Steve Cohen, the billionaire investor and owner of the New York Mets, has expressed a long-term bullish view on artificial intelligence (AI), highlighting its potential to revolutionize the economy and the world. Speaking at the iConnections Global Alts conference on Tuesday, Cohen emphasized that while AI is set to transform various sectors over the coming decades, the journey will be marked by fluctuations and challenges.
Cohen acknowledged the inherent volatility associated with AI investments, which is often exacerbated by a lack of accurate information. He noted that the AI boom, much like other technological advancements, would not progress in a linear fashion.
"It's going to be episodic. It's not going to go in a straight line. There'll be advances, and then it goes quiet," said Cohen at the conference.
In anticipation of AI's profound impact, Cohen's firm, Point72, is launching an AI-focused hedge fund with a goal to raise $1.5 billion. This initiative aims to capitalize on the burgeoning opportunities within the AI sector. Cohen remains optimistic about AI's potential, despite the current market uncertainties.
The recent downturn in Nvidia's shares exemplifies this volatility. On Monday, Nvidia experienced a significant 17% drop—the largest one-day decline in value for a U.S. company—triggered by competitive pressures from DeepSeek, a young Chinese AI startup. DeepSeek's cost-effective models have challenged the hype surrounding Nvidia's chips, shaking investor confidence.
Cohen acknowledged such moments of doubt but reiterated his belief in AI's long-term promise.
"This is a 10- to 20-year theme. It's gonna affect everybody in how they conduct their lives, how they do their business," Cohen emphasized.
Despite the recent market turbulence, Cohen remains steadfast in his conviction that AI will ultimately prove to be transformational. He anticipates that the impact of AI will resonate across industries and societies for decades to come.
Leave a Reply