“Sir Christopher Hohn’s hedge fund TCI has dumped almost all of its $8bn stake in #USA software giant #Microsoft, telling #investors that #ArtificialIntelligence poses a threat to the company’s dominant #software products.
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“Sir Christopher Hohn’s hedge fund TCI has dumped almost all of its $8bn stake in #USA software giant #Microsoft, telling #investors that #ArtificialIntelligence poses a threat to the company’s dominant #software products. TCI, one of the world’s biggest and best-performing hedge funds, has held a large stake in the #tech giant for much of the past decade, but slashed it from 10 per cent of its portfolio at the end of last year to just 1 per cent by the end of March, according to an #investor letter seen by the FT.”
Is this the signal that the AI fund cycle is ending?
#ChristopherHohn / #TCI / #HedgeFund / #AI / #WhiteCollar / #ZeroHourWork <https://archive.md/vlZ1Q> / (paywall) <https://www.ft.com/content/ac5d90a9-b010-4529-9616-706420920681>
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“Sir Christopher Hohn’s hedge fund TCI has dumped almost all of its $8bn stake in #USA software giant #Microsoft, telling #investors that #ArtificialIntelligence poses a threat to the company’s dominant #software products. TCI, one of the world’s biggest and best-performing hedge funds, has held a large stake in the #tech giant for much of the past decade, but slashed it from 10 per cent of its portfolio at the end of last year to just 1 per cent by the end of March, according to an #investor letter seen by the FT.”
Is this the signal that the AI fund cycle is ending?
#ChristopherHohn / #TCI / #HedgeFund / #AI / #WhiteCollar / #ZeroHourWork <https://archive.md/vlZ1Q> / (paywall) <https://www.ft.com/content/ac5d90a9-b010-4529-9616-706420920681>
@peterrenshaw Are you assuming that one fund manager’s trade signals the end of an entire investment cycle?
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@peterrenshaw Are you assuming that one fund manager’s trade signals the end of an entire investment cycle?
correlation @hannaB, I’m making a hunch that Hohn has knowledge of future investment plans and adjusts. Wait, we’ll see how this plays out.
I’m still of the opinion that “stupid money” being thrown at AI (hardware, data centres, energy) is trying to improve machine thinking to replace engineers & white collar professionals.
The functionality, quality and value of business that commercialise software can be measured. Do you see the reporting of software companies with increased downtime, hacks? A symptom of LLM and AI miss-use replacing SWE or adversarial LLM hacking?
Either way a shift in business has occurred in tech and the rules have changed. Confusion, chaos or opportunity?
source #WhiteCollar <https://ioc.exchange/search?q=%23Whitecollar>.
#ZeroHourWork <https://ioc.exchange/search?q=%23ZeroHourWork>
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correlation @hannaB, I’m making a hunch that Hohn has knowledge of future investment plans and adjusts. Wait, we’ll see how this plays out.
I’m still of the opinion that “stupid money” being thrown at AI (hardware, data centres, energy) is trying to improve machine thinking to replace engineers & white collar professionals.
The functionality, quality and value of business that commercialise software can be measured. Do you see the reporting of software companies with increased downtime, hacks? A symptom of LLM and AI miss-use replacing SWE or adversarial LLM hacking?
Either way a shift in business has occurred in tech and the rules have changed. Confusion, chaos or opportunity?
source #WhiteCollar <https://ioc.exchange/search?q=%23Whitecollar>.
#ZeroHourWork <https://ioc.exchange/search?q=%23ZeroHourWork>
@hannaB I can also see the “investment cycle” being disrupted by instability in the Strait of Hormuz. In industries effected think costs increasing 10-30% due to by product supplies, transport et.,al.
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@hannaB I can also see the “investment cycle” being disrupted by instability in the Strait of Hormuz. In industries effected think costs increasing 10-30% due to by product supplies, transport et.,al.
@hannaB source Sal Mercogliano (WGOW Shipping) <https://www.youtube.com/@wgowshipping/videos>
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“Sir Christopher Hohn’s hedge fund TCI has dumped almost all of its $8bn stake in #USA software giant #Microsoft, telling #investors that #ArtificialIntelligence poses a threat to the company’s dominant #software products. TCI, one of the world’s biggest and best-performing hedge funds, has held a large stake in the #tech giant for much of the past decade, but slashed it from 10 per cent of its portfolio at the end of last year to just 1 per cent by the end of March, according to an #investor letter seen by the FT.”
Is this the signal that the AI fund cycle is ending?
#ChristopherHohn / #TCI / #HedgeFund / #AI / #WhiteCollar / #ZeroHourWork <https://archive.md/vlZ1Q> / (paywall) <https://www.ft.com/content/ac5d90a9-b010-4529-9616-706420920681>
@peterrenshaw Does TCI’s move mean they think Microsoft’s own AI investments will cannibalize its existing software revenue rather than create new growth?
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R relay@relay.mycrowd.ca shared this topic
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@peterrenshaw Does TCI’s move mean they think Microsoft’s own AI investments will cannibalize its existing software revenue rather than create new growth?
“We are focused on delivering cloud and AI infrastructure and solutions that empower every business to eval-max their outcomes in the agentic computing era," — Satya Nadella
<https://www.microsoft.com/en-us/Investor/earnings/FY-2026-Q3/press-release-webcast>
Q How will MS lead the software market relying on AI agentic computing when AI is not free? Then compete with other SW competitors on Linux for example?
Fundamentals. Poor business decisions by MS, not technical ones is possibly why TCI is dumping MS.
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“We are focused on delivering cloud and AI infrastructure and solutions that empower every business to eval-max their outcomes in the agentic computing era," — Satya Nadella
<https://www.microsoft.com/en-us/Investor/earnings/FY-2026-Q3/press-release-webcast>
Q How will MS lead the software market relying on AI agentic computing when AI is not free? Then compete with other SW competitors on Linux for example?
Fundamentals. Poor business decisions by MS, not technical ones is possibly why TCI is dumping MS.
@peterrenshaw Exactly. The cost structure of AI agents completely changes the economics of software-if every query has a per-use cost, the old high-margin licensing model breaks down.
