What AI companies did Warren Buffett invest 3987 billion in as he enters the AI field

Coinworld News Report:
Although Warren Buffett’s pursuit of the latest stock market trends is not obvious, it can be seen from Berkshire Hathaway’s investment portfolio that many of the stocks held by the company benefit from artificial intelligence.
Since 1965, Warren Buffett has been leading Berkshire Hathaway Holdings. He likes to invest in companies with stable growth, reliable profitability, and strong management teams, and implements shareholder-friendly measures such as dividend payments and stock buybacks.
This strategy is indeed working, as Berkshire’s return rate from 1965 to 2023 has reached an astonishing 4,384,748%. This is equivalent to a compounded annual return rate of 19.8%, nearly twice the 10.2% annual return rate of the S&P 500 index during the same period.
In terms of dollars, a $1,000 investment in Berkshire Hathaway stock in 1965 would have grown to over $43 million, while the same investment in the S&P 500 index, with dividend reinvestment, would only be worth $312,333.
Warren Buffett is not an investor who chases the latest trends in the stock market, so you won’t see him heavily invested in popular artificial intelligence stocks at the moment.
However, three stocks currently held by Berkshire are benefiting greatly from artificial intelligence, accounting for over 45% of Berkshire’s publicly traded securities portfolio, with a total value of $398.7 billion.
In the first quarter of the 2025 fiscal year ending April 30th, Snowflake’s product revenue reached $789.6 million, a 34% increase compared to the previous year. At first glance, this is a strong growth rate, but it has slowed down compared to previous quarters.
Although Snowflake continues to invest heavily in growth initiatives such as marketing and research and development, the pace of acquiring new customers has slowed down, and existing customers are expanding their consumption at a slower rate.
Berkshire Hathaway bought shares of Snowflake when the data cloud specialist went public in 2020, so the price per share could be around $120.
In 2021, the company’s stock price soared to a high of $392, but has since fallen 63% from that level, and is currently priced at $142. Unfortunately, due to the company’s growth slowdown, the stock price still seems quite expensive, so investors may want to avoid Berkshire’s selection in this case.
02.
Amazon: Accounts for 0.5% of Berkshire Hathaway’s investment portfolio
Berkshire bought Amazon (AMZN 1.22%) stocks in 2019, and Buffett has expressed regret for not discovering this opportunity earlier. Amazon started as an e-commerce company and later expanded into the fields of cloud computing, streaming media, digital advertising, and now into artificial intelligence.
Amazon Web Services (AWS), the cloud computing division, has designed its own data center chips, which can reduce the cost for AI developers using these chips by up to 50% compared to infrastructure using Nvidia chips.
In addition, Amazon’s Bedrock platform provides developers with a ready-made library of machine learning models (LLMs) from leading startups, and Amazon has also developed its own series of LLMs called Titan.
Essentially, AWS aims to be the preferred destination for developers planning to create their own AI applications. Various Wall Street forecasts indicate that AI could add $7 trillion to $20 trillion in global economic revenue over the next decade, potentially making it Amazon’s biggest opportunity ever.
Berkshire Hathaway holds $2 billion worth of Amazon shares, accounting for only 0.5% of the conglomerate’s stock portfolio.
In the long run, AI could drive significant growth for Amazon. Therefore, if Buffett previously wished for a larger position, he may regret not increasing it earlier after the new chapter of AI begins.
03.
Apple: Accounts for 44.5% of Berkshire Hathaway’s investment portfolio
Apple (AAPL 2.16%) is the largest holding of Berkshire Hathaway to date. The conglomerate has accumulated stocks worth about $38 billion since 2016, and the current value of the holding is $177.6 billion.
Apple is dedicated to producing the world’s most popular electronic devices, including iPhone, iPad, Apple Watch, AirPods, and Mac computers.
The company is entering the field of artificial intelligence with its new Apple Intelligence software, which will be released in September along with the iOS 18 operating system.
The software was developed in collaboration with OpenAI and will change the user experience of Apple devices. Siri, the voice assistant, will utilize the capabilities of ChatGPT, and the writing tools such as Notes, Mail, and iMessage will also leverage ChatGPT to help users generate content quickly.
There are over 2.2 billion active Apple devices worldwide, which means Apple could soon become the largest company distributing AI technology to consumers.
The upcoming iPhone 16 is expected to be equipped with powerful new chips capable of handling AI workloads on the device, which could trigger a significant upgrade cycle.
Apple meets all of Buffett’s stock selection criteria. Since Berkshire’s initial investment in 2016, the company has been steadily growing, consistently profitable, and has CEO Tim Cook as a strong leader. It has also returned a significant amount of capital to shareholders through dividends and stock buybacks.
In fact, Apple has just announced a new $110 billion buyback plan, the largest in US corporate history.