Hardman & Co Insight: The AI revolution - An introductory guide from a UK stock market perspective
Executive summaryArtificial intelligence (AI) is moving at a phenomenal pace, with companies seeking to be ahead of the curve, and its impacts will ultimately spread across the broader economy. In this note, we take a look at the topic from a UK stock market perspective.
AI is not new, with its history traceable back to the 1950s. However, the AI phenomenon took off in late 2022, following the commercial launch of ChatGPT. The emergence of ChatGPT was a result of the combination of large language models (LLMs) with the enormous computing power offered by the burgeoning cloud computing providers, supported by a new generation of powerful computer chips. These new, generative AI solutions enable users to perform a broad range of tasks, including complex problem-solving, writing computer code, or generating/analysing text-based content, at enormously superior levels of productivity.
Most of the hype, to date, has focused on the US Big Tech players, including NVIDIA (which provides the powerful graphics processing units, or GPUs, used by the data centres to process data), the big cloud providers (that provide the computing power to analyse/train large data sets), and the generative AI front runners, several of which are linked to the Big Tech players.
In this note, we have identified a selection of UK technology companies that have already established AI operations, which, we believe, are significant to their investment cases. Also, we examine which UK-listed companies may be best prepared to benefit from the AI revolution.
We believe that investors should raise their awareness and understanding of AI, as it could well be a primary source of growth in global stock markets for the foreseeable future. However, as with all rapidly developing industries, there are uncertainties and, potentially, substantial risks. Consequently, while this report seeks to identify a number of relevant companies, many of which are still very small, it should not, in any respect, be interpreted as offering investment advice.
Cambridge Cognition Holdings, and its subsidiaries is a neuroscience digital health company specialising in improving brain health by developing and marketing near- patient cognitive testing technologies for pharmaceutical and healthcare industries worldwide.
First Derivatives is primarily involved in the provision of a range of software and consulting services, particularly to the finance, technology, energy, marketing and industrial markets. Co. has two divisions: Software, which includes the license of intellectual property and related services; and Managed Services and Consulting, which involves providing services to Capital Markets. Co.'s Software division is branded as Kx technology. Co.'s software, Kx, allows organisations to meet the data challenges they face. Co.'s service activities focus on the support of systems within global investment banks.
Medaphor Group is a holding company. Co. is engaged in the development, marketing and distribution of ultrasound simulation devices for use in the training of medical personnel. Co.'s subsidiary, Inventive Medical Limited, develops three ultrasound training and examination simulators: ScanTrainer, an ultrasound scanning skills training simulator and CPD education platform; ScanTrainer Examine, a cloud-based ultrasound diagnostic skills training simulator; and HeartWorks, a simulation solution for education in echocardiography, cardiac anatomy and lung ultrasound. Co.'s other subsidiaries are engaged in the development and sale of ultrasound training equipment.
Kainos is a digital services and platforms company, providing information technology products and services to customers in a range of markets, including government, healthcare and financial services. Co. provides software design and development services and a range of software products in healthcare and automated testing. Co.'s Digital Services division comprises following areas of activity: Digital Transformation, which delivers online digital solutions; and Workday Implementation, which is engaged in the provision of consulting, project management, integration and support services for Workday's Enterprise Resource Planning software.
Seeing Machines is engaged in developing, selling and licensing products, services and technology to detect and manage driver fatigue and distraction; developing driver-monitoring technology to be incorporated into passenger cars; entering commercial agreements with partners for the development, manufacturing and sale of products into key target markets; and research and development of Co.'s core vision processing technologies to support the development and refinement of Co.'s products.
Boxhill Technologies is a holding company. Through its subsidiaries, Co.'s principal activities is that of lottery administrators and the provision of payment processing products and services. Co. operates solely in one geographical area, the U.K.
We are a rapidly growing, innovative corporate research & consultancy business, based in London, serving the needs of both public and private companies.
Our expert team of sector analysts and market professionals collectively have over 400 years of experience. This depth of knowledge and a reputation for integrity have built trust with investors. With effective communication and precision distribution, we help companies disseminate their investment message to interested investors, as well as advise them on strategy.
Our smaller, boutique structure allows us to provide first-class customer service and to deliver a wide range of ad-hoc services for multiple clients with different needs.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.