Nvidia’s plan to buy AI platform Hugging Face for US$12.9b signals a new phase where control of software, communities, and data can matter as much as chips. That shift could reshape which companies benefit most from the AI buildout, and which get left behind. This article looks at 3 stocks exposed to this news and explains how the deal could support or challenge their long term AI platform ambitions.
The three stocks covered next are a sample of how investors might think about Nvidia’s move, while the full screen surfaced 25 more companies with equally compelling AI platform and infrastructure narratives that are not covered here. To see the wider field and start comparing potential AI platform enablers on your own terms, head straight into the Artificial Intelligence (AI) Platforms and Infrastructure Enablers screener
Amdocs (DOX)
Amdocs is a US$6.5b software company that runs complex billing, customer experience and network operations platforms for telecom and media providers. Its cloud based, AI ready suites fit naturally into the AI Platforms and Infrastructure Enablers theme. The business generates essentially all of its revenue, about US$4.7b, from providing software products and services, with customers spread across North America, Europe and the rest of the world.
Investors looking at Nvidia’s push deeper into AI platforms may want to pay attention to how Amdocs is trying to position itself as the AI operating layer for telecoms. Its GenAI led CES25 suite, Cognitive Core and aOS framework, plus long running managed service contracts, give Amdocs a way to plug Nvidia, Microsoft and other AI ecosystems directly into customer billing, network and customer care systems. There are risks, including one off charges that have affected recent margins and reliance on large carrier customers that may pressure pricing. Yet recent multi year AI focused deals and its role as a highlighted Nvidia partner indicate that its positioning in AI related telecom software and services is a notable aspect of its business profile.
Amdocs’ push to become the AI operating layer for telecoms is easy to overlook when you only focus on one-off charges and large carrier exposure. Get the full picture in the 4 key rewards and 1 important warning sign
IONOS Group (XTRA:IOS)
IONOS Group runs web hosting, website building tools with AI support, and its own public and private cloud. This makes it a natural fit for an AI platforms and infrastructure theme focused on where AI workloads actually run. The company reports all its revenue, about €1.36b, from a combined Web Presence & Productivity and Cloud Solutions segment that serves millions of small and medium sized businesses across Europe and the US. With a market cap of roughly €4.5b, IONOS Group is a sizeable European player in web infrastructure and cloud services.
IONOS Group is worth a closer look if you care about where smaller businesses will actually deploy practical AI tools. Management is pushing AI across its product set, from an AI phone receptionist for SMEs to sovereign EU-hosted AI services that aim to meet strict GDPR rules. At the same time, high debt levels and reliance on external funding create real pressure if borrowing costs rise or growth slows, so execution on AI driven upselling and cloud contracts matters. Investors who want the full context on how those strengths balance against funding and competitive risks are missing the most important part of the story so far.
IONOS Group’s push into AI tools for SMEs and sovereign EU cloud services could be masking a far more interesting trade off between growth and funding pressure. For the full context, see the analysis report for IONOS Group.
Klaviyo (KVYO)
Klaviyo is a cloud based B2C CRM and marketing platform that lets brands plug AI directly into email, SMS and customer service workflows. This fits the AI Platforms and Infrastructure Enablers theme as an application layer where models can run at scale. The company generates essentially all of its US$1.39b of revenue from internet software subscriptions and related services, serving businesses across the United States, Europe and other international markets. Klaviyo has a market cap of about US$5.9b.
Investors watching Nvidia push deeper into AI platforms may want to look at how Klaviyo is trying to turn its CRM, data platform and AI agents into the default “intelligence layer” for consumer brands. The company is leaning into first party data, AI powered agents like Composer and Customer Agent, and bigger enterprise contracts. Together, these could support higher quality recurring revenue if adoption continues. At the same time, margin pressure from carrier fees, rapid product rollouts and strong competition from larger software suites mean execution risk is real. Add in a relatively new leadership bench and financing sensitivity, and Klaviyo becomes a stock where the upside story is clear, but the real question is whether the current price fully reflects the AI platform ambitions outlined so far.
Klaviyo’s push to be the intelligence layer for consumer brands can look like a simple growth story, yet the real twist sits in how its AI ambitions show up in the analyst forecasts for Klaviyo
Seeking Alternatives Before The Crowd
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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