Inside Coatue's AI Public Market Update With CIO Jaimin Rangwalla

The AI era is characterized by an unprecedented pace of innovation, where private companies like OpenAI and Anthropic reach multi-billion dollar valuations and massive revenue scales at speeds far exceeding historical tech giants. This growth is driven by the proliferation of autonomous agents, which are fundamentally changing the semiconductor landscape by requiring significant increases in memory and processing power. Investors are now tracking the "gigawatt" as the atomic unit of AI growth, identifying power infrastructure and specialized hardware as critical bottlenecks. While hyperscalers face margin compression due to heavy capital expenditure, the "sellers of shortage"—including semiconductor manufacturers and power providers—are capturing significant earnings. Despite negative sentiment in news cycles, fundamental data shows strong earnings growth and resilience, signaling that the market is still in the early stages of a massive, AI-driven secular expansion.