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This Artificial Intelligence (AI) Powerhouse Could Be Just Getting Started

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Artificial intelligence (AI) has long drawn the interest of investors. AI has been used in various forms going back to the turn of the century for companies like Google parent Alphabet, and others. The generative AI boom is a much more recent breakthrough, and it is driving considerable investment returns for companies like Nvidia and Palantir Technologies.

The AI-based breakthroughs continue, and that is inspiring gains in other AI-driven tech stocks. Such gains may have just begun for one particular tech stock.

Image source: Getty Images.

A stock positioned to benefit from AI

The stock that is well-positioned to start benefiting from the latest AI changes is Qualcomm (QCOM -0.04%).

Admittedly, Qualcomm does not look much like a winner in AI. It released the Snapdragon 8 Gen 3 in the fall of 2023, empowering users to incorporate AI into their smartphones. Although revenue growth in handset sales eventually returned to double-digit levels, AI has failed to inspire the level of increased sales that Qualcomm experienced when users wanted to upgrade to 5G.

Moreover, after years of failed attempts, Apple appears finally ready to replace Qualcomm’s chips in the iPhone with chips of its own design. Assuming Apple does not reverse course, Qualcomm is set to lose one of its largest customers.

However, it may hearten investors to know that Qualcomm has long prepared for the day when it will depend less on smartphones.

Its Internet-of-Things (IoT) segment has applied its communications abilities to develop end-to-end IoT solutions for applications such as smart homes and industrial automation. Additionally, its communications and AI advances could make it a leader in self-driving through its automotive segment. In the first six months of fiscal 2025 (ended March 30), revenue for the IoT and automotive segments increased at annual rates of 31% and 60%, respectively, significantly outpacing the 12% growth in the handset segment over the same period.

Furthermore, Qualcomm has developed PC chips, making it a competitor to AMD and Intel. In the data center market, it has also partnered with Nvidia to develop custom chips that can support AI workloads within data centers.

Effects on financials

These recent advancements appear to be helping Qualcomm’s top and bottom lines more than its stock. In the first two quarters of fiscal 2025, revenue of nearly $23 billion increased by 17% compared with the same period in fiscal 2024. During the same period last year, revenue had risen by only 3% annually.

In the first six months of the year, Qualcomm kept a lid on operating expense growth. Still, with lower investment income and rising income tax expenses, its $6 billion in net income grew by 18% yearly.

Nonetheless, such improvements have not swayed investors. Over the last 12 months, Qualcomm stock dropped by almost 20%, though it is up 27% from the lows it reached in April.

Additionally, the stock sells at a 16 P/E ratio. Although that is not much lower than the average P/E ratio of 20 over the last five years, the earnings multiple suggests a lack of investor optimism about Qualcomm stock. And yet, this reasonable valuation could inspire a bull market in Qualcomm stock. Assuming its non-handset segments continue to grow at a rapid rate, it could start Qualcomm stock on a long-term growth trend.

The growth prospects of Qualcomm stock

Considering the state of Qualcomm’s business and stock, it has real potential to begin a long-term growth trend. Admittedly, a lackluster AI growth cycle and the likelihood of losing Apple as a customer have soured some investors on Qualcomm. However, the company has returned to revenue and earnings growth, and its burgeoning IoT and automotive segments deserve significant credit for this surge.

Ultimately, such improvements should not lead to a falling stock price and a rock-bottom valuation. Once Qualcomm’s role in AI becomes clearer, such conditions could inspire the beginning of a long-term uptrend in Qualcomm stock.

Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool’s board of directors. Will Healy has positions in Advanced Micro Devices, Intel, and Qualcomm. The Motley Fool has positions in and recommends Advanced Micro Devices, Alphabet, Apple, Intel, Nvidia, Palantir Technologies, and Qualcomm. The Motley Fool recommends the following options: short August 2025 $24 calls on Intel. The Motley Fool has a disclosure policy.



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Google invests £5 billion in AI, research, training and data center in the UK

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Google plans to invest 5 billion pounds (about 6.78 billion US dollars) in AI infrastructure and other projects in the UK over the next two years, according to the Wall Street Journal.

The company says the funds will also support energy supply, research, engineering, and workforce training. At the same time, Google has opened a new data center north of London to meet the growing demand for services like Cloud, Maps, Workspace, and Search.

Other US tech giants are also ramping up their investments across Europe. Oracle has announced 3 billion dollars for projects in Germany and the Netherlands, Microsoft is putting 4.75 billion dollars into Italy, and Amazon is making multi-billion dollar investments in cloud and logistics centers in Germany and Spain. OpenAI is moving ahead with a major European project as well, called “Stargate Norway.”



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New WalkMe offering embeds training directly into apps – Computerworld

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Now, said Bickley, “imagine today’s alternative: a system that sees you perform a task correctly the first time, learns from it, and memorializes those sequenced steps, mouse clicks, and keystrokes, such that when the employee gets stuck, the system can pull them through to task completion. With many end users accessing dozens or hundreds of system transactions as part of their job, this functionality is invaluable — a real efficiency driver, and also a means to reduce risk via the built-in guardrails and guidance ensuring accurate data is entered into the system.”

He said, “WalkMe tracks users’ usage of their systems — where they stop, what they do, and where they run into problems. This existing baseline of ‘user context’ is a natural jumping-off point for an AI-assisted evolution of the product. The Visual No Code Editor is where the employee guidance flows are built, and the no-code, visual point and click nature of this tool enables business teams to build the training tools and not be dependent on developers.”

‘I see this as much more than Clippy for SAP’

“[The ability] to build highly granular workflows that can discern across user group segments (for example, role, device type, geography, behavior), coupled with already existing automation for things like auto-completion of form fields as an example, provides a meaningful nudge when an employee gets stuck on a process step,” said Bickley.



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Notre Dame to host summit on AI, faith and human flourishing, introducing new DELTA framework | News | Notre Dame News

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Artificial intelligence is advancing at a breakneck pace, as governments and industries commit resources to its development at a scale not seen since the Space Race. These technologies have the potential to disrupt every aspect of life, including education, the economy, labor and human relationships.

“As a leading global Catholic research university, Notre Dame is uniquely positioned to help the world confront and understand AI’s benefits and risks to human flourishing,” said John T. McGreevy, the Charles and Jill Fischer Provost. “Technology ethics is a key priority for Notre Dame, and we are fully committed to bringing the wisdom of the global Church to bear on this critical theme.”

In support of this work, the Institute for Ethics and the Common Good and the Notre Dame Ethics Initiative will host the Notre Dame Summit on AI, Faith and Human Flourishing on the University’s campus from Monday, Sept. 22 through Thursday, Sept. 25. This event will draw together a dynamic, ecumenical group of educators, faith leaders, technologists, journalists, policymakers and young people who believe in the enduring relevance of Christian ethical thought in a world of powerful AI.

“As artificial intelligence becomes more powerful, the ‘ethical floor’ of safety, privacy and transparency is simply not enough,” said Meghan Sullivan, the Wilsey Family College Professor of Philosophy and the director of the Institute for Ethics and the Common Good and the Notre Dame Ethics Initiative. “This moment in time demands a response rooted in the Christian tradition — a richer, more holistic perspective that recognizes the nature of the human person as a spiritual, emotional, moral and physical being.”

Sullivan noted that a unified, faith-based response to AI is a priority of newly elected Pope Leo XIV, who has spoken publicly about the new challenges to human dignity, justice and labor posed by these technologies.

The summit will begin at 5:15 p.m. Monday with an opening Mass at the University’s Basilica of the Sacred Heart. His Eminence Cardinal Christophe Pierre, Apostolic Nuncio to the United States, will serve as primary celebrant and homilist with University President Rev. Robert A. Dowd, C.S.C., as concelebrant. All members of the campus community are invited to attend this opening Mass.

Summit speakers include Andy Crouch, Praxis; Alex Hartemink, Duke University; Molly Kinder, Brookings Institution; Andrew Schuman, Veritas Forum; Anne Snyder, Comment Magazine and Elizabeth Dias, The New York Times. Over the course of the summit, attendees will take part in use case workshops, panels and community of practice sessions focused on public engagement, ministry and education. Executives from Google, Microsoft, Apple and many other organizations are among the 200 invited guests who will attend.

At the summit, Notre Dame will launch DELTA, a new framework for guiding conversations about AI. DELTA — an acronym that stands for Dignity, Embodiment, Love, Transcendence and Agency — will serve as a practical resource across sectors that are experiencing disruption from AI, including homes, schools, churches and workplaces, while also providing a platform for credible, principled voices to promote moral clarity and human dignity in the face of advancing technology.

“Our goal is for DELTA to become a common lens through which to engage AI — a language that reflects the depth of the Christian tradition while remaining accessible to people of all faiths,” Sullivan said. “By bringing together this remarkable group of leaders here at Notre Dame, we’re launching a community that will work passionately to create — as the Vatican puts it — ‘a growth in human responsibility, values and conscience that is proportionate to the advances posed by technology.’”

Although the summit sessions are by invitation only, Sullivan’s keynote on DELTA will be livestreamed. Those interested are invited to view the livestream and learn more about DELTA at https://ethics.nd.edu/summit-livestream at 8:30 a.m. EST on Tuesday, Sept. 23.

The Notre Dame Summit on AI, Faith and Human Flourishing is supported with a grant provided by Lilly Endowment Inc.

Lilly Endowment Inc. is a private foundation created in 1937 by J.K. Lilly Sr. and his sons Eli and J.K. Jr. through gifts of stock in their pharmaceutical business, Eli Lilly and Company. While those gifts remain the financial bedrock of the Endowment, it is a separate entity from the company, with a distinct governing board, staff and location. In keeping with the founders’ wishes, the Endowment supports the causes of community development, education and religion and maintains a special commitment to its hometown, Indianapolis, and home state, Indiana. A principal aim of the Endowment’s religion grantmaking is to deepen and enrich the lives of Christians in the United States, primarily by seeking out and supporting efforts that enhance the vitality of congregations and strengthen the pastoral and lay leadership of Christian communities. The Endowment also seeks to improve public understanding of religious traditions in the United States and across the globe.

Contact: Carrie Gates, associate director of media relations, 574-993-9220, c.gates@nd.edu



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