GenAI: The Path Forward – Scaling Laws

Executive Summary The emergence of generative artificial intelligence (GenAI) has catalyzed a surge of capital expenditures (capex) directed at building out AI infrastructure. Big tech companies are on pace to spend over $200 billion on capex this year and even more in 2025. A significant portion of this will be directed to AI-related equipment, including…

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Electrifying Innovation

Executive Summary The power industry is on the precipice of a tectonic shift. After decades of muted growth, electricity demand surged over the last year, a trend that is expected to continue driven by data centers, industrial reshoring and electric vehicles, amongst other electrification trends. Meeting this resurgent electricity demand will require significant infrastructure investment…

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Quarterly Perspectives

U.S. stock indices finished the third quarter at record highs driven by growing corporate profits, slowing inflation and the anticipation of a reduction in the federal funds rate, which came to fruition in September. Fixed income returns were positive as yields declined across the maturity spectrum, reflecting moderating consumer prices and slower job creation. Global…

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Semiconductors: Industry in Transition

Executive Summary Semiconductors are the foundation for all modern-day technology. Despite the pervasiveness of semiconductors in society, the industry remains esoteric. The sector’s products, complex manufacturing methods and intricate global supply chain are out of sight for most consumers. As a result, semiconductors have historically operated in the shadows of the technology world. This changed…

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Quarterly Perspectives

The S&P 500 Index rose in the second quarter driven by strong corporate profits, the promise of artificial intelligence and slowing inflation. Sizable gains in a small number of very large stocks lifted market capitalization weighted indices, though the average U.S. and international stock registered losses for the period. Interest rates finished the quarter little…

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