Gartner emphasizes AI as the highest demand area, with rollout of AskGartner, an AI-powered insights tool, expected to be completed for all licensed users by year-end.
AI is also used internally, with over 50 applications to improve associate productivity and effectiveness.
Management views AI as a key to reaccelerating growth and improving operational efficiency, with early promising results but long-term impact still uncertain.
AI and Data Center Opportunities in Semiconductor Portfolio
Microchip has secured design wins in data center infrastructure, including AI acceleration, storage, and network infrastructure, with tier 1 cloud providers and enterprise leaders.
Rich Simoncic highlighted advancements in AI coding assistants, which improve customer productivity by up to 40%, with a new AI agent feature to be released in September 2025.
The company is expanding its connectivity, storage, and compute offerings for AI and data center applications, including intelligent power modules for AI at the edge.
Security enhancements include embedded controllers with post-quantum cryptography support, complying with NSA mandates and standards like CNSA 2.0 and European Cyber Resiliency Act.
Accelerated Path to Data Center Stabilization and Build Efficiency
Adaire Fox-Martin indicated plans to accelerate stabilization of new data centers, reducing the typical 18-24 month build cycle by leveraging fewer phases and larger footprints.
The strategy involves pre-selling or pre-leasing assets to de-risk investments and support faster revenue stabilization.
This approach is driven by increased customer footprint requirements, especially for AI workloads, and aims to support durable growth beyond 2029.
Akamai's Cloud Infrastructure Services Portfolio and AI Market Opportunities
Akamai's cloud infrastructure services (CIS) revenue in Q2 was $71 million, growing at 30% year-over-year, driven by AI application deployments.
Management highlighted the strategic focus on AI-related solutions like Edge Workers and Linode-based compute and storage solutions.
The company introduced an AI gateway to address latency, security, and cost challenges of deploying large language models at scale.
AI gateway enables processing requests closer to users at the edge, improving speed, energy efficiency, and user experience.
Akamai's platform spans over 4,300 points of presence globally, supporting AI applications such as image classification, speech-to-text, chatbots, and inference engines.
Management emphasized the synergy between cloud computing, security, and delivery lines, with large contracts signed for AI-driven applications.
Dafinchi