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The Autonomous Revolution Has Arrived: 2 Businesses Reshaping the $15.7 Trillion Market for Artificial Intelligence (AI)

Source The Motley Fool

Artificial intelligence has the potential to transform industries far and wide. Research from PwC estimates that AI's massive reach will add $15.7 trillion to the global economy by 2030.

If it's difficult for you to wrap your head around figures like that, you're in good company. But the estimate is a really good indicator that we're on the cusp of significant advancements in automation thanks to AI. Some tech companies are already benefiting from this shift. Here are two AI stocks that are reshaping their respective markets.

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A person with lines of code near their head.

Image source: Getty Images.

Nvidia is a foundational AI company

Nvidia (NASDAQ: NVDA) deserves top billing on this list because the company's semiconductors are at the heart of nearly all AI advancements. Nvidia's GPUs have an estimated 70% to 95% of the AI chip market and are used for everything from generative AI chatbots to autonomous vehicle driving systems.

For example, Nvidia CEO Jensen Huang said at CES 2025 recently that AI agents, advanced chatbots that can complete tasks on their own without outside prompts, could become a "multitrillion-dollar market" in the coming years. Accenture, SAP, Salesforce, and other companies are already using Nvidia's hardware to develop their own agents. Nvidia says billions of these AI agents could be deployed over the next several years.

Additionally, Nvidia is benefiting as autonomous and semiautonomous driving systems expand. The company's autonomous vehicle DRIVE platform is used by major automakers, including Toyota, General Motors, and even Amazon's robotaxi company, Zoox. Nvidia is already earning significant revenue from its automotive segment, and Huang said recently that automotive sales will reach a $5 billion annual run rate this year.

Of course, I can't leave out Nvidia's massive opportunity in AI data centers. Huang has been clear about how big he believes AI will be for this company, saying that spending for AI data centers will double over the next five years to $2 trillion. That spending will bring more AI automation, and Nvidia's leading position in semiconductors means it will continue tapping into that growth.

Tesla's bet on AI automation

Tesla (NASDAQ: TSLA) is another obvious major player in the rise of AI automation. The company has its hands in several key automation markets, the largest of which is likely semiautonomous vehicles.

Tesla's driver assistance system (called full self-driving, or FSD) isn't fully autonomous but uses sensors, cameras, and AI chips to allow drivers to hand over some driving on the highway. Some Teslas can also park on their own or leave their parking space and meet their driver in the parking lot.

However, Tesla has much bigger plans that involve launching its own autonomous robotaxi vehicle called Cybercab. Tesla CEO Elon Musk debuted Cybercab at an event several months ago and said it could be priced around $30,000 and go on sale before 2027. The global ride-hailing market will be worth an estimated $213 billion by 2029.

Additionally, Tesla has built its own robot, called Optimus, and is ramping up production. The bots can do repetitive, unsafe, and labor-intensive tasks humans may not want to do. Tesla says it will start mass production of its Optimus robots this year and reach 50,000 to 100,000 bots by next year.

Citigroup estimates that the global worldwide humanoid robot market could reach $7 trillion by 2050, with lots of potential for Tesla. Musk is seemingly well aware of the opportunity and said recently that Optimus could push Tesla's market value to $25 trillion.

AI automation dominance comes at a price

There's no denying a global AI race among companies is underway. The companies listed above are making big strides in AI automation and could continue to help lead in the coming years.

Just keep in mind that some of these stocks also come with hefty price tags. Tesla's shares have a forward price-to-earnings ratio of 115, while Nvidia is cheaper with a forward P/E ratio of 32. If you're buying either, make sure you're comfortable with the premium that comes along with owning a top AI stock.

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John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. Citigroup is an advertising partner of Motley Fool Money. Chris Neiger has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Accenture Plc, Amazon, Nvidia, Salesforce, and Tesla. The Motley Fool recommends General Motors and recommends the following options: long January 2025 $25 calls on General Motors, long January 2025 $290 calls on Accenture Plc, and short January 2025 $310 calls on Accenture Plc. The Motley Fool has a disclosure policy.

Disclaimer: For information purposes only. Past performance is not indicative of future results.

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