Two AI Start-ups to Watch in 2025
Perplexity, an artificial intelligence (AI) search engine, raised $500m in its fourth funding round this year, led by Institutional Venture Partners and names including Nvidia [NVDA], tripling its valuation to $9bn, the Financial Times detailed. Meanwhile, Vultr, a data center operator, secured $333m from investors including AMD [AMD], reaching a $3.5bn valuation as it targets AI deployment alternatives to so-called “hyperscalers” like Microsoft [MSFT].
Apple Navigates Geopolitics
Indonesia is set to lift a ban on iPhone 16 sales, Bloomberg reported, with President Prabowo Subianto approving a $1bn investment to address local content rules. Meanwhile, the European Commission is pressuring Apple [AAPL] to make iOS more open to rivals like Meta Platforms [META]. Regulators demand compatibility improvements for third-party devices.
Why Did Dalio Up his Vertiv Stake by 590%?
Ray Dalio’s commitment to VRT stock has been a key point of interest in recent weeks — his stake has skyrocketed to 326,000 shares, with a current value of $39.4m. Vertiv also announced a first-of-its-kind cooling solution in collaboration with Compass [COMP] on November 18. This, paired with positive Q3 results on October 23, helped the stock jump to all-time highs in November. OPTO unpacks what might be drawing Dalio to VRT stock — as well as its potential pitfalls.
Wobbly Wednesday; Bitcoin Dips
US stocks plunged Wednesday after the Fed signaled higher inflation and fewer rate cuts in 2025, although it did deliver a quarter-point cut as anticipated. The Nasdaq Composite dropped -3.56%, its steepest fall since July, while the S&P 500 and Dow slid -2.95% and -2.58%, respectively. Bitcoin briefly dipped below $100,000 on Thursday, hitting $98,760, before rebounding.
Despite Everything, Is Now a Good Time to Buy SMCI?
Seeking Alpha analysts think so, upgrading Super Micro Computer [SMCI] to “strong buy” amid cleared regulatory uncertainties, a compelling valuation and a robust technical setup. Meanwhile, the company’s recent Nasdaq extension and appointment of a new auditor address delisting concerns. Back in September, OPTO argued that, notwithstanding the stock’s various travails, there was confidence within the market that its fundamentals were solid.
NVDA: Full Steam Ahead
Nvidia shares ticked up as TrendForce highlighted production progress on its GB200 AI and HPC servers, set for mass production and peak shipments by mid-2025. Blackwell GPU chips will see limited shipments in late 2024 before ramping up in 2025, according to Seeking Alpha. Separately, Apple and Nvidia on Wednesday announced they have collaborated on ReDrafter, a method for accelerating large language model inferencing.
Chipmaker Disappoints
Micron [MU] shares tumbled 12% in late trading Wednesday after issuing a disappointing fiscal Q2 outlook. The company forecast adjusted earnings of $1.33–$1.53 per share, missing the $1.92 consensus. Sales are projected at $7.7bn–$8.1bn, with a midpoint falling short of the $8.99bn estimate. Adjusted gross margins of 37.5%–39.5% also lag the 41.3% expectation.
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