2 underappreciated areas are powering CrowdStrike’s next growth wave and its stock
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adminCrowdStrike is setting the standard for modern cybersecurity and enjoying a well-deserved, incredible year for its stock. It’s a leader in a competitive industry, with rivals, such as fellow Club name Palo Alto Networks , all vying for companies’ ever-expanding cyber budgets. Despite strong earnings Wednesday evening, Palo Alto shares dropped sharply in Thursday’s big market reversal. Nvidia ‘s post-earnings rally fizzled and took Wall Street down with it. Even CrowdStrike, which had been up strongly earlier in the session, turned lower. For the year as a whole, however, CrowdStrike has been a market standout as the company expands artificial intelligence-powered solutions to protect against cyberattacks. Including Thursday’s decline, shares were still up more than 45% in 2025. Many analysts see significant upside ahead for CrowdStrike, with 65% of them calling the stock a buy at an average price target of $534. The stock closed Wednesday at $520. One of those analysts is Dan Ives, global head of technology research at Wedbush. He told CNBC that his bullish view on CrowdStrike is supported by two underpenetrated areas: securing the AI ecosystem and securing the cloud. “Investors are not seeing the tidal wave of demand that’s about to come to CrowdStrike,” Ives said in an interview, arguing Wall Street is “underappreciating” what he calls the second and third derivatives of the AI revolution. “I don’t believe there’s any AI premium built into the stock.” “The AI strategy of CrowdStrike could ultimately result in a stock that’s 40% to 50% higher in the next 12 to 18 months,” said Ives, whose bull-case CrowdStrike price target of $700 per share reflects much of that upside. Ives raised his base-case PT to $600 from $525 earlier this month. That implies a more modest 15% premium to Wednesday’s close, which was not too far off last week’s record highs. CRWD 5Y mountain CrowdSrike 5 years CrowdStrike CEO George Kurtz is betting the next big wave of cybersecurity demand will come from what he called the “agentic revolution,” during the company’s latest post-earnings conference call on Aug. 27. As AI agents proliferate across businesses, he said companies will need new layers of protection to secure how those agents interact with sensitive data. In mid-September, at CrowdStrike’s Fal.Con industry conference, Kurtz described the rise of agentic AI as a “greater than 100x opportunity for CrowdStrike,” compared to the company’s early market opportunities in cloud and endpoint security. The CEO estimated that a 10,000-person company could have 1 million AI agents that would require protection, which creates a massive new addressable market for cybersecurity. Agentic AI is a type of system that can complete tasks without human supervision. It’s great for businesses because these virtual agents can be deployed en masse for much less than regular workers. But it also exposes businesses to a greater risk of cyberattacks because each of those AI agents is a point of vulnerability that hackers can exploit. To be sure, CrowdStrike’s AI ambitions are still in the early innings. Kingsly Crane, an analyst at Canaccord Genuity, told CNBC that adoption will take time. Newer agentic AI “could be a force multiplier for productivity,” but he thinks “it will take time before agents are widely adopted,” he wrote in a Sept. 19 note, following his attendance at Fal.Con. During the conference, CrowdStrike management after-the-bell on Sept. 17 unveiled bullish near-term and long-term growth targets , which sent the stock soaring nearly 13% the next day to over $502. It’s been good to see shares build on those gains. At the time, CrowdStrike said it expected fiscal 2027 net new annual recurring revenue (ARR) growth of more than 20% year over year. ARR is a key metric for judging cyber companies. Management estimated reaching $10 billion in ARR by fiscal 2031, and then doubling that to $20 billion by fiscal 2036, driven by expanding demand for agentic AI security along with next-generation identity and analytics tools and cloud protection. Turning to the cloud, Canaccord’s Crane said it is the “fastest-growing part of the business” at CrowdStrike, noting cloud revenue climbed 35% year-over-year last quarter, with total cloud ending ARR exceeding $700 million. While CrowdStrike already commands roughly 20% to 30% of market share in cloud protection, Crane said the overall opportunity is huge. “Cloud security has the most potential, unrealized upside within CrowdStrike,” he said, estimating the current market size in the range of $17 billion to $20 billion and growing rapidly as more and more workloads move online. That opportunity builds on the foundation of CrowdStrike’s Falcon platform, the core of its business model. The company started out as an endpoint security provider, installing a lightweight agent on devices like personal computers to collect data on potential threats. That data is fed into the cloud, forming CrowdStrike’s powerful engine for detecting attacks. Over time, the company used this infrastructure to expand beyond endpoint security by adding modules like cloud, identity, and data security that customers can easily layer on according to their needs. It’s a model that turned Falcon into one of the most scalable cyber platforms in the market. Wedbush’s Ives estimates only about 45% of enterprise workloads are currently in the cloud. “The best is yet to come,” he said, calling CrowdStrike the “hearts and lungs of the cloud buildout.” As businesses continue to expand their cloud footprint, Ives sees CrowdStrike as a core player powering and protecting that growth. The current bullishness around CrowdStrike is a far cry from last summer’s IT outage, when the company distributed a faulty update to its Falcon security software that caused problems with Microsoft Windows computers running the software. The outage ended up being one of the world’s biggest IT blackouts, impacting industries from banking to airlines. While CrowdStrike has more than recovered from that moment, Ives believes the stock is not getting the respect it deserves. “Investors have been obsessed with trying to find cracks in the armor ever since the black eye last July,” he said. However, Ives pointed out, as Jim Cramer has repeatedly as well, that CrowdStrike never lost a single customer. “Growth is accelerating and they’re about to go into what could be the most important chapter of growth over,” the Wedbush analyst added. He calls CrowdStrike CEO Kurtz’s leadership “a hall of fame performance,” and describes the stock as “a table-pounder in cybersecurity.” Even as CrowdStrike has distinguished itself as a leader in cybersecurity, Ives sees plenty of strength among its peers as the industry moves towards platformization — the idea of cyber companies aiming to be one-stop shops for all of their clients’ security needs. PANW 5Y mountain Palo Alto Networks 5 years That’s where Club holding Palo Alto Networks comes in. Ives has a $225 price target on Palo Alto and a buy-equivalent outperform rating. He credits Palo Alto CEO Nikesh Arora for steering the company successfully into this new era, calling its planned acquisition of identity security company CyberArk the “deal of the decade in cybersecurity.” Shares of Palo Alto have not enjoyed the kind of rally that CrowdStrike has seen, with just single-digit percentage gains year to date. The stock has been trying to recover since it was crushed by investor discontent over the CyberArk deal. Alongside earnings on Wednesday evening, the company announced plans to buy cloud observability platform Chronosphere for $3.35 billion. On Thursday, Palo Alto stock was getting no relief, the day after the company reported better-than-expected fiscal 2026 first quarter earnings and revenue, and then boosted its full-year outlook. We have seen this trading pattern many times before, with the stock down right after earnings only to recover quickly. That’s why we reiterated our buy-equivalent 1 rating on Palo Alto and our $225 price target. Shares might also be down, as portfolio director Jeff Marks wrote in his earnings analysis , because the market may not like that Palo Alto announced a new multibillion-dollar deal, “while it’s already working to close the CyberArk deal, which is the largest in the company’s history.” Marks added, though, that “Arora is a dealmaker with a strong track record of successfully integrating new products into the broader platform — it’s one of the reasons we’re invested in the stock — so we’re not too worried about execution risk.” “We’ve just gone and planted a flag in two new categories called identity and observability,” Arora said on “Mad Money” on Wednesday night. Looking ahead, Ives sees cybersecurity as “one of the strongest subsectors within all of tech over the next year,” thanks to a powerful wave of AI-driven demand that is reshaping how companies aim to protect their digital infrastructure. It is a sentiment that Jim has espoused over the past year as the Club has chosen to own both Palo Alto and CrowdStrike, which is set to report its latest earnings after the closing bell on Dec. 2. (Jim Cramer’s Charitable Trust is long CRWD, PANW. See here for a full list of the stocks.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust’s portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.
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Technology
AI Christmas: The latest devices from Amazon, Meta, Google and more
Published
11 hours agoon
November 22, 2025By
admin

Three years since the arrival of OpenAI‘s ChatGPT, more devices featuring generative AI technology have hit the market in time for the 2025 holiday shopping season, with many offering deals for Black Friday.
Shoppers can pick from more advanced smart glasses, smart speakers with genAI and a pendant AI friend that acts as a confidant.
These latest gizmos come from megacaps like Amazon, Alphabet and Meta and smaller players like Friend and Plaud.
Despite the arrival of this new wave of products, reviews for many of the devices are mixed, and nothing has separated itself as a clear leader of the pack.
That’s in part because much of the spending on artificial intelligence has been focused on other things.
Since ChatGPT was released in late 2022, the bulk of the tech industry has reoriented itself to prioritize building out large language models in a race to reach artificial general intelligence, or AI with the capabilities that are on par with, or surpass, humans.
Thus far, much of the development in Silicon Valley has focused on AI apps, including chatbots like Anthropic’s Claude, image generators like Google’s Nano Banana or feeds for AI-generated short-form videos like OpenAI’s Sora. All things people can access on their existing smartphones without a spiffy new gadget.
But the world of AI hardware is growing fast.
If you’re in the market for the latest AI devices, here’s what’s available to snag this holiday season.
Daniel Rausch, vice president of Alexa and Echo, announces the Echo Studio and Echo Dot Max during an Amazon event showcasing new products in New York City, U.S., September 30, 2025.
Kylie Cooper | Reuters
Alexa+ Echo speakers
Amazon wants to make sure its Alexa voice assistant and Echo smart speakers don’t get left behind in the era of genAI.
The company unveiled Alexa+ in February, promising a smarter, more conversational and personalized version of its 11-year-old digital assistant. In September, it followed up with a new set of Echo speakers and displays, which are the first devices to come with Alexa+ out of the box.
The lineup includes a $100 Echo Dot Max, $180 Echo Show, $220 Echo Studio and $220 Echo Show 11.
The Echo Dot Max is an entry-level, all-purpose smart speaker, while the Echo Studio is larger, pricier and offers better sound quality. The main difference between Amazon’s smart displays, the Echo Show 8 and Echo Show 11, is the touchscreen size.
All of the devices have improved sensors, speakers and microphones.
Amazon is offering 11% off the cost of the Echo Show 11 and 10% off the Echo Dot Max as part of its Black Friday promotions.
With the upgrades, Amazon is aiming to have users engage more often with the devices than their predecessors. Consumers frequently complained that Alexa had grown outdated while the Echo devices offered little utility beyond setting timers, spouting weather forecasts, playing music and controlling smart home accessories, like turning lights on and off.
Amazon’s recent Alexa ad tries to paint a different picture.
Comedian Pete Davidson strolls through his kitchen when an Alexa-equipped Echo Show announces, unprompted, that the “Coffee’s on, and your Uber is on its way.” Davidson then casually banters back and forth with Alexa about his preferred nickname.
The interaction is meant to showcase a few of Alexa+’s biggest selling points — users don’t have to repeat a so-called “wake word” after every command, allowing the conversation to flow more naturally.
The devices can also now connect to external services to take actions on users’ behalf. As of now, Alexa+ can book an Uber or OpenTable reservation, generate a song via Suno, plan a trip through Fodor’s, schedule a repairman visit and purchase concert tickets through Ticketmaster. Amazon has said it expects to add more capabilities soon.
Alexa+ isn’t yet available to the general public. Consumers have to wait to receive Early Access or purchase a new Echo model to use it.
Amazon is offering Alexa+ for free to users with Early Access, but at some point, the company will begin charging non-Prime members $19.99 a month for the service.
The company is also making moves in wearables.
Amazon in July announced plans to acquire AI company Bee for an undisclosed amount, indicating that it could have more hardware infused with the technology in the works. Bee is known for its $50 wristband that uses AI and microphones to listen to and analyze conversations, then provide to-do lists, summaries and reminders for everyday tasks.
— Annie Palmer
A person holds Google Pixel 10, Pixel 10 Pro and Pixel 10 Pro Fold mobile phones during the ‘Made by Google’ event, organised to introduce the latest additions to Google’s Pixel portfolio of devices, in Brooklyn, New York, U.S., August 20, 2025.
Brendan McDermid | Reuters
Google’s AI-powered Pixel 10 series
Although the Gemini-powered Google Home Speaker won’t roll out until the spring, Alphabet did deliver some generative AI tech this year.
Launched in August, the Pixel 10 smartphones thoroughly integrate Google’s AI into several features, such as live translation, text-based photo editing and the built-in Gemini assistant.
The baseline Pixel 10 starts at $799, while the Pro lineup includes the $999 Pixel 10 Pro, the $1,199 Pixel Pro XL and the $1,799 Pixel 10 Pro Fold. The Pro line offers a higher quality camera and display, as well as additional video features.
Among the AI products is “Magic Cue,” which connects data across different apps to surface relevant information and suggest helpful actions. For example, if a user receives a message asking about a dinner reservation’s location, Magic Cue can find the answer from the calendar app.
For snapping pictures, Google provides an AI “Camera Coach,” which scans the scene of a photo and offers recommendations about framing, lighting and other techniques to improve the image.
The Pixel 10 Pro phones come with a one-year subscription to Google’s “AI Pro” plan, which typically costs $19 per month and offers multiple AI tools, including writing assistant NotebookLM and video generator Veo 3.
All the Pixel 10 models are currently on sale for $200 to $300 off until Dec. 6, except for the Pixel 10 Pro Fold, which has a $300 markdown until Dec. 2, the company said.
— Jaures Yip
The Meta Ray-Ban Display AI glasses at Meta headquarters in Menlo Park, California, US, on Tuesday, Sept. 16, 2025.
David Paul Morris | Bloomberg | Getty Images
Meta’s AI-infused Ray-Ban smart glasses
Meta’s partnership with eyewear giant EssilorLuxottica, originally inked in 2019, has spawned a surprise hit in the Ray-Ban Meta smart glasses that both companies are keen to boast about.
With the Meta AI digital assistant, users can command the camera-equipped glasses to take photos, play tunes and to answer questions about nearby landmarks.
In September, the two companies debuted the latest version of the glasses, dubbed Ray-Ban Meta (Gen 2).
The new model has double the battery life of its predecessor and an improved camera. It costs $379, which is $80 than the prior version.
Meta and Luxottica this year also launched two smart glasses aimed at athletes under the Oakley brand.
The $399 Oakley Meta HSTN glasses are pitched toward casual athletes who want to take photos while playing sports like golf, while the $499 Oakley Meta Vanguard smart glasses are geared toward the action-sports crowd, like skiers.
The Vanguard glasses feature a flashier wraparound design and two buttons on the frames’ underside that lets helmet-wearing athletes easily take photos and videos and perform other actions.
For those willing to spend big money and test new technology, Meta and Luxottica also rolled out the $799 Meta Ray-Ban Display glasses in September.
They are the first glasses Meta sells to the public that include a display, albeit a small one, in just one of the lenses. The display is intended to show users small bits of information, like navigation directions. The glasses also include a wristband that utilizes neural technology so users can command the device with gestures like rotating one’s fingers to adjust volume.
Buying the $799 glasses, though, is not easy.
Meta requires that people sign-up for in-person demos at stores like Best Buy and LensCrafters before buying the product, and the company warns that “availability varies by store, so you may not be able to purchase a pair immediately after your demo.”
Early reviews for the display glasses have been mixed.
Some reviewers have praised the device’s color display, camera and innovative wristband. Still, others have criticized its high price and have said its lack of apps limit functionality.
Meta is currently offering a few Black Friday and Cyber Monday deals for some of its various AI-powered smart glasses that will last until Dec. 1.
People can save 20% on all versions of the Ray-Ban Meta (Gen 1) at Best Buy, Target, Amazon and also at Meta’s website and the Ray-Ban website and stores. Meta is also offering 20% off the cost of prescription lenses for people who buy the Ray-Ban Meta (Gen 2) and Oakley Meta HSTN glasses from its website.
— Jonathan Vanian
Friend AI Pendant
Source: Friend
The AI friend you wear around as a pendant
Most AI chatbots want to make the user more productive. The makers of this smart pendant want AI to be your friend.
Users wear Friend, as the product is aptly called, around their necks while the $129 device listens to the conversations happening around it.
Friend’s chatbot is powered by Google Gemini, and it offers commentary on the user’s conversation and life. Those comments appear as notifications through the device’s corresponding smartphone app.
For example, when one reviewer played a new Taylor Swift song for her AI friend, the device commented through a notification that it didn’t “think it’s bad at all” and “pretty typical for pop.”
The device is at the center of the societal debate about the rise of AI.
Friend plastered a subway station in New York this fall with ads that suggested that the pendant was better than a real friend, promising that it “will never bail on our dinner plans.”
The posters were immediately defaced with messages like “AI wouldn’t care if you lived or died.”
Those wanting to experience what it’s like to wear around an AI friend should place orders swiftly.
The company’s website currently says units will be shipping “Winter 2025/26,” but Friend founder Avi Schiffmann told CNBC that devices ordered early enough will ship before Christmas.
— Kif Leswing
Plaud Note
Source: Plaud
Plaud, the AI recorder
The Plaud Note looks more like a credit card than a voice recorder, but it’s an ideal purchase for any note taker who wants to capture meetings, lectures or any dictation.
With over 30 hours of recording time and battery that last 60 days on standby, the slim device can produce transcriptions in 112 languages. The transcriptions include tags for each speaker on the audio.
The recorder’s companion app is powered by OpenAI’s GPT-5, Anthropic’s Claude Sonnet 4 and Google’s Gemini 2.5 Pro. The app uses those AI models to generate detailed summaries and notes. Users can select from over 3,000 summary templates, such as phone Q&As or seminar notes.
The Plaud App’s basic plan offers 300 minutes of transcription per month, though users can upgrade to a pro plan for 1,200 minutes for $8.33 per month or a more expensive unlimited plan for $19.99 per month.
The recorder can easily be attached to phones with MagSafe magnets, meaning all Apple smartphones since the iPhone 12 series, or phone cases with similar magnets.
The company also offers the Plaud NotePin, a smaller, pill-shaped version of the recorder that can be worn as a magnetic pin, clip, wristband or necklace.
Typically priced at $159, both devices are currently on sale for 20% off during Black Friday and Cyber Monday, with another 15% markdown set for Christmas, the company said.
— Jaures Yip
WATCH: Google releases Gemini 3.0 model, closes gap on ChatGPT

Technology
New IRS reporting requirements will make a classic crypto ‘tax cheat’ risky starting with 2025 return
Published
12 hours agoon
November 22, 2025By
admin
With year-end approaching, it’s a good time to make sure your tax house is in order. It’s especially important for crypto investors, given a new IRS brokerage reporting requirement covering transactions after Jan. 1, 2025.
The IRS generally treats crypto like property, similar to stocks or real estate, so selling crypto can trigger a capital gain or loss. And while crypto investors should have been keeping good records all along, the new reporting requirement gives them an even more compelling reason. That’s because brokerages now have to send what’s known as a Form 1099-DA. For tax year 2025, they’re required to report gross proceeds for each digital asset sale the broker processes. In 2026 and beyond, it’s mandatory for brokers to report gross proceeds and cost basis information for covered securities.
Because brokers haven’t had to issue 1099s for selling or exchanging crypto in the past, it was easier for people to act as tax cheats, said Ric Edelman, financial advisor, author and founder of the Digital Assets Council of Financial Professionals. “Many people mistakenly believe that there’s no reporting obligation,” Edelman said.
As crypto investors do their tax planning for a year which saw bitcoin rise to new heights, but more recently endure a huge selloff that has shaved over $40,000 off its record price, it’s important to understand the new, stricter recordkeeping requirements.
Let’s say you bought ethereum for $1,500 and paid a $50 transaction fee, your cost basis would be $1,550, according to an example provided by Coinbase. “Essentially, your gain or loss is the difference between the gross proceeds and the cost basis. If you sold that 1 ETH for $2,000, your taxable gain would be $450 ($2,000 – $1,550).”
Get your crypto recordkeeping in order now
Brokers are required to report the cost basis information for tax year 2026, and if you haven’t been keeping good records thus far, you’re going to have to start. “It’s a taxpayer’s responsibility to track and substantiate whatever cost basis they’re providing,” said Daniel Hauffe, senior manager for tax policy and advocacy at The American Institute of Certified Public Accountants.
For many crypto investors, this will be complicated, especially if they transferred their tokens to a broker after holding them elsewhere and haven’t kept careful records. In that case, the broker won’t have the amount you purchased the crypto for; the broker would only know the price when you transferred it, Hauffe said.
Ideally, taxpayers should try to iron out these issues now, before brokers are required to report the basis, and that may require speaking to a qualified tax professional.
Crypto investors who have been keeping track of their holdings haphazardly in the past should also consider hiring a tax crypto recordkeeping provider. There are a number of these services, including ProfitStance, Taxbit, TokenTax and ZenLedger.
Edelman said it’s best to use a recordkeeping provider because of the complexities involved. “If you try to do this manually, it is complicated and you’re likely to make errors,” he said.
Crypto staking, and staking ETFs, to be a major tax focus
While the IRS issued core guidance about the tax treatment of cryptocurrency more than a decade ago, the market has changed significantly since then, underscoring the need for updated guidance in several areas.
In 2024, the IRS, in Notice 2024-57, said it was continuing to study different types of crypto transactions to determine appropriate taxation. This has left many taxpayers in limbo and scratching their heads on how to report certain types of transactions. While the IRS has said it won’t impose penalties for limited types of transactions while the regulations are being ironed out, taxpayers still have to keep careful records so they can appropriately account for them.
One area in which cryptocurrency investors are awaiting direction is staking transactions. Guidance on this and other types of more complicated crypto transactions are expected next year, Edelman said. Some advocates say taxes should only be applicable at the time these rewards are spent, sold, or otherwise disposed of. Thus far, however, the IRS has said that these rewards should be taxed as income upon receipt, Hauffe said.
Additional guidance in staking specifically could be especially important now that the IRS has confirmed exchange-traded funds issuers can provide staking rewards, said Zach Pandl, head of research at Grayscale, a digital asset-focused investment platform. The availability of cryptocurrency within ETFs has widened the playing field for ordinary investors to gain some exposure to the asset class, and the latest guidance suggests more investors will face tax consequences from staking rewards. “Staking rewards are increasingly common for investors because they’ve now been activated in ETFs,” Pandl said.
Bitcoin’s big drop could be a tax-loss advantage
For some crypto investors, there may be an opportunity in the next month or so for tax-loss harvesting, which involves selling investments at a loss and using those losses to offset gains in other investments, Pandl said.
Bitcoin’s struggles since its record highs in October could present an opportunity for investors to benefit from a tax perspective, depending on when they bought the crypto. Some investors could also benefit from tax-gain harvesting, a strategy that involves selling the investment when you think it’ll have the least impact on your taxes.
“This is the time to be thinking about that and planning for it,” said Stuart Alderoty, president of the National Cryptocurrency Association, a non-profit focused on crypto education. “You can harvest gains and you can harvest losses as well,” he said.
Many accountants don’t understand digital assets
Taxation depends largely on a person’s tax bracket and whether they are short-term or long-term gains. For example, if you’ve held the crypto for more than a year, profits are subject to long-term capital gains rates of 0%, 15% or 20%. If the crypto was held for less than a year, ordinary tax rates between 10% to 37% apply.
Due to the complexity and unique nature of crypto, determining taxation is complicated by other factors, especially since IRS rules about crypto are in flux. As one example, it is important to make sure to report the crypto transaction on the right form. For example, if you sold, exchanged or otherwise disposed of a digital asset you held as a capital asset, use Form 8949. If you were paid as an employee or independent contractor with digital assets, report the digital asset income on Form 1040, U.S. Individual Income Tax Return.
On top of that, many crypto owners are confused about the federal income tax question pertaining to digital assets. On the first page, near the top, they’re asked to identify whether at any time during the tax year, they either received (as a reward, award or payment for property or services) or sold, exchanged or otherwise disposed of a digital asset.
Many people think “received” means buy, but it doesn’t, Edelman said. Rather, the IRS says it refers to digital assets received for payment for property or services provided, a reward or award, mining, staking and similar activities or an airdrop as it relates to a hard fork.
For these and other issues regarding crypto taxation, make sure you’re talking to a tax advisor who is knowledgeable about crypto. “Most accountants are not because they haven’t had any training in this area,” Edelman said.
Technology
This week in AI: Brushing off new bubble warnings, Google’s AI comeback and Nvidia’s China threat
Published
13 hours agoon
November 22, 2025By
admin
This week, volatility took hold of the AI trade as bubble fears continued to rise and Nvidia‘s blowout earnings failed to steady the market.
“Unless you’re the most optimistic person on the planet … you know you’re in a bubble, right?” Dan Niles, founder of Niles Investment Management, told CNBC’s Deirdre Bosa. “There is no question you’re in a bubble.”
Industry insiders raise AI bubble alarms
Industry insiders are also beginning to raise the alarm, with Alphabet CEO Sundar Pichai warning of an overrun.
“Given the potential of this technology, the excitement is very rational. It’s also true when we go through these investment cycles, there are moments we overshoot collectively as an industry,” Pichai told the BBC. “I think it’s both rational and there are elements of irrationality through moments like this.”
At a recent internal all-hands meeting, Pichai reiterated a point he’s made previously about the risks of Google not investing aggressively enough, CNBC reported Friday.
“I think it’s always difficult during these moments because the risk of underinvesting is pretty high,” said Pichai, pointing to Google’s cloud business, which just recorded 34% annual revenue growth to more than $15 billion in the quarter. Its backlog reached $155 billion.
“I actually think for how extraordinary the cloud numbers were, those numbers would have been much better if we had more compute,” he said.
Google’s AI momentum
Meanwhile, Google on Thursday surpassed Microsoft in market cap for the first time, as the search giant was lifted by renewed AI momentum. The search company launched Gemini 3 on Tuesday, which shot to the top of AI model rankings. Google also rolled out an updated version of its viral AI image generator Nano Banana on Thursday.
“I’ve never had more fun than right now,” Josh Woodward, vice president of Google Labs and Gemini, told CNBC in an interview. “I think it’s partly the pace, it’s partly the abilities these models give to people who can imagine new use cases and products. It’s unparalleled.”
Nvidia’s China threat
Nvidia’s earnings on Wednesday failed to restore confidence in the tech trade, despite the company posting a beat-and-raise quarter. Instead, the chipmaker added to fears of escalating geopolitical risk with China. Nvidia’s finance chief Colette Kress told analysts that “sizable purchase orders never materialized in the quarter due to geopolitical issues and the increasingly competitive market in China.”
Aaron Ginn, co-founder and CEO of the graphics processing unit management company Hydra Host, said the West’s attitude toward Chinese AI is the biggest threat to Nvidia’s dominance.
“We just have to accept that we fell behind the eight ball in the fact that China is a manufacturing powerhouse,” he said. “We have the ability to beat back that trade balance to where we are now leaders.”
Watch this video to learn more.
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