I/O Fund lead tech analyst Beth Kindig says investors taking profits now on their Big Tech positions might be jumping the gun, as she believes the AI trade is about to enter the monetization phase.
In a new Fox Business interview, the tech market guru pushes back on concerns that AI spending has run too far, too fast.
Instead, she believes that the current period is a necessary research and development cycle before large-scale deployment and recurring revenue take hold.
“I don’t see an AI bubble. What I see is a stage of R&D development. That means these big tech companies are spending hundreds of billions to create this technology. We’re going to go into the inference and the monetization phase. So don’t leave the party early.”
Kindig says the critical shift for investors will come as AI moves from training models to deploying them en masse through real-world applications.
“We’ve been spending so much money to create the technology. It’s going to be deployed at the edge through applications. That’s the big moment. For investors, when that recurring revenue starts to kick in, the profits. And it’s all from the inference stage, which is starting 2026.”
Inference is the process of running a trained AI model to make predictions on new, unseen data.
She says the monetization phase positions both major platform companies and leading model developers to benefit as AI becomes embedded across software ecosystems.
“I see [OpenAI and Google] as both winners, especially once we get into that inference stage and all these applications can be built using their models. That’s what these Big Tech companies and OpenAI are going after. They want their large language models to be embedded inside the proliferation of applications that is coming. They will both be winners in that regard.”
Kindig also highlights OpenAI’s pace of commercialization as a signal investors should not ignore, calling its growth trajectory unprecedented in modern technology markets.
“OpenAI has had the fastest trajectory in technology from zero to $20 billion. We have to kind of pay attention here. They’re monetizing very rapidly. We’ve had massive markets, mobile, just, you know, we’ve had mobile, we’ve had cloud. No other company has monetized as quickly as OpenAI. They’re predicting hundreds of billions by the end of this decade. I would just let this unfold.”
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