The AI buzz has taken the world by storm.
Since ChatGPT came online late last year and made everyday use of artificial intelligence (AI) possible, the thirst for more AI products and information has exploded.
While ChatGPT grew to over 1 million users in a week in 2022, the quest for information about AI has accelerated at breakneck speed.
According to Google Trends, the popularity of searching for “artificial intelligence” on Google has nearly doubled from 2018.
As an investor, the biggest question you may have found yourself asking is: Where can I make money from this burgeoning trend?
Today, I’m going to tell you what the numbers say.
The Art of Generative AI
While AI is certainly hot right now, another big trend is content creation.
All you have to do is look at social media and see the need for all sorts of content — written, video, audio or even interactive experiences.
We all love to scroll…
And this is where there is money to be made … using generative AI.
In its simplest terms, generative AI is technology that can produce all kinds of content, from text to images and even videos.
It’s not new technology as chatbots were actually around as far back as the 1960s, but AI has shot this kind of content creation into hyperspace.
I tried this myself in March this year. I used an AI program called Boomy to create short music tracks.
I picked the speed and style of each track and was even able to specify what instruments to use. After an hour, I generated five different tracks that were … actually not bad!
But that’s just the tip of the AI iceberg. There are programs out there that help you write novels and even code more complex computer programs. Heck, you can generate videos and photos that seem all too real.
You mix the popularity of AI and the intensity of content creation and you have a huge, moneymaking sector that’s in its infancy.
Generative AI Revenue Growth Fast Track
According to a report from 451 Research, the total market revenue for generative AI is only around $3.8 billion this year.
That’s set to boom over the next five years…
By 2028, total revenue from generative AI is expected to reach $36.4 billion. That’s a 58% compound annual growth rate (CAGR)! For context, Microsoft Corp. grew at a CAGR of 10.5% over the last 10 years.
Break down the generative AI sector, and you see where the growth is:
Research found the fastest-rising segment of generative AI was code generators — apps that use AI to generate complex computer code.
That segment is expected to grow its revenue at a CAGR of almost 73%. Image and video generators will grow more than 60% while audio-generating apps expect revenue growth at a rate just shy of 60%.
At Money & Markets, we’re doing our own work with AI.
Our chief investment strategist, Adam O’Dell, has introduced AI in his new Infinite Momentum Alert stock trading service.
He’s also working with TradeSmith CEO Keith Kaplan and his team on Project An-E — a trading platform using AI to find stocks with the greatest future potential.
Adam will provide more details on what they’ve found tomorrow!
And you can see An-E’s true potential at an event hosted by Adam and Keith at 8 p.m. Eastern time, tomorrow night. Click here to put your name on the guest list now.
Bottom line: AI is generating a ton of hype right now … and for good reason.
As an investor, you are looking for the best way to invest early in this epic trend.
The numbers show apps that use AI to generate content are on track for stellar revenue growth, which makes them compelling investments to look into.
Until next time…
Matt Clark, CMSA®
Chief Research Analyst, Money & Markets