The next crucial hurdle to clear in the race to our AI future â when that happens, it'll change literally everything⦠[TradeSmith Daily]( How Quantum Computing Will Supercharge AI â And How to Invest
Editor's Note: This special report comes straight from TradeSmith analyst Jason Bodner, inventor of the Quantum Edge investing system. Enjoy. Artificial intelligence is hot. White hot. In the last few months alone:
- AI ignited a stunning earnings report for Nvidia Corp. (NVDA) — launching the chipmaker into the âTrillion-Dollar Club.â
- AI headlined a product launch for Salesforce Inc. (CRM), letting that company raise prices for the first time in seven years.
- And Microsoft (MSFT) cashed in on the millisecond-name recognition of ChatGPT to add cachet to its own AI product rollout.
Yeah, AI is hot. But the stock market is very much a âwhat-comes-next" game. And tech is a major trigger for stocks. So knowing âwhat comes after AIâ is how you get that âinvesting edge.â Thatâs what weâre bringing you here today. RECOMMENDED LINK [Harnessing the Power of A.I. to Make Huge Gains](
A.I. is a godsend for investing. Itâs like having 100,000 financial analysts at your fingertips... which is why itâs at the heart of TradeSmithâs newest innovation â an A.I.-driven stock price predictive algorithm called An-E (pronounced Annie, short for Analytical Engine). It was recently introduced to the public for the first time.
[Full details here]( The Next AI Supercharger
The Internet was the last generational, paradigm-shifting tech innovation. And that was in the middle 1990s — so nearly 30 years ago. Smartphones and âthe Cloudâ supercharged the Internet. And quantum computers are poised to play the same catalytic game with AI. Hereâs why. AI is progressing so fast that itâs rocketing into the upper limit of what todayâs hardware can do. In theory, AI developers can dream up the most intricate, powerful algorithms conceivable. But theyâll remain just that — just dreams — until computers leapfrog in terms of power. Cue the quantum computers. Theyâre very futuristic… but also very âtoday.â Just last month, a Google research team declared âquantum supremacyâ for its new quantum computing chip, saying that quantum brain can do instantly what would take existing supercomputers 47 years to perform… All built on a tiny device of just 70 quantum bits, or âqubits.â
As advanced as these âqubitsâ are, the reason theyâre so great is actually simple. All the computer chips we use today still operate in binary mode: 0s and 1s. So, they can only run one calculation at a time: yes or no. But qubits can do yes, no, or maybe. This lets the quantum computer run multiple scenarios/computations at the same time. Imagine what we can do with a computer thatâs a few million times more powerful than what we have today. Japanese physicist Michio Kaku — a proverbial white-haired professor and an icon in his field — says “the chatbots that are a revolution in software and then quantum computers, which are a revolution in hardware — when they get together, watch out.” But before you rush out and empty your 401(K) into shares of Alphabet (GOOGL), understand that itâll take several more years of work before quantum computers are widely available. Thatâs plenty of time for people to debate all the big philosophical questions this raises. For me, I say: Letâs not get bogged down by our feelings about super-powerful AI. When a major innovation comes along like this, there are only two outcomes: We can either try to beat them — or join them. When I used to do tech-investing presentations for hedge funds, Iâd show slides a lot like the one below — showing the historical progression from the mechanical revolution… to the industrial revolution… to the information revolution… and finally to the AI/data revolution — the âFourth Revolution.â
That Fourth Revolution has already started. And Iâm inspired by what Iâm seeing. Iâm a computer guy — this is what I do. Computers put food on my table, pay to take my wife and kids to Europe, and even college. Computers do that by finding opportunities. Opportunities to make money. Big opportunities like AI. Timely ones — like the strongest sector of the moment. Targeted ones, like quality companies whose shares are being bought by Big Money Wall Streeters. I look for the best stocks in any market condition. And I find them by running my Quantum Edge system on over 6,000 stocks a day… far more than our âdumbâ human brains can handle. And one day, we will ALL be investing in quantum computing, because this is where we are heading next. We may as well start to prepare now. RECOMMENDED LINK [The No. 1 AI-powered stock of the decade](
No, itâs NOT ChatGPT... (Itâs not Microsoft, Google, NVIDIA, or any of the other big players youâve likely heard about either!) Itâs a tiny sub-$5 stock!
[Donât miss this free presentation]( Where Do We Find the Winning Companies for Quantum Computing?
At this point, we canât predict who the AI winners will be. Itâs too early. And too hard. But we can approach âthe nowâ with logical rules that help us find the best opportunities — today. No. 1: Which âLegacy Techâ Companies Are Getting Involved? If youâve been hearing about quantum computing in the headlines today, itâs probably thanks to companies like Microsoft. In June, Microsoft, which has a âvice president of advanced quantum development,â said its team plans to deliver a quantum supercomputer in the next 10 years. IBM (IBM) says it already has a quantum computer that can run 433 qubits — so, thatâs another six times greater than what Google just achieved. And itâs gunning for a 4,000-qubit processor by 2025. The other current-day prospects include Microsoft, Google, Tesla (TSLA), and Amazon.com (AMZN). Basically, if you want quantum computing investments, you can bet that [the âMagnificent Sevenâ]( companies will be involved in any way they can. No. 2: Picks and Shovels Veteran investors all know about âpick-and-shovel" investing — a reference to the California Gold Rush, where a lot of the âstrike-it-rich" crowd were the folks who sold mining supplies to the actual prospectors. With quantum computing, we already know whatâs on the âshopping listâ of essentials for the builders, including: supercooling. Researchers keep their quantum computers inside refrigerators — and not the kind made by Whirlpool. These computers are kept just above absolute zero, or minus 459 degrees Fahrenheit. So, for investments, we can look at the materials these researchers are using — materials like liquid nitrogen. There are other aspects of the operating environment. Vibrations, or impurities in the chip materials, can cause problems for todayâs quantum computers. Anyone making better, faster, cleaner products are worth a closer look. For now, weâll keep an eye out for companies that can overcome these obstacles — it'll happen sooner than you think. And with my stock system, weâre always sifting out the companies — in any industry — that can line up the fundamental factors and achieve the technical stock characteristics they need to succeed as businesses and investments. [In my Quantum Edge services]( Iâve found a couple of buys Iâm really excited about, and Iâve got my eye on more. To see my latest buy alert — and get on the list for all the trades going forward — [watch this to learn more]( and get involved in Quantum Edge. Talk soon, [Jason Bodner]Jason Bodner
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