We recently published a list of 10 AI News Making Waves on Wall Street. In this article, we are going to take a look at where Cisco Systems, Inc. (NASDAQ:CSCO) stands against other AI news making waves on Wall Street.
OpenAI has previously been dependent on Nvidia for its chip supply, but it looks like it may not be for long. As reported by Reuters, the artificial intelligence startup is all set to develop its first generation of in-house artificial intelligence silicon.
According to sources, the startup is finalizing the design for its first in-house chip in the next few months. It then plans to send it for fabrication at Taiwan Semiconductor Manufacturing Co in a “taping out” process.
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This training-focused chip will be used as a strategic tool to strengthen OpenAI’s negotiating leverage with other chip suppliers. If all goes smoothly, the company will be able to mass-produce its first in-house AI chip and potentially test an alternative later this year.
Meanwhile, big tech companies have struggled to produce satisfactory chips over the years. Nevertheless, DeepSeek has raised questions about whether fewer chips will be needed in developing powerful models in the future.
Google DeepMind boss Demis Hassabis has recently dismissed DeepSeek’s claims that its popular chatbot and AI model is using far less money than US rivals.
DeepSeek “seems to have only reported the cost of the final training round, which is a fraction of the total cost.”
– Hassabis told Bloomberg Television
He also stated that DeepSeek’s emergence doesn’t upend the economics of AI development.
“We don’t see any new silver bullet technologies. DeepSeek is not an outlier on the efficiency curve.”
-Hassabis said at the Artificial Intelligence Action Summit.
The Chinese startup has reportedly spent around $5.6 million on computing costs to train its models. OpenAI and Microsoft are currently investigating these claims, searching if anyone tied to DeepSeek has obtained data from OpenAI through a process known as distillation.
According to Hassabis, DeepSeek seems “to have relied on some Western models to distill from”.
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Engineers using the latest Cisco TelePresence technology to collaborate with colleagues around the world.
Cisco Systems, Inc. (NASDAQ:CSCO)
Number of Hedge Fund Holders: 60
Cisco Systems, Inc. (NASDAQ:CSCO) is an American technology company that provides information technology and networking services. On February 10, the company announced its first, jointly developed AI agent from its strategic partnership with French artificial intelligence startup Mistral AI. This partnership product aims to lead Cisco’s Customer Experience (CX) towards an Agentic-AI-Led future. The “AI Renewals Agent” enhances and streamlines Cisco’s renewal proposal creation process by integrating both structured and unstructured data from over 50 signals and sources. It then provides real-time sentiment analysis, summarized recommendations, intelligent automation, and personalization. These are tied to customer outcomes and key performance indicators (KPIs). According to the company, the AI Renewal Agent could cut down renewal proposal and preparation time for customer engagement by as much as 20%.
“Mistral AI is a critical partner for Cisco Customer Experience (CX) as we build towards an Agentic-AI-Led future. In addition to cutting-edge AI technology, Mistral AI shares our mission to put the customer at the center of everything we do. The AI Renewals Agent is an important milestone and the first of many innovative solutions that we’re going to build together. The impact on our teams is also significant as we continue to look at opportunities to simplify and reduce friction in their jobs. By combining our large data set, customer trust and Mistral’s industry-leading technology, we are on our way towards shaping the future of customer and employee engagement.”
-Liz Centoni, Executive Vice President and Chief Customer Experience Officer, Cisco.
Overall, CSCO ranks 7th on our list of AI news making waves on Wall Street. While we acknowledge the potential of CSCO as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than CSCO but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.
