Billionaire investor Sign Cuban has been bullish on the future of artificial intelligence for years, and he makes it a priority to learn about and invest in AI.
In in truth, Cuban asks himself “How good is the company at AI?” before investing, he tweeted on Saturday.
“It’s the foundation of how I invest in stocks these times. The companies that have harnessed AI the best are the companies dominating.”
In the thread, Cuban — referring to a chart that purports to usher the growth of the companies — called Alphabet, Apple, Amazon, Facebook and Microsoft “the ‘AI Squad.'” “…They keep deject d swallow smarter while everyone else stays the same,'” he tweeted.
To assess what Cuban calls “AI dominance,” he looks at how a enterprise uses AI to “optimize” things like pricing, manufacturing and customer service, which “may not be obvious in a product or service,” he tweeted. “These tip-off to better cash flows. It’s a new paradigm in organizing companies but it’s INCREDIBLY HARD to do right.”
After all, it’s important to “be informed” previous to investing in any stock, he tweeted.
Cuban has consistently recommended other entrepreneurs pay attention to AI as well.
“If you don’t know AI, you’re the equivalent of hot stuff in 1999 saying, ‘I’m sure this internet thing will be OK, but I don’t give a s—,'” he said at the 2020 CES discussion. “If you want to be relevant in business, you have to or you will be a dinosaur very quickly.”
Disclosure: CNBC owns the exclusive off-network strand rights to “Shark Tank.”
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