We recently published a list of 15 AI News That Broke The Internet. In this article, we are going to take a look at where Palo Alto Networks, Inc. (NASDAQ:PANW) stands against other AI news that broke the internet.
OpenAI has been making headlines in the artificial intelligence realm ever since its existence, and it seems the company has something new to share almost every day. However, not all the news surrounding the company is positive. In the latest news shared by The Washington Post, OpenAI has suspended access to its latest, highly anticipated video generation tool, Sora. This suspension followed a small group of artists who had leaked access to the tool to protest the treatment they’ve been receiving at the company.
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Arguing that the company used them as “PR Puppets” without pay, the artists created a webpage allowing anyone to make AI videos using Sora. OpenAI granted hundreds of artists free access to the video generation tool so that they could test out the new artificial intelligence video generator. However, 20 of these artists argued that the company had taken advantage of their unpaid labor. This is what the group of artists wrote on Hugging Face, an open-source repository for artificial intelligence projects.
“Hundreds of artists provide unpaid labor through bug testing, feedback and experimental work for the program for a $150B valued company”.
The artists further added that the opportunities offered in return for helping the company, such as being selected to have their Sora-created films screened, offer “minimal compensation which pales in comparison to the substantial PR and marketing value OpenAI receives. The tool was public three hours before it was shut down. OpenAI spokesperson Niko Felix said that the company has temporarily shut down user access to Sora while it looks into the situation.
“Hundreds of artists in our alpha have shaped Sora’s development, helping prioritize new features and safeguards. Participation is voluntary, with no obligation to provide feedback or use the tool.”
-Felix wrote in a statement from OpenAI.
In other news, Axios reported that President-elect Donald Trump is considering naming an “AI czar” in the White House that will be coordinating federal policy and governmental use of artificial intelligence. While Elon Musk isn’t going to be the AI czar, he is expected to be involved.
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.
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A cutting-edge computer lab full of IT experts monitoring the security of multiple systems.
Palo Alto Networks, Inc. (NASDAQ:PANW)
Number of Hedge Fund Holders: 64
On November 25, analyst Gregg Moskowitz from Mizuho Securities reiterated a Buy rating on Palo Alto Networks, Inc. (NASDAQ:PANW), a leader in AI-powered cybersecurity, and kept the price target at $450.00. Moskowitz has given his buy rating due to Palo Alto’s strong performance and prospects. It demonstrated a 14% year-over-year revenue growth in the first quarter, surpassing market expectations, as well as an impressive 40% growth in next-gen security ARR. Moskowitz is optimistic about the company given its strong position in cloud security as well as its shifts towards higher-growth recurring revenue streams. Looking at the company’s guidance for the second quarter and the full year, the management is optimistic about its continued growth and has also raised revenue and next-gen security ARR forecasts. Overall, the firm believes in the company’s potential for higher expected growth and favorable margins compared to its peers.
Overall, PANW ranks 8th on our list of AI news that broke the internet. While we acknowledge the potential of PANW 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 time frame. If you are looking for an AI stock that is more promising than PANW 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.
