We recently published a list of Top 11 AI News and Ratings You Should Take a Look At. In this article, we are going to take a look at where Electronic Arts Inc. (NASDAQ:EA) stands against other top AI news and ratings you should take a look at.
AI is experiencing a shift from massive, resource-intensive models to more efficient and accessible alternatives. Sakana AI’s CEO, David Ha, discussed how this transition is shaping the future of AI, highlighting the role of compact models and the broader impact on computing demand on Bloomberg: The Asia Trade. As AI development diversifies, the market is moving away from reliance on a single dominant player, and companies are exploring innovative ways to optimize performance.
The Growing Role of Efficient AI Models in Everyday Technology
David Ha shared his perspective on the AI industry, emphasizing how models like China’s DeepSeek are fueling demand for GPUs. He explained that the traditional approach has been to develop increasingly large AI models requiring significant investments and energy, but companies like Sakana AI are focusing on making AI faster and more efficient. One example is Tiny Swallow, a compact AI model built using Sakana AI’s Tate distillation method, which maintains strong performance despite being 100 times smaller than large models. This model can run entirely on a smartphone or web browser without relying on an API, reflecting a broader trend toward efficient AI solutions in 2025.
Ha compared the current landscape of AI to early computing, where large mainframes eventually gave way to more accessible, optimized technologies like PCs and smartphones. He believes AI will follow a similar path, with smaller, specialized models becoming more widespread. He also expects a future where multiple AI models, including those from DeepSeek, Meta’s Llama, and Sakana AI, will be used across different applications rather than a single dominant player controlling the market.
When asked about Nvidia, Ha dismissed concerns that smaller, efficient AI models could reduce demand for GPUs. Instead, he argued that these advancements will expand GPU usage, especially for inference tasks rather than just training, and attract a more diverse global user base. He believes that the company is well-positioned to benefit from this growing demand for AI compute power.
For this article, we selected AI stocks by reviewing news articles, stock analysis, and press releases. We listed the stocks in ascending order of their hedge fund sentiment taken from Insider Monkey’s database of 900 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).
A close up of a consumer enjoying the company’s games on their mobile device.
Electronic Arts Inc. (NASDAQ:EA)
Number of Hedge Fund Holders: 46
Electronic Arts Inc. (NASDAQ:EA) develops, publishes, and distributes video games. On February 4, EA SPORTS announced the acquisition of TRACAB Technologies, a company known for its advanced sports tracking and data analysis solutions. The acquisition will improve EA SPORTS’ ability to use AI, machine learning, and real-time sports data to improve animation and gameplay realism. TRACAB’s technology captures 600 million data points per game, tracking player movements, ball positioning, and referee actions at 60Hz. The data will help refine player stats, team AI, and in-game animations. Additionally, EA SPORTS plans to integrate TRACAB’s capabilities into the EA SPORTS App, expanding interactive features such as predictive simulations, reimagined highlights, and alternative broadcasts. The acquisition is expected to be finalized in EA’s first fiscal quarter of FY26.
Overall, EA ranks 5th on our list of top AI news and ratings you should take a look at. While we acknowledge the potential of Ea as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than EA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap
Disclosure: None. This article is originally published at Insider Monkey.
