DeepSeek – the Growth Equity view

Artificial intelligence (AI) has been one of the dominant themes in the markets for the past year or so (the other being GLP-1 weight loss drugs). Vast amounts of investment have recently been made in AI infrastructure, and suppliers to the sector have been seen by many as the initial winners of this new age. Nvidia, which makes the graphical processing units (GPUs) on which AI models are trained and run, has been the highest profile winner, but other companies have also benefitted significantly, including VAT Group (maker of vacuum valves required in semiconductor manufacturing), Atlas Copco (maker of compressors and vacuum pumps used in semiconductor fabrication) and Amphenol (manufacturer of interconnects and sensors used in data centres).