A top Canadian market strategist says Warren Buffett’s decision to take a multibillion-dollar position in Google is a signal that artificial intelligence is entering a new phase of economic legitimacy.
James Thorne, chief market strategist at the $40 billion Wellington-Altus asset management firm, says Buffett’s move is a major psychological break from the idea that AI is in bubble territory.
“When Warren Buffett, the world’s most disciplined value investor, takes a stake in a hyperscaler like Google, it isn’t about chasing hype. It’s validation that AI is no bubble, it’s the new utility layer of the global economy.”
Fresh data from the U.S. Securities and Exchange Commission (SEC) shows that Buffett’s Berkshire Hathaway gobbled up 17.85 million shares of Alphabet (GOOGL) valued at $4.33 billion.
According to Thorne, the legendary investor’s stake in GOOGL suggests that short sellers and naysayers will be proven wrong.
“If the man who called the Dot-Com froth sees value in AI infrastructure, maybe the real delusion lies with those still calling it a scam.”
On top of the GOOGL holding, Berkshire Hathaway also holds more than 238 million Apple (AAPL) shares worth $60.65 billion and over 10 million shares of Amazon (AMZN) worth $2.19 billion.
All in all, Berkshire Hathaway owns more than $67.19 billion in the trio of AI stocks.
Disclaimer: Opinions expressed at CapitalAI Daily are not investment advice. Investors should do their own due diligence before making any decisions involving securities, cryptocurrencies, or digital assets. Your transfers and trades are at your own risk, and any losses you may incur are your responsibility. CapitalAI Daily does not recommend the buying or selling of any assets, nor is CapitalAI Daily an investment advisor. See our Editorial Standards and Terms of Use.