Veteran investor and trader Marc Chaikin says there’s been an artificial intelligence breakthrough that goes beyond disruption.
It will tear the entire AI industry down to its studs and in it’s place will rise an “American Atlas” AI Supercluster technology.
The Teaser
By the end of the year, today’s leading AI models will be rendered obsolete.
This is “trading legend” Marc Chaikin’s bold prediction.
For more than half a century Marc’s been making major calls like being bullish on Nvidia back in 2014 and more recently, warning investors to prepare for a bearish downturn earlier this year.
We have covered some of Marc’s most recent calls, including his 100x Starburst Opportunity Stock and #1 AI Pick.
The AI breakthrough at the center of our pitch today is an entirely new class of computer. A breakthrough that comes from the same top-secret site that launched the Manhattan Project.
The Atlantic calls this laboratory “the secret city.”
Marc is referring to the famous or infamous, Oak Ridge National Laboratory in Tennessee run by the U.S. Department of Energy.
It’s the largest science and energy research laboratory in the country, which is telling considering that one of the single biggest bottlenecks afflicting the artificial intelligence buildout is energy, or a lack of it.
Imagine an AI data center less than 1% the size of the average facility, that consumes less than 1% of the electricity, and yet is 1 trillion times more powerful, with the potential to speed up AI breakthroughs by 360X.
Such a technological “instrument for the ages” could turn the entire AI landscape upside down, bringing the “end of Elon” (Musk) as Marc puts it, as well as other present-day AI luminaries like OpenAI’s Sam Altman and Anthropic’s Dario Amodei.
The companies behind this breakthrough aren’t Google, Meta, or the Magnificent 7.
Instead, it’s about to catapult all of them by powering a new class of data center that will unleash the full promise of AI, sending shares of some “American Atlas” AI Supercluster stocks soaring.
The Pitch
Marc’s research on this opportunity has been compiled in a brand-new report called: “The American Atlas Portfolio: Top Stocks to Profit from the Dawn of AI Superclusters.”
All we have to do to get it is subscribe to Marc’s Power Gauge Report newsletter at a cost of $149 for the first year (normally $499), which comes with no less than four bonus reports and a 30-day money-back guarantee.
What in the World are “AI Superclusters?”
When I hear the term “Supercluster” I think of a penguin congregation or graphics processing units (GPU) chips stacked to the sky.
However, in the context of this teaser, Marc uses it to mean supercomputer clusters, that is multiple supercomputers making up a much larger interconnected device or the world’s first “AI supercluster.”
The federal government is funding AI micro cluster computers, starting with Lux at the Oak Ridge National Laboratory in Tennessee and continuing with El Capitan at the Lawrence Livermore National Laboratory in California, among a host of others.
But The Department of Energy (DOE) isn’t building these in a vacuum. They will be part of a massive new network spanning the entire country dubbed “American Atlas.”
As an administration spokesman puts it:
These AI systems will be seamlessly connected with DOE’s vast network of scientific instruments
The government’s big goal for the “American Atlas AI Supercluster” is to bring about massive breakthroughs in four primary areas:
- Energy
- Quantum computing
- Medicine
- AI
Combined, these four industries are poised to explode to an estimated $248 trillion in value, making the potential opportunity for us as investors, in a single word, huge.
An Exponential Leap
To fully grasp the scope of this it’s necessary to first understand an obscure concept called floating points.
These are the number of decimal points a computer can calculate at any given time, which is what determines the accuracy of every large language model (LLM) today.
The current standard that the likes of Google Gemini, ChatGPT, and xAI’s Grok all run on is floating points 16 (FP16) hardware, which is widely known to be really fast, but only “half-precise.”
This is fine for conversation, entertainment, and limited customer support, not so much for designing new molecules to wipe out cancer or creating next-gen nuclear fusion reactors. You don’t want to be “half-precise” when it comes to anything nuclear energy related.
It means that no matter how many chips are piled on top of one another or how big the data centers are built, they’ll never overcome the floating point problem due to the hardware limitations.
That’s where the “AI Supercluster” comes in.
Once interconnected, these separate supercomputers will be capable of running FP64 or “double precision” hardware, solving the floating point problem as well as the size, electricity, cooling, and noise issues all at once.
I would say this counts as an exponential leap since the largest data center in the land, xAI’s Colossus, apparently runs mostly on FP8 or even FP4 hardware. So Marc’s “End of Elon” catchphrase may be more than just teaser hype.
Unlike most government initiatives, it’s not a far-off academic research project, as these supercomputers already exist, and Marc’s Power Gauge system is flashing “bullish” on the stocks helping to interconnect them.
Revealing Marc Chaikin’s “American Atlas” AI Supercluster Stocks
Following months of research, Marc’s team has pinpointed an AI company working on American Atlas right now.
In fact, this company has started building the Lux AI micro cluster already, as it is the developer of the MI430X Instinct Accelerator chip, which powers the Lux AI supercomputer.
Marc goes on to reveal the first company on his “American Atlas” buy list as Advanced Micro Devices (Nasdaq: AMD).
He isn’t so generous on the second pick, here is what we know about it:
- This company has developed cutting-edge networking solutions that is helping connect all of the AI supercomputers together into one massive device.
Without knowing anything more, I would say this is Oracle Corp. (NYSE: ORCL).
- Oracle Cloud Infrastructure (OCI) is confirmed to be providing secure, high-performance cloud integration to support AI model training and national-scale data sharing to the Lux AI supercomputer.
No clues or tip-offs about any other picks, but Marc does say that he’s identified a total of 17 companies that have signed supply deals with the “American Atlas AI Supercluster.“
We were able to confirm a few independently from this comprehensive list, including:
- Hewlett Packard Enterprise Co. (NYSE: HPE)
- Nvidia Corp. (Nasdaq: NVDA)
- Dell Technologies Inc. (NYSE: DELL)
- International Business Machines Corp. (NYSE: IBM)
- Intel Corp. (Nasdaq: INTC)
A Trillion-Dollar Opportunity?
Powerful supercomputers are how we’re going to get major AI breakthroughs.
Given the outsized impact that the U.S. government has had on the development of the internet, GPS technology, and other innovations we probably aren’t aware of, I don’t doubt that something will come out of the “American Atlas” AI Supercluster.
However, if we take a closer look at the same history, it’s been startups and early-stage businesses that have always generated the biggest returns from any major breakthrough, not the large incumbents.
AI should be no different.
The picks and shovels plays have and will continue to outperform during the buildout stage, but the life-changing money will come from the businesses that break out during the next stages. From this standpoint, the AI Supercluster could displace those at the top of the current pecking order, like xAI.
That said, I don’t like any of Marc’s mega-cap picks at their present valuations with worse balance sheets than before the start of the AI hyperscaler race.
AI is a multi-trillion-dollar opportunity for certain, but the best returns won’t come from today’s bellwethers.
Quick Recap & Conclusion
- Veteran investor and trader Marc Chaikin says there’s been an artificial intelligence breakthrough that will tear the industry down to its studs and an “American Atlas” AI Supercluster technology will take over.
- The breakthrough is the U.S. Department of Energy’s creation of the world’s first cluster of AI supercomputers and the opportunity is in the companies helping to make it a reality.
- These have been compiled inside a brand-new report called: “The American Atlas Portfolio: Top Stocks to Profit from the Dawn of AI Superclusters.” We need a subscription to Marc’s Power Gauge Report newsletter to access it, which costs $149 for the first year (normally $499).
- Marc ID’ed 17 companies that signed supply deals with the “American Atlas AI Supercluster.” We were able to reveal seven for free, Advanced Micro Devices (Nasdaq: AMD), Oracle Corp. (NYSE: ORCL), Hewlett Packard Enterprise Co. (NYSE: HPE), Nvidia Corp. (Nasdaq: NVDA), Dell Technologies Inc. (NYSE: DELL), International Business Machines Corp. (NYSE: IBM), and Intel Corp. (Nasdaq: INTC)
- I don’t like any of Marc’s picks at their present valuations with worse balance sheets than before their run-up.
Will the DOE’s supercomputer cluster upset the current AI order? Leave your predictions in the comments.