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Analysts at Wedbush Securities believe that Palantir Technologies and Salesforce are set to dominate the artificial intelligence (AI) software market following recent strong financial performances. According to Wedbush analyst Dan Ives, the AI software era is now underway, predicting that 2025 will witness a surge in enterprise consumption of AI and expanded generative AI applications.
Ives projects a $2 trillion capital expenditure cycle over the next three years as businesses and governments ramp up AI adoption. He notes that other key beneficiaries in the AI software space include Oracle, IBM, Snowflake, and MongoDB. Despite the positive outlook, Ives cautions that the evolving landscape may still present unexpected challenges for investors.
Following Palantir's stock surge after its latest earnings report, Ives highlighted a general underestimation of AI’s impact on software across Wall Street. The ongoing transitions in technology present a dynamic investment landscape, signaling robust growth potential in AI software solutions.