Qualcomm CEO Says AI Growth Likely Underestimated, Compares Surge To Internet Boom Of 1999: Report

According to Bloomberg News, CEO Cristiano Amon compared the growth witnessed by AI to that of the internet's rise, adding that the internet has become more extensive than imagined during the dot-com bubble era of 1999.

• According to Bloomberg, Amon said that he was not concerned with the industry overspending on AI. 
• Wall Street has noted that some investors are concerned about high-equity valuations and the substantial amount of money being invested in data centers, as well as the growth of AI.
• Amon said he’s also “incredibly optimistic” about what he calls personal AI devices, the report stated.

Qualcomm (QCOM) CEO Cristiano Amon reportedly said that people around the world are probably underestimating the growth of artificial intelligence.

He compared the growth AI is witnessing to that of the internet's rise, adding that the internet has become more extensive than imagined in the dot-com bubble era of 1999, the report noted.

“The internet is much bigger today than people thought,” Amon said. 

Retail sentiment on Qualcomm remained unchanged in the ‘neutral’ territory, with message volumes at ‘extremely high’ levels, according to data from Stocktwits. Shares of the company were down over 4% in afternoon trading.

AI Boom And Bubble

This comes on the heels of investors growing increasingly concerned about the valuations of large technology companies, particularly in light of the recent surge in their investment in AI and their ability to scale AI growth.

Wall Street has noted that some investors are concerned about high-equity valuations and the substantial amount of money being invested in data centers, as well as the growth of AI.

Amon Says Not Worried About AI Overspending

According to Bloomberg, Amon said that he was not concerned with the industry overspending on AI. “AI needs a lot more computing power,” he said.

Amon is also “incredibly optimistic” about what he calls personal AI devices, which mainly include the likes of Meta Platforms (META) smart glasses, according to the report. His company provides Meta with the processors used in its Ray-Ban spectacles.

Last month, Qualcomm, known for its semiconductors that enable wireless communication and mobile technology, unveiled its latest AI accelerator chips as part of an effort to compete with Nvidia (NVDA) and Advanced Micro Devices (AMD) in the generative AI market. 

Shares of Qualcomm have gained 12% this year.

For updates and corrections, email newsroom[at]stocktwits[dot]com.<