"Show Me the Money:" Headwinds & Tailwinds Ahead for AI ROI

• The AI market is transitioning from euphoria to a 'show me the money' phase, with investors seeking tangible ROI from massive CapEx spending.
• Supply chain bottlenecks in power, memory, and data center land are delaying the realization of ROI, potentially until 2027 or 2028.
• Opportunities are shifting towards component companies with lower valuations that directly benefit from AI infrastructure build-out, particularly in areas like optics and silicon carbide, including international markets.

The discussion highlights the tech sector's shift from AI euphoria to a 'show me the money' phase, where investors demand tangible ROI from massive CapEx spending. While demand for AI infrastructure remains strong, supply chain bottlenecks and high valuations are causing market fatigue. Opportunities are seen in underlying component companies, particularly in optics and silicon carbide, and internationally.