15 AI News Making Waves Right Now

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4. Applied Materials, Inc. (NASDAQ:AMAT)

Market Capitalization: $140.75 billion

Applied Materials, Inc. (NASDAQ:AMAT) is an American corporation that develops, manufactures, markets, and services semiconductor wafer fabrication equipment and related spare parts for the worldwide semiconductor industry. Companies rely on Applied Material’s cutting-edge technology to build some of their most advanced semiconductors.

On November 14, Applied Materials, Inc. (NASDAQ:AMAT) forecast its first-quarter revenue below Wall Street estimates, implying stagnant demand for chip-making equipment apart from its AI-powered chips. Even though there remains a strong demand for advanced equipment that produces AI chips, weaker spending in some markets has been impacting companies such as Applied Materials. Analyst Brooks Idlet from CFRA noted that hints of slowing growth amidst the recent explosive AI-related growth are being penalized by investors. Additionally, tighter US export restrictions on high-end chips and certain equipment are adding a layer of uncertainty for both suppliers and chip firms. Nevertheless, Chief Executive Officer Gary Dickerson remains confident that AI and new types of chips will help keep the industry growing.

“Applied has leadership in all the advanced segments. AI is the big driver for the entire industry”.

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