-based AI. While LLMs and agents are impressive, I think we’re nearing the point of diminishing returns for "screen-bound" AI.
The real shift is Physical AI.
The market is currently pricing AI like a software play, but the true bottleneck is no longer just compute or data; it’s physical agency. We’re moving from AI that can process information to AI that can interact with the physical world.
https://media.stocktwits-cdn.com/api/3/media/12412125/default.webp - Intel CEO says the next step is Physical AI
But, the BIGGEST tell for me that this could very well be next hype cycle is Elon Musk stopping S and X and starting Optimus building at scale. We all know how the Musk Hype can very well swing hundreds of billions around . I don't necessarily invest in Tsla for it, but I think he can start a cycle on robots.
Personally, I own https://kraneshares.com/etf/koid/ , some WPAI.