{"id":275214,"date":"2026-02-01T10:33:12","date_gmt":"2026-02-01T10:33:12","guid":{"rendered":"https:\/\/www.newsbeep.com\/ie\/275214\/"},"modified":"2026-02-01T10:33:12","modified_gmt":"2026-02-01T10:33:12","slug":"why-dan-ives-thinks-tesla-and-nvidia-will-define-the-physical-ai-era","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/ie\/275214\/","title":{"rendered":"Why Dan Ives Thinks Tesla And Nvidia Will Define The ‘Physical AI’ Era"},"content":{"rendered":"\n

Wedbush Securities analyst Dan Ives is doubling down on his bullish thesis for the \u201cfourth industrial revolution<\/a>,\u201d identifying Tesla Inc. (NASDAQ:<\/a>TSLA<\/a>) and Nvidia Corp. (NASDAQ:<\/a>NVDA<\/a>) as the two indispensable pillars of the burgeoning physical AI market.<\/p>\n

While the tech world remains captivated by Large Language Models (LLMs) and chatbots, Ives argues that the most significant value is shifting toward machines that interact with the physical world.<\/p>\n

For Ives, two companies stand alone at the summit of this transition.<\/p>\n

\u201cIt just comes down to like physical AI, the two best physical AI plays in the market, Tesla, and the other one, it\u2019s the godfather of AI, Jensen, Nvidia,\u201d Ives stated.<\/p>\n

\u201cThose to me are the two biggest and the best physical AI plays in the world,\u201d Ives told CNBC International<\/a>.<\/p>\n

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For Tesla, the narrative has shifted from vehicle delivery counts to high-margin software adoption.<\/p>\n

Ives believes that Full Self-Driving (FSD) technology is the primary engine that will transform Tesla’s valuation<\/a>, forecasting a potential leap in adoption from 12% to 50%.<\/p>\n

\u201cI believe we talk about $600 base case, but $800 bull case, is\u2026 \u2026.the margin story that\u2019s going to start take hold,\u201d Ives explained.<\/p>\n

He described 2025 as a \u201chuge transition year\u201d leading into a \u201cgolden year\u201d in 2026, driven by the convergence of FSD, autonomous Cybercabs, and robotics.<\/p>\n

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While Tesla represents the \u201cVisionary\u201d application of physical AI, Ives views Nvidia as the bedrock of the entire movement. He characterizes Jensen Huang’s company as the essential provider of the hardware that makes autonomous systems and industrial robotics possible.<\/p>\n

According to Ives, Nvidia will \u201ccontinue to lead the infrastructure powering the AI boom.\u201d<\/p>\n

He argues that the company remains \u201cfour to five years ahead of any other chip player,\u201d making it the primary beneficiary of the massive capital expenditure currently flooding the tech sector.<\/p>\n

As the \u201carms race\u201d for AI supremacy intensifies, Ives warns that the primary constraint is no longer capital or engineering, but power.<\/p>\n

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He noted that there are currently more data centers under construction than active data centers, putting an unprecedented strain on the grid.<\/p>\n

To survive this \u201cpower crunch,\u201d Ives suggests that vertical integration\u2014including custom cooling and on-site generation\u2014is the only viable path forward.<\/p>\n

\u201cThe only thing that\u2019s stopping it is not capbacks. It\u2019s not technology. The only stops are the shortages that we see in terms of energy,\u201d Ives concluded.<\/p>\n

Read Next: Americans With a Financial Plan Can 4X Their Wealth \u2014 Get Your Personalized Plan from a CFP Pro<\/a><\/p>\n

Image via Shutterstock<\/p>\n

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This article Why Dan Ives Thinks Tesla And Nvidia Will Define The ‘Physical AI’ Era<\/a> originally appeared on Benzinga.com<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"Wedbush Securities analyst Dan Ives is doubling down on his bullish thesis for the \u201cfourth industrial revolution,\u201d identifying…\n","protected":false},"author":2,"featured_media":275215,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[220,218,219,72343,61,60,90333,233,80,15503],"class_list":{"0":"post-275214","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-artificial-intelligence","8":"tag-ai","9":"tag-artificial-intelligence","10":"tag-artificialintelligence","11":"tag-dan-ives","12":"tag-ie","13":"tag-ireland","14":"tag-ives","15":"tag-nvidia","16":"tag-technology","17":"tag-tesla-inc"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/275214","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/comments?post=275214"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/275214\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media\/275215"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media?parent=275214"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/categories?post=275214"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/tags?post=275214"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}