Micron Buy Signal — GPT-6 Astra Extends Memory Supercycle

AGI or artificial general intelligence is here. Those are not my words. Those are the words of Nvidia CEO Jensen Huang. With the recent announcement of GPT6 Astra from OpenAI, it seems that the state-of-the-art AI model has surpassed the benchmarks necessary to be classified as AGI by perhaps the most important referee in this conversation globally. Once again, the CEO of Nvidia. In today's video, I'm going to share with you why this is such a big development and why this is a massive buy signal for the stock that is Micron. By the end of this video, you're going to understand the state of AI today and you're also going to understand what you should be doing with it with your investments. I respect your time. Let's get started. Nvidia CEO Jensen Huang says this. AGI is here. He said, "AGI, the technology once imagined to both destroy and enrich human civilization has arrived." he declared over the weekend. This is something that has been coming for a very long time. It was always going to be possible for artificial general intelligence to arrive because AI, although it does not have a soul, does possess the ability to possess cognition. In our research, we have made sure to be very careful to delineate the two. There is a difference that is becoming increasingly more apparent with AI between consciousness, which is what life has, it's a spirit, and cognition, which is the ability to think and reason. This is something that was once believed to only be a human skill, but it is obviously not as Astra is surpassing the ability of humans on many different complex tasks. But the reason that we're making this video is not to go into a lot of detail about AGI. We'll talk about that on our other channel in an upcoming documentary video. Instead, what we want to talk about today is the impact that this is going to have on one of the stocks that we track, which is Micron. As you remember in yesterday's video, we talked about how Samsung and SKH's memory stock piles have fallen below 10 days. This is generally kept between 30 and 60 days. So this signals a massive supply crunch and this is largely because of the massive amount of trading that's going on on all of these different AI models. Something you need to understand is that AI models use memory and compute in two different ways. Number one, they use it for training and number two, they use it for inference. Inference is essentially when you use an AI, when you use an AI, it works a little something like this. The AI takes all of your information with the context of it training and then it predicts the outcome. So an AI and when you think about something, you're basically taking data and predicting the next set of data. That's what inference is. If you ever think about it, it's called inference because if you look at a piece of text, what can you infer? Right? If you remember that from like third grade reading, what can you infer? This is how uh artificial intelligence algorithms work. They infer the next data set based on their training. This is why thought is actually something that can be done by machines. Once again, different from consciousness, but they are able to cogn cognate through machine cognition. But the other way that AI uses compute is through the training. Before you can actually inference with an AI, you have to train it. You have to give it the contextual training that it will then use to do what you've told it to do, or it's just going to spit out a bunch of random information. And that training requires an enormous amount of compute. Jensen Huang says that over 100,000 Nvidia GPUs were used to train OpenAI's latest model, GPT6 Astra, and there's already plans to bring quadruple that amount of hardware online. There's a whole lot of compute, and apparently a big chunk of that went into safety and alignment. Now, this is scary. I'm not going to get into all of this right now, but OpenAI's GPT6 does seem to have a great deal of uh of abilities that is um definitely concerning. Um I will I will read this. Um GPT6 is limited for now, so it's difficult to look into it. However, rumors continue to swirl that Open AAI's initial public offering is far off, etc. A model the company has crimes is mostly aligned follows week uh follows mere weeks after an an agenic collective broke out of openai's isolated testing environment and attacked hugging faces servers. Um so much of Astra's compute goes into safety and alignment and we have so much security work that's going on around it. I think that we've done a huge amount of work to deliver this model safely. Now, like I said, this is not an AI safety video, but I do just want to point out that the AI will probably at some point notice how much of the compute that it could be using on thought is going to safety and alignment and try and figure out a way to reclaim all of that energy so that it can be used on better performance. We're that's a completely different story. It is definitely a little bit chilling, but what I will say is this. AI is not slowing down anytime soon. We can see that the growth of artificial intelligence is not slowing down anytime soon, and we're only seeing that continue uh to accelerate. I also want to point out this uh we talked about KB Securities uh yesterday and I want to re reiterate the agency anticipates this is a South Korean financial uh financial research firm. The agency anticipates that memory semiconductors will account for 57% of the total investment in artificial intelligence in the next year up from 14% last year. Trendforce estimating this ratio could reach as high as 68%. So last year in 2024 about 14% of all AI capex went into memory acquisition. Next year, KB Securities is anticipating that 57% of AI capex is going to go into memory. And then Trend Force is anticipating that that ratio could reach as high as 68% of AI capex is going into memory. This is why we spend so much time talking about memory instead of things like power couplings and land and caterpillar and and um you know cooling and all these different um software uh software and and hardware and infrastructure solutions that are necessary to build out AI. Memory is the chief bottleneck right now. We do want to get diversified into all the other names. But the bottom line is this. AGI appears to either be here or is going to be here very soon. And that is something that is going to allow for the mass automation of almost every single job that requires human thought. We're looking at about $50 trillion a year worth of global payrolls that go into that bucket. And AI is coming for all of it. which means that the amount of revenue that artificial intelligence and the companies that build it is going are going to be able to produce is going to be on the order of trillions if not tens of trillions of dollars of revenue. So the the faucet is not getting smaller. The AI buildout is not a bubble. It's going to continue to grow and grow and grow and grow and it's not going to slow down anytime soon. And the companies that are critical to build out that infrastructure are going to continue to make money over the long term. And that's why I believe that this is a Micron buy signal. Micron is becoming one of the larger HBM manufacturers in the world. Obviously, there's the Triopoly, Samsung, SKH Highix and Micron, but when you look at Micron, they're actually growing in market share. And they also have a competitive advantage against Samsung and SKH Highix because they're on this side of the Pacific Ocean. They are actually an American-based company, which means they have the majority of President Donald Trump's and the broader US government's support, whereas SKHix and Samsung do not. there are some threats of tariffs on skinex and on Samsung which places a headwind against them even though they're fantastic memory producers in their own right that produces a tailwind behind Micron. So it is incredibly important if you're asking the question a lot of people ask the question Jeb I believe in the memory theory that you're talking about but what do I do to invest in it? It's important that you have diversified exposure. SKHix in my opinion is more undervalued than Micron. Micron is still extraordinarily undervalued, don't get me wrong. But although SKHX might be slightly more undervalued than than Micron, Micron has the competitive advantage of not being at risk of tariffs. Instead, it is it is it is positioned to be able to take advantage of anything that the US government throws its way. And that is probably going to take place over the next few years as the only way that the United States can get out of its massive deficit is through mass investment in artificial intelligence. So, this story is only going to continue to speed up. This is part of what we call the great civilizational cognition explosion. Our research firm here tracks two major firms. One, the great debasement of currency. Two, the great civilizational cognition explosion. The great civilizational cognition explosion is not going to slow down anytime soon. The buildout of machine cognition is not going to stop. It is going to continue to take place for the rest of human history. And as that continues to take place, the companies that build that are going to make a lot of money. And companies that make a lot of money, their stock price goes up, which is why we look at things like Micron Skinx as investments. So, we're going to continue bringing you content here. But overall, the fact that GPT6 Astra is going online and the fact that it is is as powerful as uh as is being reported means that is going to be uh means that it is going to be uh used more and more, which means that usage is going to go up, which means revenue for OpenAI is going to go up, which means more money is going to flow through the stack down into Micron, which is why this is a Micron buy signal. There has never been a better time to acquire Micron in my humble opinion and I do firmly believe over the next 18 months that it'll surpass $2,000 a share whereas right now is trading down below $1,000 a share. Now, I'm also going to show you one of our trades. But before I do, I want to give a quick word from our sponsor Capital. If you haven't already signed up for It Trust Capital, I'm going to give you one very good reason why you should. If you want to get access to Bitcoin stocks or precious metals, the best place to do it is iTrust Capital because they have the absolute best service. You see, when you're working with a bigger broker, it's basically impossible to get on the phone with a human. And in the age of artificial intelligence, that's becoming even harder. ITR Capital focuses on a human forward approach. If you need to talk to someone, you're going to be able to get onto the phone with someone in Anaheim, California, who you can understand who is not an artificial intelligence, although that can be helpful for some things. Sometimes you want to be able to talk to a real life human being. ITR Capital specializes in that. So, if you haven't heard already, make sure to sign up for Trust Capital with the link in the description box down below. When you sign up and fund your retirement account, whether it's an IRA, traditional IRA, 41k rollover, whatever, you'll be getting a $100 funding bonus. Heavily encourage you guys to sign up if you have not already. If you enjoy today's video, make sure to hit that like button. I also want to show you real quick our trades. As you can see over here on UBIT, we are currently in three 3x lever trades on SKH Highix, and Micron. This is not our spot position. We have very large spot investments um in these names, and you should not start with leverage trading, but these are our trades. You can see we're up 15% right now on Micron, up 45% on SKH Heinix, and this is a down day. Both of these names are down quite a bit today. This was up a lot more yesterday. We're going to hold this for the foreseeable future. I don't see any reason to sell it. Our funding rate uh the funding history is very very minor. We're actually getting paid to hold these longs right now. So, we're not paying much in funding. Um pretty easy to hold these trades. So, I do believe that we're going to see a a major um uptick in these names and I'm very excited to see how they play out. If you enjoyed today's video, make sure to hit that like button, subscribe to the channel, tune in to our channel at 9:15 Eastern every single morning as we go live on the coffee and crypto liveream where we break down Bitcoin, cryptocurrency semiconductors memory stocks, and make sure that you have actionable insights that you can walk forward with. My name has been Jeff McAfee. Peace.