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AI Infrastructure 

Cantor Fitzgerald recently told investors in a research note that Nvidia (NVDA) is in the process of solidifying its position as "the" de facto AI infrastructure company, quarterbacking the robust AI industry buildout that is in its infancy today.

Additionally, Cantor Fitzgerald believes compute is likely constrained for years to come into CEO Jensen's $3-$4 trillion spend in 2030. The firm, which said it is "way too early" to call the AI peak, maintained an Overweight rating and a $240 price target on Nvidia shares.

AI Chip Deal

A multi-billion dollar deal announced in May, which promised UAE investment in the U.S. in exchange for several hundred thousand AI chips from Nvidia has not materialized after months of talks, frustrating Nvidia CEO Jensen Huang as well as the White House AI Czar David Sacks, The Wall Street Journal's Brian Schwartz, Amrith Ramkumar, and Josh Dawsey reported, citing people familiar with the matter.

The agreement has mostly been in the hands of Commerce Secretary Howard Lutnick, who initially supported the deal but has since pressed the Emiratis to finalize their U.S. investments before his department authorizes the delivery of the chips, the report stated.

Gradient Ventures 

Gradient Ventures spun out of Alphabet's (GOOGL) Google to better position itself to win artificial intelligence deals, Yuliya Chernova of Wall Street Journal reported, citing people familiar with the situation. Gradient will now be operating under a new management company, and several limited partners, in addition to Google, are investing in its new venture fund, sources told the Journal.

On The Sidelines 

BofA initiated coverage of Astera Labs (ALAB) with a Neutral rating and a $230 price target. The provider of AI connectivity semiconductor solutions addresses a multi-billion dollar market opportunity in AI scaling via its key retimer and switching chips and modules, based on the "PCIe" and soon the emerging "UALink" standards, according to BofA. 

However, the firm also flagged potential deceleration in Astera's growth on increasing competition from Nvidia's "NVLink" and Broadcom's (AVGO) "Scale-Up Ethernet" based switches.

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