AI Revolution: Investment Opportunities in Promising Technologies

The revolution of Artificial Intelligence (AI) is in full swing, and the enthusiasm in the technology sector seems to know no bounds. Recently, Jensen Huang, CEO of Nvidia, described the demand for his company's latest Blackwell data center chips as downright 'crazy,' highlighting that tech companies are working at full throttle to develop the most advanced AI models. A significant beneficiary of this development could be Datadog, a specialist in cloud monitoring services, whose platform helps companies detect technical issues around the clock. Datadog continuously expands its capabilities through innovative AI products, including the AI assistant Bits AI and a monitoring tool specifically for large language models. By the end of the second quarter of 2024, Datadog had 28,700 business customers, 2,500 of whom were already using its AI services. The company generated $645 million in revenue during this period, with 4% coming specifically from AI – a doubling compared to the previous year. This continuous development could make Datadog a valuable addition for long-term investors. CrowdStrike, a pioneer in AI-driven cybersecurity, is currently on the path to recovery after a faulty software update incapacitated millions of devices. Despite the associated losses, the company remains confident that the majority of contracts will remain in the sales process. CrowdStrike's strength lies in its comprehensive security solution, which protects corporate networks with 28 modules. Thanks to its cloud-based architecture, this solution operates unobtrusively in the background. Particularly noteworthy is the use of AI, which allows CrowdStrike to autonomously detect and respond to threats. The new Charlotte AI assistants significantly reduce the need for human intervention. In the second quarter, CrowdStrike achieved record annual recurring revenue of $3.8 billion. Analysts estimate that investments in cybersecurity will continue to increase in light of growing damages caused by cybercrime. For investors, the current decline in CrowdStrike's stock price, which is 26% below its previous peak, offers an attractive buying opportunity. Such forward-looking investments in Datadog and CrowdStrike promise exciting opportunities for long-term-oriented investors.