Bank of America has dubbed global companies exposed to the demand for generative artificial intelligence solutions as "winners," picking stocks across the software and IT services sectors.
It described the AI opportunity within the software industry as "undeniably vast" in a research note dated 12 July, and ranked European companies in the sector.
"Huge quantities of data about a company's operations are held within a company's ERP system which makes the software vital in any generative AI integration," BofA's analysts stated.
"We see gen AI as an opportunity for the Software industry to derive both potential revenue uplift via enhanced value proposition and data monetization, alongside productivity improvements," the bank said.
BofA also looked at the effect of generative AI on the IT services industry and said implications "are the most polarised," noting concerns over drops in sales due to tasks being automated.
Persons:
BofA, Frederic Boulan, — CNBC's Michael Bloom
Organizations:
of America, Dassault Systemes, SAP, Software, IT, International Data Corporation
Locations:
French, German