Our research and what we see across public and private markets suggest that today looks nothing like the tech and telecom bubble of 2000. At that time, investors were funding aspirations. Today, they are funding real and growing demand.
AI adoption is accelerating across every dimension.
Weekly active chatbot users have already reached ~1 billion,1 and that number could rise to 4 or 5 billion by the end of the decade. Enterprises are also scaling their use of AI, with companies like Palantir reporting 121%2 U.S. commercial revenue growth as organizations work to reinvent their operations.
The technology foundation is also firmly in place.
Cloud infrastructure in 2006, deep learning in 2012, and transformer architecture in 2017 set the stage. When ChatGPT arrived in 2022, the world finally saw what we had been tracking for years. In our view, this is still the first inning.
We are also witnessing the convergence of five innovation platforms.
AI is accelerating progress in robotics, energy storage, blockchain technology, and multiomic sequencing. Together, these platforms represent one of the most important innovation moments in history.
[1] Kemp, Simon. 10/15/2025. “Digital 2026: more than 1 billion people use AI” DataRePortal. [2] Palantir Third Quarter Report.
In our Fund-in-Focus discussion, we emphasized that bubbles generally form when supply overwhelms demand. What we see today is the opposite.
Data centers are running near capacity
Enterprises are redesigning workflows from the ground up
Consumers are adopting AI at extraordinary speed
Monetization is already taking hold, not sitting as a future assumption
Despite this, investor skepticism remains unusually high, which in many ways strengthens our conviction.
In our mARKet Update, we also shared how allocators are beginning to rethink portfolio construction, moving away from rigid categories like growth versus value. Innovation strategies, with their differentiated drivers and low overlap with benchmarks, fit naturally within a total portfolio approach.
As Cathie highlighted, we believe real gross domestic product (GDP) growth around the world could accelerate to seven to eight percent over the next decade as AI-driven productivity compounds.
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