News Digest: AI innovations boost big-tech earnings in Q1 2024

April 20, 2024

News Digest:

While artificial intelligence (AI) and machine learning (ML) have been the toast of the tech industry for nearly two years, their impact on company revenues and share prices has been skewed heavily in favor of big-tech companies, says a report.

In an analysis of tech stocks over the first quarter of 2024, PitchBook notes that the tech giants dominated Q1 stock performance gains for the AI and ML sectors. While AI innovations did not add majorly to specialist companies such as Snowflake and UiPath, they did fuel the overall earnings of large companies such as Amazon, IBM, Microsoft, Oracle, SAP, and Meta.


Additionally, the fast-growing semiconductor companies came up with the best performance during the quarter with Arm shares spiking 66%. At the same time, companies in the autonomous machines business showed a decline in value with Tesla dropping 29%. While the median GenAI application stock prices grew only by 1% in the first quarter, there were outliers such as SoundHound and Veritone in the consumer AI segment.

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