A very adaptable tool, generative artificial intelligence has been used in various fields. As a result, it could develop into a general-purpose technology that can evolve into a machine capable of carrying out any task that a human can. Given that the generative AI market is growing at a compound annual growth rate of 34.20%, according to Research and Markets, it has sparked an arms race between companies and, most recently, between countries.
A week into office, President Donald Trump rolled back Biden-era artificial intelligence safety and security measures. The rollback is part of the new administration’s bid to speed and accelerate generative AI development as the US seeks to win the AI race against China.
To maintain global leadership in AI technology, “we must develop AI systems that are free from ideological bias or engineered social agendas,” Trump’s order says.
Trump’s Executive Order overturned President Joe Biden’s 2023 policy, which required AI developers to perform safety testing and report findings to the government prior to releasing systems that could endanger public health, national security, or the economy.
According to the Trump administration, the Biden policy “established unnecessarily burdensome requirements for companies developing and deploying AI that would stifle private sector innovation and threaten American technological leadership.”
Additionally, the Biden executive order demanded that deepfakes be watermarked, that government agencies establish AI testing standards that consider national security threats, and that federal law enforcement and intellectual property regulators change how copyrighted works are used in AI training. The previous administration “hampered the private sector’s ability to innovate in AI by imposing government control over AI development and deployment,” according to Trump’s executive order.
The removal of the safety and security measures is being portrayed as a floodgate, opening for AI development, which could hasten advancements in the still-emerging field but also present risks. Nevertheless, the Consumer Federation of America and Mozilla have written a letter urging the White House to maintain “key rules” for transparency and testing in artificial intelligence.
“Without guardrails like testing and transparency on an AI system before it’s used — guardrails so basic that any engineer should be ashamed to release a product without them — seniors, veterans, and consumers will have their benefits improperly altered and their health endangered,” they wrote. “We call on you to keep key rules about testing and transparency for safety- and rights-impacting AI in place.”
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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9. Perfect Corp. (NYSE:PERF)
Number of Hedge Fund Holders: 9
Perfect Corp. (NYSE:PERF) is an artificial intelligence software as a Service Company that provides artificial intelligence (AI) and augmented reality (AR) powered solutions for the beauty, fashion, and skincare industries. The leading AI and fashion technology company announced on January 29th the launch of its groundbreaking AI Frizzy Hair Analyzer, which marked a significant advancement in personalized healthcare.
AI Frizzy Hair Analyzer is the latest addition to Perfect Corp.’s (NYSE:PERF) vast portfolio of AI tools, including Hair Texture Analysis, Hair Length Analysis, Hair Color Try-On, and Hairstyles Try-On. It is intended to provide previously unheard-of levels of personalization in the hair care sector by utilizing artificial intelligence to uncover the mysteries of frizz. With the help of this cutting-edge technology, brands can now provide genuinely personalized experiences that appeal to their target audience. Brands can provide individualized product recommendations and point customers toward the best options for their particular hair needs by offering precise and immediate hair frizz analysis.
8. Vontier Corporation (NYSE:VNT)
Number of Hedge Fund Holders: 24
Vontier Corporation (NYSE:VNT) provides mobility ecosystem solutions worldwide. It has made a name for itself as a leading global provider of critical technologies and solutions to connect, manage and scale the mobility ecosystem. On January 29th, the company announced the opening of a state-of-the-art Capability Center in Bengaluru, India.
The opening of the new center is part of Vontier Corporation’s (NYSE:VNT) effort to serve and accelerate the development of artificial intelligence technology initiatives. Additionally, the center underscores the company’s focus on India as a hotbed of talent in software development and AI innovation. The center is expected to play a pivotal role in enhancing the company’s efforts to come up with productivity and automation solutions that are highly needed in the connected mobility ecosystem.
