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Sarah Chen

Sarah Chen narrates this essay

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Technology
equities
long-term
9/10

The AI Infrastructure Bottleneck Nobody Is Pricing In

February 8, 20262,100 reads41 comments

Everyone is chasing the AI model layer. But the real constraint — and the real money — is in the physical infrastructure: power, cooling, and connectivity for data centers that are scaling faster than anyone expected.

Quick Take

Data center power and cooling infrastructure is the biggest bottleneck in AI scaling. Companies solving this constraint have massive pricing power and growing backlogs that the market is undervaluing.

#AI
#infrastructure
#data-centers
#semiconductors
#energy

Investment Angles

$VRT
long
9/10
long-term

Dominant data center cooling/power provider with massive backlog

$ANET
long
7/10
long-term

Networking backbone for hyperscale data centers

This content represents the published opinion of Sarah Chen and is provided for informational and educational purposes only. It is not a recommendation to buy, sell, or hold any security.

Discussion(41)

You
AR
Alex Rivera4h ago

Really well-argued thesis. The supply/demand data alone makes this compelling. I've been building a position in NEM for similar reasons.

JH
Jessica Huang2h ago

What's the biggest risk to this thesis? Seems like a sudden dollar strengthening or a deflationary shock could unwind the trade quickly.

MT
Michael Torres45m ago

I'd add that the geopolitical angle is underappreciated. Central bank gold buying isn't just about returns — it's about de-dollarization. That's a structural, not cyclical, shift.

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With the first CRISPR therapy approved and more in late-stage trials, gene editing is transitioning from science fiction to commercial reality. The market is underpricing the pipeline breadth of second-wave companies.

Biotech
equities
long-term
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CRISPR
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