Here are the takeaways... [The Jolt with Stephen McBride] NVDA did it again Nvidia (NVDA) did it again. The artificial intelligence (AI) chip king smashed through all-time highs after achieving record earnings. AI chip sales quintupled over the past year. Iâve never seen this kind of rapid growth from a multitrillion-dollar company before. Nobody has, because itâs never happened. Weâre part of history. - Takeaway #1: The AI infrastructure boom has legs. AI revamping our largest and most important industries will last decades. The AI buildout is the largest infrastructure project ever. This year alone, Microsoft (MSFT), Amazon (AMZN), Google (GOOG), and Facebook (META) will spend $170+ billion building data centers. Over the next 3â4 years, companies will spend more money on chips and servers than the US government spent putting a man on the moon or building Americaâs highways. This spending wonât slow down anytime soon because AI investments are more than âworth it.â Alaska Air Group (ALK) saved 500,000,000 gallons of fuel last year thanks to its AI navigation system, which acts like âGoogle Maps, in the air.â I guarantee this covered the money it spent on AI many times over. Every other airline is looking at this and thinking, âWe need AI, too.â - Takeaway #2: AI stocks get the green light. Nvidia and several other AI winners had traded sideways since March. These record results are the catalyst to push them to new highs. AI will remain the dominant investing theme for at least the next year. Nvidia can become the worldâs largest company before the AI boom is over. [Share]( Nvidia also announced a 10-for-1 stock split. This is noise. Stock splits are the financial equivalent of exchanging a $10 bill for 10 $1 bills. It doesnât make the stock any cheaper. But many investors prefer stocks that trade for a lower dollar amount. Nvidia at $100/share looks a lot cheaper than Nvidia at $1,000/share. This is the stock of a lifetime. Congratulations to all the subscribers who bought it when I first recommended in back in 2018. We took profits on Nvidia in [Disruption Investor]( a few months ago. We still own a little, but weâre more focused on the lesser-known areas of the AI buildout. This is a megatrend you canât afford to ignore. [Access the Disruption Investor portfolio here.]( - Would you pay $100,000/year for a college degree? Thatâs the price freshmen studying engineering at Vanderbilt University are expected to pay. Tuition⦠room⦠board⦠personal expenses⦠and a good laptop. Thatâll be $98,426, please. Coincidently, Iâm headed to Vanderbilt in Nashville next Friday for a private AI gathering. Iâll check out the college and let you know if itâs worth $100K/year! I know this is an outlier. And most kids wonât pay the sticker price. But itâs still disgusting. Kids are still burying themselves in mountains of debt to get an education. The good news: AI is going to take a sledgehammer to college. [Last week](, I showed you how the new ChatGPT can basically clone the worldâs best tutor and give it to every student with an internet connection. Robo-tutors are like hiring a personal coach for your kids, but for a fraction of the cost. How long before AI can teach an entire four-year degree⦠for next to free? More kidsâespecially our best and brightest studying in fields like engineering and mathâwill start leveraging AI to get ahead. That means less teens willing to fork out $100K/year to sit in a classroom. Weâre going to need a lot more AI infrastructure to power âGPT University.â - I got a message from a buddy who lives in Washington, DC⦠âRode in a Waymo last night. Hard to convey how mind-blowing it was. Hope robo-taxis invade this city so I can stop owning a car.â Self-driving cars are quietly making huge strides. Not too long ago, robo-taxis only worked in perfect conditionsâlike wide roads in sunny, suburban Phoenix. But Googleâs Waymo is now chauffeuring folks around the busy streets of LA⦠San Francisco⦠Austin⦠and DC. I was jogging through downtown DC a few weeks ago and spotted a Waymo robo-taxi cruising down the street. Itâs bizarre to see a car with nobody behind the steering wheel. Waymo is now serving 50,000 rides per week. Thatâs a 5X jump in just a few months and far higher than what most folks would guess. [Iâve ruffled feathers in the past with my bullish views on robo-taxis](. Iâm an even bigger believer now. Itâs obvious that Waymos will be everywhere in a few years. âGrandpa, do you remember when everyone used to own cars?â Over 40,000 Americans were killed in car crashes last year. Donât you think robo-taxis with literal electronic eyes in the back of their heads⦠that never break the speed limit⦠never drink and drive... and never send a text message could help with this? I do. Itâll become socially unacceptable in some cities to take the wheel. Cheap, safe robot driving, at your service. - Thereâs so much exciting stuff going on, I didnât even have time to talk about the biggest news⦠Crypto scored a huge, truly game-changing regulatory win. And Ethereum (ETH) ETFs have just been approved. Weâll cover that next week. What a time to be an investor. Speaking ofâ[did you see the unique invitation I sent you yesterday](? If you didnât, [you can access it here](. Have a great Memorial Day weekend. Itâs the start of the summer and my favorite holiday. Stephen McBride
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