Part 4/10:
A pivotal component of the discussion highlighted the difference between hardware production—epitomized by companies like Nvidia—and the software that drives true AI value. While companies focusing on developing AI hardware have seen remarkable profit surges, Wood insists that this hardware serves merely as the "fertile soil" for the software "seeds" that will ultimately yield greater financial returns.
Wood’s insights reveal a market hesitation; many investors are aware that AI’s progression may have exponential "hockey stick" moments but remain skeptical about how quickly that growth trajectory might manifest. This scepticism partly stems from the belief that significant advancements in autonomous vehicles will take a decade to come to fruition, causing many to delay investment.