Nowadays, barely a day goes by without a huge headline touching artificial intelligence (AI). Three main factors are driving the rising interest in AI. First, it is now easier to train new machine learning (ML) models because training data is easily available. The DeepSeek R1 breakthrough is evidence of this. Second, smaller companies can access computing power with relative ease. AI models use this power to organize and process information. Third, there are enough AI solutions to bridge the gap between AI and organizations. Although organizations still need to hire skilled professionals like Data Scientists, the overall cost to design AI solutions is significantly lower because of the existence of free open-source AI platforms.

However, if you look at it from another angle, the rising interest in AI arises from increased adoption. A recent McKinsey report found that 65% of organizations are now using generative AI. The high demand for AI models and related services is reflected in the AI market as ever-higher growth numbers. For instance, a Markets and Markets analysis valued the global AI market at $214.6 billion in 2024 and projects that it will reach $1.3 trillion in 2030.

What is happening in the AI market is only one side of the coin; the other side is what the AI revolution is doing to human life. Great things are happening. According to a PwC analysis, AI could contribute up to $15.7 trillion to the global economy in 2030. This will happen in the form of increased GDP for local economies resulting from increased productivity and consumption of AI-related products and services.

Interestingly, this impact doesn’t come from traditional AI companies—those at the forefront of training AI models—alone. Instead, the global economy will experience an income boost from AI through partnerships between core technology developers and other businesses. What this means is that AI is no longer just a chatbot. Rather, it has changed how companies create value.

“This is exactly what we are seeing in our work with clients as well. AI transforms companies’ ability to apply intelligence and information at speed and scale, enabling them to build new business models and tap different value pools. Pioneering companies in areas from AI-supported healthcare to AI-enabled mergers & acquisitions are using the technology to create breakthroughs in the value their people can deliver,” says Carol Stubbings, the Global Chief Commercial Officer at PwC.

As AI continues to reshape the global economy, certain companies are emerging as key players in this transformation. Let’s look at 10 AI companies that are making headlines and driving significant changes in their respective sectors.

For this article, we selected AI stocks by going through news articles, stock analysis, and press releases. These stocks are also popular among hedge funds.

Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).

10. Blaize Holdings, Inc. (NASDAQ:BZAI)

Number of Hedge Fund Holders: N/A

Blaize Holdings, Inc. (NASDAQ:BZAI) provides AI-enabled edge computing solutions that allow organizations to process and analyze data directly at the source rather than in centralized data centers. Burkhan World Investments (BWI), a single-family office based in Miami,  believes the company is well-positioned to redefine industry standards and expand the accessibility of AI-powered technologies across the globe.

The remarks come on the investment firm confirming strategic investment on January 28th. While investing, BWI reiterated that Blaize Holdings, Inc. (NASDAQ:BZAI) stands out owing to its low-cost energy and efficient chips designed for Edge AI applications. Unlike traditional large language models (LLMs), which are quickly becoming commoditized, Blaize prioritizes smaller, highly specialized language models, offering greater applicability across industries. This strategy lowers the obstacles to AI adoption and quickens the transition to more useful, real-world AI applications.

9. GSI Technology, Inc. (NASDAQ:GSIT)

Number of Hedge Fund Holders: 2

GSI Technology, Inc. (NASDAQ:GSIT) designs, develops, and markets semiconductor memory solutions to networking, industrial, medical, aerospace, and military customers. The company sentiments were boosted on January 31st amid solid third-quarter results that affirmed strong demand for memory solutions. Revenue in the quarter was up 2% and 19% sequentially, thanks to strong core SRAM sales.

The semiconductors company is recording strong demand from a key customer whose systems are integral to coming up with AI chips. Amid the artificial intelligence frenzy, the company is expected to become GSI Technology, Inc.’s (NASDAQ:GSIT) most significant revenue contributor in 2025. Additionally, the company is launching a Gemini-II chip designed to take AI to the next level by combining advanced neural networks with cutting-edge radar and imaging technology.