WS #15351
The defense and AI sectors are undergoing structural shifts as the Pentagon officially stops using Anthropic's Claude following a phase-out deadline, signaling a potential pivot to competitors like Palantir. Meanwhile, Telos Corporation secured a $13.5 million contract for US Air Force ISR systems. Morgan Stanley warns of a massive 32-GW power shortfall for US data centers but argues that Nvidia and Broadcom are uniquely positioned to benefit from the resulting infrastructure build-out, protecting their 2027 outlooks despite the broader power constraints. In a notable deviation from the broader risk-off equity trend, Bitwise reports that 15 surveyed institutions maintained or increased their cryptocurrency exposure during the recent Bitcoin crash. This suggests that digital assets are decoupling from traditional risk assets among large players, with ETFs gaining favor as the primary vehicle for this conviction. This institutional support provides a floor for crypto valuations even as equity markets face headwinds from rising yields.
AI Infrastructure and Defense Shifts
The defense and AI sectors are undergoing structural shifts as the Pentagon officially stops using Anthropic's Claude following a phase-out deadline, signaling a potential pivot to competitors like Palantir. Meanwhile, Telos Corporation secured a $13.5 million contract for US Air Force ISR systems. Morgan Stanley warns of a massive 32-GW power shortfall for US data centers but argues that Nvidia and Broadcom are uniquely positioned to benefit from the resulting infrastructure build-out, protecting their 2027 outlooks despite the broader power constraints.
In a notable deviation from the broader risk-off equity trend, Bitwise reports that 15 surveyed institutions maintained or increased their cryptocurrency exposure during the recent Bitcoin crash. This suggests that digital assets are decoupling from traditional risk assets among large players, with ETFs gaining favor as the primary vehicle for this conviction. This institutional support provides a floor for crypto valuations even as equity markets face headwinds from rising yields.