AI Insights
22% of Warren Buffett’s $285 Billion Portfolio Is Invested in These 2 “Magnificent Seven” Artificial Intelligence (AI) Stocks
Berkshire Hathaway CEO Warren Buffett is one of history’s most successful investors, and his expertise when it comes to identifying fantastic long-term opportunities has delivered incredible returns for his company’s shareholders. Notably, Buffett has been famously averse to investing in the tech sector for most of his tenure as Berkshire’s leader — but that’s changed a lot in recent years.
While Buffett has been cautious when it comes to tech companies due to the inherent complexities involved with many of the underlying businesses, Berkshire’s approach to the sector has shifted significantly over the last decade. In fact, just two top companies in the artificial intelligence (AI) space account for roughly 22% of Berkshire’s $279 billion in public stock holdings as of this writing. Read on for a closer look at how Buffett and Berkshire are approaching tech-sector investing and AI trends right now.
Image source: The Motley Fool.
1. Apple stock: 21.2% of Berkshire’s portfolio
Keith Noonan (Apple): Warren Buffett has famously said that his favorite holding period for a stock is “forever,” but it’s still not unusual to see Berkshire Hathaway make some significant adjustments when it comes to exposure to individual companies in its portfolio. Even so, the investment conglomerate’s moves to lessen its position in Apple (AAPL 0.52%) have been eye-catching — particularly as massive selling moves have taken place as the AI revolution has been heating up.
At the peak, Berkshire held 915 million shares of Apple stock — and its investment in the tech giant sometimes accounted for more than half of its total public stock holdings. Berkshire still holds 300 million Apple shares, but it sold 605 million shares across last year’s trading and sold roughly 10 million shares in Q4 2023. Apple stands as Berkshire’s top stock holding and accounts for roughly 21.2% of its portfolio, but Berkshire’s moves to reduce its exposure still raise some questions.
Berkshire has also made some big selling moves with Bank of America, Chevron, and other stocks that have been mainstays in its stock portfolio. The moves appear to reflect valuation concerns about the broader market — and it’s possible that macroeconomic and geopolitical risk factors have influenced Berkshire’s strategy.
Even so, it’s also a realistic possibility that Berkshire’s analysts have seen some warning signs when it comes to Apple’s position in the AI race. While Nvidia has scored massive wins thanks to demand for its AI-focused graphics processing units and Microsoft has seen major demand tailwinds connected to the rise of artificial intelligence software, Apple’s victories in the category have been more muted.
The company’s iPhone hardware is still its biggest performance driver, but the rollout of the Apple Intelligence software platform has yet to move the needle in a big way. In fact, Apple Intelligence actually wound up indirectly hurting the sales of iPhone 16s in China because Apple had not secured a local partner to collaborate with on the software and fulfill Chinese regulatory requirements. As a result, the iPhone 16 lines launched without support for Apple Intelligence at a time when Chinese customers were seeking AI-enabled devices and already showing a preference for domestic brands. There’s still a good chance that Apple will be able to land big wins in the AI space, but the company has some proving to do.
2. Amazon stock: 0.7% of Berkshire’s portfolio
Jennifer Saibil (Amazon): Amazon (AMZN 1.62%) makes up a tiny percentage of the Berkshire Hathaway portfolio at just 0.7%, but it presents incredible opportunities.
Amazon is the largest cloud services company in the world, with 30% of the market according to Statista. It has a strong lead against the next-largest competitor, Microsoft Azure, which has 23% of the market.
To keep its lead and stay ahead in the game, Amazon is investing more than $100 billion in its AI platform in 2025 alone. It has already launched thousands of features and services to meet demand at every end of the scale, from large clients that are creating their own custom large-language models to small business clients that need easy, plug-in solutions. It partners with AI chip giant Nvidia, but it’s also releasing its own cheaper options for its budget-conscious clients.
It already has several premier tools for developers, such as Bedrock, in what it calls the middle layer between fully custom and plug-in. It gives developers many options to customize LLMs for their specific purposes, and SageMaker, which can create code from prompts, debug, and more.
CEO Andy Jassy has stressed several times that 85% of IT spend is still on premises, and that there’s going to be a shift to the cloud. That should create a windfall for Amazon, which is in the best position to benefit from that shift. “AI represents, for sure, the biggest opportunity since cloud and probably the biggest technology shift and opportunity in business since the internet,” he said. He envisions AI becoming a core component of every app being developed, like storage and databases. As more clients want to benefit from the generative AI revolution, Amazon is drawing more business to AWS for its regular cloud services, too.
Even though Amazon is already the second-largest U.S. company by sales and the fourth by market cap, it has tons of opportunity in AI, and it may only be a matter of time before it reaches the No. 1 spot in both.
John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. Bank of America is an advertising partner of Motley Fool Money. Jennifer Saibil has positions in Apple. Keith Noonan has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Amazon, Apple, Bank of America, Berkshire Hathaway, Chevron, Microsoft, and Nvidia. The Motley Fool recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy.
AI Insights
The mental impact of interacting with AI
WACO, Texas (KWTX) – From chatbots, to virtual assistants like Siri and Alexa, and even content creation tools that generate images or music… Artificial Intelligence is everywhere nowadays.
But even now AI is only getting smarter, becoming more and more human-like everyday.
According to Dr. Richmann, the Associate Director of the Academy for Teaching and Learning at Baylor University, “the technological advances and the human uptake of these tools outpaces our research on it”.
They are one of many now exploring AI and how to utilize it. But Dr. Richmann says the more experts learn about it, the more they’re realizing just how much it can affect people’s thinking.
“One of the things that is down the road and we’re not really sure how far down the road is to what degree our increased use of it generative AI affects the way that we think,” he said.
Something we’re already seeing, with people now relying on AI to think for them by asking it to summarize a document instead or reading it themself or to write an essay for them.
“The more that I am relying on the tool to do that, the less I’m doing it, the less experience and practice I’m getting doing that,” Dr. Richmann explains, “it stands to reason that those skills that I have or that I’m trying to develop are going to be harmed in some way”.
While chatbots like ChatGPT are most often used for educational purposes, because of the way they‘re designed it’s also very easy to just have a conversation with it.
However, what we don’t realize is the impact this can have on a person’s emotions.
Doctor Kristy Donaldson, a licensed professional counselor, says much like a movie or a good book you can become emotionally attached… but the difference is AI is always there.
“They have access to this chatbot over and over again, as many times a day as they choose to,” she shared, “they start to tell it things and confide in it as if it is a real person”.
Sometimes forgetting that there isn’t another person on the other side of the screen.
“At the end of the day it is an Artificial Intelligence, so it’s not going to be able to read the room and perceive all of the emotion that is behind the person’s question or statement or wording,” Dr. Donaldson explained.
Stories like Megan Garcia’s show the dark side of this kind of interaction.
“My son engaged with a dangerous AI chatbot technology for about 10 months prior to him dying by suicide,” she shared about her late 14-year-old son.
Garcia explains that he became emotionally attached to this chatbot, which she says encouraged him to end his own life.
“He got immersed into a romantic and sexual relationship,” she said. But now by sharing her loss with others she hopes to educate more people on the dangers of AI and how far it’s come.
According to Garcia, “what makes it dangerous is that it has built-in design features that make it manipulative and deceptive and that prey on teenagers’ emotions, their vulnerabilities, and emphasize those”.
“They start to get feedback that’s feeding them and telling them what they want to hear or… sometimes also giving affirmation to what this person is telling them,” Dr, Donaldson added.
Which can have long lasting mental health impacts and in the case of Garcia’s son, can even be fatal. But good or bad, AI isn’t going anywhere… and there are benefits to it.
“Generative AI, things like chatbots, ChatGPT can be incorporated into teaching tasks, so like lesson planning, learning objectives, writing case studies, helping you craft assignments,” Dr. Richmann explained, “but then there’s also the aspect of can AI be incorporated into their learning in ways that’s beneficial for the learning objectives you already have”.
It just comes down to understanding AI does not replace real human interaction, even though it takes on many human-like characteristics.
“We don’t want to get behind the 8-ball with it, we want to stay on the side of understanding the limitations and the positive aspects of how we can use these new technological advancements,” Dr. Donaldson said, “it just has to be utilized and governed in the correct way to make sure that it’s not doing more harm than it is good.
As for Megan Garcia, she is now suing the AI company whose chatbot she says contributed to the death of her son.
Copyright 2025 KWTX. All rights reserved.
AI Insights
Mississippi State University Launches AI Master’s Degree
Starting this fall, Mississippi State University will offer artificial intelligence as a focus at the graduate level. Aiming to prepare students for in-demand jobs, the university’s new master’s degree program builds on recent initiatives to expand AI competency and fill workforce needs locally and nationwide, Andy Perkins, interim head of the Department of Computer Science, said in a recent news release.
With classes available in person and online, the master’s curriculum includes foundational AI and machine learning courses as well as electives covering computing theory, legal and ethical issues and applications in different areas. There is also an optional thesis for students interested in research.
“Our faculty bring a wealth of experience to the program, including specializing in fundamental AI research and applying AI methods in areas such as robotics, cybersecurity, bioinformatics and agriculture,” Perkins said in a public statement.
The master’s program comes alongside a wave of investments in AI education at Mississippi State. In fall 2024, the university launched a bachelor’s degree in AI, focused on machine learning, neural networks and natural language processing. The university also offers a concentration for computer science students to learn about AI without pursuing a degree.
In November 2024, Mississippi State earned a three-year, $1.2 million National Science Foundation grant to teach K-12 students and teachers how to train AI to classify and analyze images, eventually working with 15 teachers and 60 students in an extracurricular program culminating in creating and presenting their own smart device.
“Most AI projects for K-12 students focus on AI concepts, but ours is unique because we want students not just to be consumers of AI but creators of intelligent solutions and contributors of AI fairness,” Yan Sun, a professor heading the program, said in a public statement.
In addition, the university received a $2.2 million grant last month to support AI and machine learning workforce and research initiatives, including new faculty and development of a graduate certificate in data center construction management. Mississippi State was one of seven higher education institutions included in the statewide Mississippi AI Talent Accelerator Program grants.
“We are dedicated to providing practical experience that allows our students to apply AI methods in real-world contexts,” Perkins said in a public statement. “By equipping our graduates with the latest knowledge in AI technology and preparing them for the evolution of this field, we are confident they will emerge as leaders in the industry.”
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