The Opportunities and Profits in the “Great Liberation” of 2023

By , Money Morning •

We are at the dawn of a revolution.

One that will reshape our world for decades to come.

The fear mongers see it as a threat to the Average Joe. They pound their fists that the livelihoods and future of the working man are in jeopardy.

But what those people don’t see is that we’re at the cusp of the “Great Liberation.” And not just of the American worker… but workers around the globe.

This revolution is creating opportunities for Davids to go toe-to-toe with Goliaths and carve out their own piece of the pie. And do it for pennies on the dollar.

The changes about to take place aren’t ones to fear… They’re to be embraced (if you haven’t already)...

Every Day AI is Hustlin’… for Me

“I choose a lazy person to do a hard job. Because a lazy person will find an easy way to do it.”

-Bill Gates

I wouldn’t describe myself as lazy, but I am a firm believer in working smarter, not harder.

My time is valuable to me, and I can’t stand to have it wasted.

So, every day, I use artificial intelligence (AI).

And my life has been vastly improved by it.

I reap the benefits as my productivity and output increase. Yet, I don’t have to break my back logging extra hours.

Now, I don’t use AI to pick stocks for me… though you can.

I don’t use AI to write… which you can do that as well through several different platforms.

And AI doesn’t do heavy lifting in my life.

But what it does is manage and help with a lot of smaller tasks. You see, when humans and AI work together, we can accomplish in seconds items that might take an hour or more on our own.

That frees me to focus my attention on more important issues.

Every small task I can outsource to AI, I do.

But here’s the thing… I’m not the only one.

Our Robot Friends

In one of the weekly gatherings I attend with legal professionals, vice presidents of multi-billion-dollar publicly-traded global conglomerates, software engineers, architectural engineers, cybersecurity experts, and creative directors for major marketing firms, AI is a standard topic of conversation.

We share what we learned that week. And we share what software we’re implementing into our businesses and endeavors.

Almost all of them use AI daily.

And those who aren’t feel left behind.

Well, there’s a good reason for that…

Data from GitHub shows that software engineers who use the company’s AI coding assistant, Copilot, need 55% less time to complete a task. That’s millions of developers boosting their productivity.

And by 2030, estimates are that AI coding assistants, like GitHub’s Copilot, will increase the output of software engineers by 10-fold.

Do you remember what it was like before computers? Before the internet?

That’s how vast of a difference we’ll see in productivity over the next decade.

On the creative side, all of us who attend the weekly gathering agree that freelance artists and graphic designers face the greatest threat from AI.

The costs and ease of use are unparalleled.

For instance, Cathie Wood’s Ark Invest found that generative AI can create a design in less than a minute for a cost of roughly $0.08. In comparison, a human designer sets you back $150 and requires five hours to produce the same design.

Now, how is this a revolution for the little guy and not an existential crisis?

These are merely the tip of the iceberg.

When most people hear AI, they tend to think of ChatGPT, Midjourney, maybe even DALL-E or Jasper.

What they don’t think of are platforms like:

And there are dozens more to build websites, create product photos, videos, graphics, write blog and market copy, and even mark and record key moments during important conference calls.

These tools enable any company with a small staff to be competitive and productive.

Heck, even if you’re a one-man operation, there’s a rolodex of AI that you can turn to. A “side hustle” can evolve into a profitable company with the help of an army of AI assistants.

So, this is not the end of the American worker… it’s their liberation.

Work smarter, not harder.

But here’s the deal, the Goliaths are getting their share too. And here, you can profit as well…

Merger Mania

In June, Accenture (ACN) announced it was investing $3 billion in AI. And is doubling its AI-focused staff to 80,000.

Microsoft (MSFT) has plowed $10 billion into OpenAI, the creator of ChatGPT. And Microsoft uses DALL-E with its Bing Image Generator.

There are hundreds of billions of dollars ready to be put to work by deep-pocketed giants. And it’s rapidly triggering an arms race.

Veteran investors know that biotech is an exciting sector to invest in. A breakthrough can lead to a massive windfall or a buyout from a larger player.

For many years, pharmaceutical mergers & acquisitions (M&A) far outpaced that of software.

But times have changed…

Since the middle of 2017, software deals have skyrocketed.

And by 2021, M&A activity here dwarfed that taking place in pharma and biotech.

Now, even though the mergers cooled in 2022 and 2023, software is still way out in front by a wide margin. And we could witness an uptick here… all thanks to AI.

You see, cloud-computing companies are the primary distribution network for AI. AI is software. I’m talking about the likes of Alphabet (GOOGL), Amazon (AMZN), Microsoft, and Oracle (ORCL).

Well, today a small group of coders can build a powerful AI system. But that doesn’t mean they have the infrastructure or sales force to scale… You still need people for many of those things.

Cloud computing companies do though.

And integrating an AI service into their already existing platforms adds value and pricing power. So, expect software M&As to maintain their edge, particularly once rates peak and then fall.

This year, Silver Lake plunked down $12.5 billion for Qualtrics…

IBM (IBM) forked over $4.6 billion for Apptio.

These are the two largest software acquisitions year-to-date. But there are more to come.

We are at the dawn of the AI revolution… the earliest of stages.

Many people see fear. What they’re overlooking are the opportunities and the “Great Liberation” about to unfold.

Remember, the market gains in 2023 have been powered by the potential of AI on the horizon… not what’s already underway. This is a $15.7-trillion technological breakthrough. And you don’t want to be left behind as a businessperson or an investor for failing to embrace it.

Fortunately, Shah Gilani has uncovered a small sector poised to make it big in the next wave of AI innovations. And it’s a presentation you can’t afford to miss.

Here’s to high returns,

Matthew