Two AI Infrastructure Stocks That Could Shape the Future for Decades

It seems like artificial intelligence (AI) is everywhere these days. You can’t open a newspaper-or, well, check your phone-without seeing a mention of it. But what is often overlooked in the feverish excitement over AI is the vast, complex network of infrastructure behind it. Just like a stage performance wouldn’t be possible without the unseen stagehands, AI wouldn’t be able to function without the right kind of computing hardware. And here lies an investment opportunity that could last for decades. According to Morgan Stanley, the global spending on AI infrastructure might top $3 trillion in just the next three years.

The companies that provide the chips, data centers, and other fundamental technology to support this AI revolution are not only crucial to the process but could offer investors remarkable long-term growth. Let’s delve into two promising companies that are well-positioned to ride this wave.

1. Nvidia: The Unlikely Giant of the AI Revolution

If you’ve been paying attention to the AI industry in the past few years, you’ve no doubt encountered the name Nvidia (NVDA). This company, once primarily known for its high-end gaming graphics cards, has emerged as the uncontested leader in AI infrastructure. Cloud services, research institutions, and governments alike are all scrambling to get their hands on as many of Nvidia’s graphics processing units (GPUs) as they can. These powerful chips are essential for the most sophisticated AI training, where they help systems ‘learn’ patterns from vast amounts of data.

Now, I can already hear some of you asking, “Nvidia, really? After that meteoric rise?” Indeed, Nvidia’s stock has soared by a mind-boggling 31,000% over the past decade. But here’s the thing: it’s the most valuable company in the world for a reason. The demand for its GPUs continues to skyrocket as AI companies, like OpenAI, deploy thousands of Nvidia chips to build smarter, faster AI systems. In fact, OpenAI CEO Sam Altman recently revealed that they expect to exceed 1 million GPUs deployed by 2025, and that’s just the beginning. To create truly ‘superhuman’ AI capabilities, we could be talking about a staggering 100 million GPUs. So, despite Nvidia’s impressive growth, the real boom is just beginning.

What’s even more intriguing is that Nvidia isn’t simply sitting on its laurels. It’s innovating at a dizzying pace, developing specialized platforms like Jetson for robot training and Nvidia IGX for industrial and medical applications. Despite all of this, Nvidia’s stock is trading at just 28 times next year’s earnings. For a company that’s expected to grow its earnings at 36% annually, that’s quite the bargain.

With such dominance in the GPU market, Nvidia’s future seems assured. And as competition in AI research intensifies, its data center business-which now accounts for 88% of the company’s revenue-continues to grow at an astonishing pace. Sales to data centers alone grew 56% year-over-year. In the world of AI, Nvidia is not just a player; it’s the game-changer.

2. Iren Limited: The New Frontier of Data Centers

If Nvidia is the company that’s powering the AI revolution, Iren Limited (now known as Iris Energy) is positioning itself as the essential supplier of the energy that fuels these powerful systems. Originally focused on Bitcoin mining, Iren has shifted its sights to building high-performance data centers for AI. This shift could turn out to be a shrewd long-term strategy for investors looking to tap into AI’s enormous potential.

Think of Iren’s rise as akin to getting in early on the Standard Oil of the 21st century-a century ago, buying into Standard Oil was almost like buying into oil itself, before it became ExxonMobil. In this case, data centers are the new ‘oil producers’ of the modern era. They’re the engines behind AI’s future, and Iren is well-positioned to be one of the key players.

Last year, Iren’s revenue more than doubled to $501 million, while its adjusted EBITDA skyrocketed 395% to $270 million. In fact, analysts predict that Iren’s adjusted EBITDA will reach a staggering $1.2 billion in the next three years. But it’s not just about revenue growth. Iren’s ability to secure power for its data centers could be the key to its long-term success. Data centers-especially those for AI-require immense amounts of electricity to operate, and as AI demand grows, so too will the need for power. Goldman Sachs estimates that data centers will need 165% more power by the end of the decade. Iren, however, has already secured 2.9 gigawatts of contracted power for its operations, and its power capacity has grown roughly 100-fold in the last four years.

As a result, the company is poised to benefit from the increasing demand for AI infrastructure in the coming years. It’s no wonder that Iren’s stock has surged 240% this year. The company is at the start of what could be a wave of growth, and the potential rewards for early investors are enormous.

In conclusion, the AI infrastructure sector is on the verge of something big, and Nvidia and Iren are two companies that could see their fortunes rise with the tide. If you’re looking for long-term investments with tremendous growth potential, these two are certainly worth keeping an eye on.

It’s an exciting time to be watching the AI revolution unfold-so much so that it almost makes you wonder what other technological marvels we’ll be talking about in the next decade. But for now, these two companies are leading the charge. 🧠

2025-09-16 10:51

1. Nvidia: The Unlikely Giant of the AI Revolution

2. Iren Limited: The New Frontier of Data Centers

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