Global artificial intelligence infrastructure spending is projected to reach $660 billion to $690 billion in 2026, creating sustained demand for the foundational technologies and components that support data center expansion. This continued investment cycle has positioned semiconductor suppliers and hardware manufacturers as key beneficiaries of the broader AI buildout, mirroring the historical "picks and shovels" dynamic where suppliers of essential infrastructure benefit alongside the primary industry.
Micron Technology stands as a significant player in this ecosystem, specializing in high-bandwidth memory (HBM) chips essential for AI data center operations. The company's HBM products have experienced substantial market appreciation, with prices increasing 75 percent in recent periods as demand for advanced memory solutions accelerates. The firm's strategic positioning in memory supply aligns with the anticipated acceleration of data center deployments requiring enhanced computational capabilities.
Jabil Circuit, a major original design manufacturer and contract manufacturer for data center hardware, is experiencing comparable momentum in its AI-focused business segments. The company has provided guidance indicating AI-related revenue is expected to grow 35 percent, reaching $12.1 billion as enterprises and cloud providers continue infrastructure investments. Both companies are trading at valuations considered competitive relative to broader technology indices such as the Nasdaq-100, presenting investors with exposure to sustained AI infrastructure development.