International Data Corporation (IDC) projects that by 2026, worldwide artificial intelligence systems spending will top $300 billion, up from less than $100 billion in 2021,1 and this meteoric rise in AI adoption and spending is hardly surprising.

AI is disrupting virtually every industry, with businesses recognizing the technology’s transformative potential. Early adopters have reported substantial benefits and have revealed exciting investment opportunities. As companies worldwide recognize the competitive edge AI offers, the future holds transformative promise driven by the growth potential of AI.

AI Is Disrupting Virtually Every Industry

According to a recent IDC survey, approximately half of respondents plan to integrate artificial intelligence into their business within the next year. Notably, AI-powered automation is predicted to take center stage, fueled by remarkable advancements in natural language processing such as ChatGPT.2

As such, generative AI stands to revolutionize multiple industries by autonomously generating everything from text and images to computer code. The technology is currently reshaping a range of sectors, including marketing, pharmaceuticals, and video gaming, to name just a few.3

And some of the benefits of AI are already being realized, with innovation and sustainability standing out as the primary advantages of AI implementation. Early adopters of AI have reported substantial business improvements, with innovation seeing a remarkable 35% gain and efforts toward improved sustainability experiencing a significant 33% boost over the past three years. Additionally, customer and employee retention each saw a notable improvement of 32% that was attributable to AI investment.4

With the upward trajectory of AI adoption, industries are investing heavily and positioning themselves to harness the full capabilities of this transformative technology, meaning that expenditure on AI will continue to grow.

AI Adoption and Spend Are on the Rise

There has already been a threefold increase in AI adoption across industries since 2019, with the largest companies increasing AI spend by 4% or more annually every year since 2020.5

Analysts foresee a significant effect on customer spending as the integration of generative AI tools becomes more prevalent among software companies. For instance, TD Cowen estimated generative AI software spending by consumers would grow from $1 billion in 2022 to $81 billion in 2027—a five-year CAGR of 190%.6

If this alone isn’t enough to underline the potential of generative AI as a powerful driver of economic growth, PwC’s research further cements the significance of AI on a global scale. Their predictions suggest that by 2030, AI could increase global GDP by up to 14%, amounting to an astonishing additional $15.7 trillion. According to PwC, China stands to gain the most from AI, with a potential boost of up to 26% in its GDP by 2030, followed closely by North America, with a projected 14% increase. This massive economic opportunity positions AI as the most significant commercial prospect today.7

And we are already seeing some of that expansion in 2023. So far this year, the NASDAQ® composite is up 35%, primarily driven by the promise of generative AI.8

Looking at just the Technology stocks within the NASDAQ-100® (the top 100 stocks in the whole exchange), they have contributed 76.2% of the index’s overall performance this year. Of the top ten companies in the NASDAQ-100®, seven—Alphabet, Amazon, Apple, Broadcom, Meta, Microsoft, and NVIDIA—are at the forefront of AI development.9 These companies develop the hardware and software necessary for the AI boom, whether that be chip sets for AI computations, cloud infrastructure to host and run AI programs, or cutting-edge user interfaces. The AI boom has meant boom times for many of these companies, and growth is only projected to continue in this sector.

Taking just two examples from this list—Nvidia and Microsoft—illustrates the promise of growth for AI both now and in the near term.

For AI-driven growth right now, look no further than chip manufacturer Nvidia. Since the debut of ChatGPT in late 2022, perhaps no single company has benefited from AI as much as Nvidia. The company’s processors are instrumental in training AI algorithms, and that has meant a record-breaking 2023 for the company. Nvidia unexpectedly beat analyst projects in Q2 by a staggering $4 billion on their way to a market valuation of $1 trillion.10 As it stands, Nvidia stock is up over 209% so far this year due to demand for its AI tools.11

And as for the future possibilities of AI-driven growth, the poster child is Microsoft. Already dominant in enterprise software and rapidly gaining share in cloud computing, AI promises to turbocharge Microsoft’s business in both areas.

Microsoft was an early investor (to the tune of $10 billion) in OpenAI, the company responsible for Chat GPT. Analysts at Morgan Stanley estimate that investment could result in a $90 billion market opportunity by 2025. According to Morgan Stanley, Microsoft can indirectly monetize ChatGPT and any related future products because it provides all cloud services for OpenAI. Likewise, Microsoft can connect developers with OpenAI models for building custom applications. And the company will be able to charge a premium for its enterprise software as generative AI capabilities are embedded into its Microsoft 365 suite of products.12

The AI revolution is undeniably reshaping the global economy and driving remarkable growth across the global economy. With AI adoption and spending on the rise, the stage is set for a transformative future, with generative AI tools creating unprecedented disruption across industries as well as exciting investment opportunities.

Canada’s First NASDAQ-100® Technology-Focused ETF with QQQT ETF

Looking for ways to take advantage of a pure tech play within the NASDAQ-100®?

QQQT is Canada’s first NASDAQ-100® technology-focused ETF designed to provide investors with exposure to only the “technology company” elements of the NASDAQ-100 Index®.

The new ETF comes in three versions: Canadian dollar hedged Units (QQQT), Canadian dollar unhedged units (QQQT.B) and U.S. dollar unhedged units (QQQT.U).

To learn more about the Evolve NASDAQ Technology Index Fund, please click here:


  1. Jyoti, R. & Kuppuswamy, R., “Create More Business Value from Your Organizational Data Embrace Organic Integration of AI across the Business,” IDC, February 2023,
  2. Ibid
  3. Krause, R., “AI Stocks: Tech Giants, Cloud Titans, Chipmakers Battle For An Edge,” Investor’s Business Daily, July 24, 2023;
  4. Jyoti, R. & Kuppuswamy, R., “Create More Business Value from Your Organizational Data Embrace Organic Integration of AI across the Business,” IDC, February 2023,
  5. Ibid
  6. Krause, R., “AI Stocks: Tech Giants, Cloud Titans, Chipmakers Battle For An Edge,” Investor’s Business Daily, July 24, 2023;
  7. “Sizing the prize What’s the real value of AI for your business and how can you capitalise?”, PwC, n.d.;
  8. Krause, R., “AI Stocks: Tech Giants, Cloud Titans, Chipmakers Battle For An Edge,” Investor’s Business Daily, July 24, 2023;
  9. Marex, M., “NDXT10™ Index: Accessing the Pure Tech Sector Exposure of the Nasdaq-100®,” Nasdaq, n.d.,
  10. De Vynck, G., “The tech industry was deflating. Then came ChatGPT.” The Washington Post, June 4, 2023;
  11. Krause, R., “AI Stocks: Tech Giants, Cloud Titans, Chipmakers Battle For An Edge,” Investor’s Business Daily, July 24, 2023;
  12. Jennewine, T., “This Artificial Intelligence (AI) Growth Stock Could Be Worth $3 Trillion by 2024, According to Wall Street,” The Motley Fool, July 13, 2023;


The contents of this blog are not to be used or construed as investment advice or as an endorsement or recommendation of any entity or security discussed. These contents are not an offer or solicitation of an offer or a recommendation to buy or sell any securities or financial instrument, nor shall it be deemed to provide investment, tax or accounting advice. The information contained herein is intended for informational purposes only.
Commissions, management fees and expenses all may be associated with exchange traded funds (ETFs) and mutual funds (funds). Please read the prospectus before investing. ETFs and mutual funds are not guaranteed, their values change frequently, and past performance may not be repeated. There are risks involved with investing in ETFs and mutual funds. Please read the prospectus for a complete description of risks relevant to ETFs and mutual funds. Investors may incur customary brokerage commissions in buying or selling ETF and mutual fund units.
Certain statements contained in this blog may constitute forward-looking information within the meaning of Canadian securities laws. Forward-looking information may relate to a future outlook and anticipated distributions, events or results and may include statements regarding future financial performance. In some cases, forward-looking information can be identified by terms such as “may”, “will”, “should”, “expect”, “anticipate”, “believe”, “intend” or other similar expressions concerning matters that are not historical facts. Actual results may vary from such forward-looking information. Evolve Funds undertakes no obligation to update publicly or otherwise revise any forward-looking statement whether as a result of new information, future events or other such factors which affect this information, except as required by law.
Nasdaq®, Nasdaq-100®, Nasdaq-100 Index®, Nasdaq-100 Technology Sector Adjusted Market-Cap Weighted™ Index are trademarks of Nasdaq, Inc. (which with its affiliates is referred to as the “Corporations”) and are licensed for use by Evolve ETFs. The Product(s) have not been passed on by the Corporations as to their legality or suitability. The Product(s) are not issued, endorsed, sold, or promoted by the Corporations. THE CORPORATIONS MAKE NO WARRANTIES AND BEAR NO LIABILITY WITH RESPECT TO THE PRODUCT(S).

Tags AI  Amazon  Apple  artificial intelligence  companies listed on Nasdaq  disruption  growth  investing Nasdaq  Meta  Microsoft  Nasdaq 100 companies  Nasdaq 100 index  Nasdaq fund  Nasdaq holdings  Nasdaq index  Nasdaq today  nasdaq-100  Netflix Nasdaq  nvidia  qqqt etf  stocks on Nasdaq  technology  Tesla  top stocks on Nasdaq