💡Goldman: AI models don’t matter
They compete every quarter for the title of best.
But a lasting advantage comes from owning computing capacity. There isn’t enough of it, and it’s not just a matter of chips. Data centers lack electricity. Of the roughly 16 GW of capacity planned in the U.S. for 2026, only about 5 GW is under construction. According to Wood Mackenzie, more than two-thirds of the capacity data centers need will never come online.
This creates a paradox: the factors holding back the construction of new data centers make those already built even more valuable. Large cloud companies have invested the most in them. That’s why, in Goldman’s view, the market is right to value them more highly than others.
Last week, hedge funds sold tech stocks en masse following news about OpenAI’s revenue. Goldman advises investors to focus not on whose model is currently ahead, but on who owns the computing capacity.
They compete every quarter for the title of best.
But a lasting advantage comes from owning computing capacity. There isn’t enough of it, and it’s not just a matter of chips. Data centers lack electricity. Of the roughly 16 GW of capacity planned in the U.S. for 2026, only about 5 GW is under construction. According to Wood Mackenzie, more than two-thirds of the capacity data centers need will never come online.
This creates a paradox: the factors holding back the construction of new data centers make those already built even more valuable. Large cloud companies have invested the most in them. That’s why, in Goldman’s view, the market is right to value them more highly than others.
Last week, hedge funds sold tech stocks en masse following news about OpenAI’s revenue. Goldman advises investors to focus not on whose model is currently ahead, but on who owns the computing capacity.