You don’t need us to tell you it’s been quite a whirlwind for artificial intelligence (AI). But we’re going to anyway. On Friday, OpenAI, the company behind ChatGPT, abruptly ousted CEO Sam Altman from the company. But he wasn’t left out in the cold for long. Hours after he was fired, Microsoft offered Altman a job to run a new AI research team.
Got all that? Good.
Now then, what does this mean for Microsoft’s new AI research center and OpenAI? Who knows? It may take a while to parse how all this internal drama and palace intrigue will actually impact these companies and AI overall. (It may also take time to separate the signal from the noise.)
What we do know is that this has shined a Klieg light on a sector that’s already received tons of sunlight.
Invest in AI (But Not Microsoft)
For investors wanting to target opportunities in this space, the Invesco AI and Next Gen Software ETF (IGPT) may be worth considering.
The fund invests in companies with significant exposure to technologies or products that contribute to future software development through direct revenue. It’s based on the STOXX World AC NexGen Software Development Index. The fund normally invests at least 90% of its total assets in common stocks that make up the Index.
And believe it or not, as of November 20, Microsoft isn’t one of the fund’s holdings.
IGPT looks at three subthemes. The first is platforms connected to AI. The first subtheme is platforms that make up the development tools that help power AI. The second is AI. The third is robotics and automation.
For more news, information, and analysis, visit the Innovative ETFs Channel.