The strongest AI candidate in 2026
Dan Ives’ revised AI-30 framework suggests that infrastructure-layer AI names remain the most advantaged going into 2026. The companies with the clearest revenue visibility, deep enterprise penetration and defensible moats continue to be the hyperscalers and critical-infrastructure vendors.
For 2026, the strongest overall AI pick is still Microsoft.
It benefits from four reinforcing drivers:
1. Copilot embedded across Windows, Office and Azure
2. Cloud-scale AI infrastructure
3. The most proven enterprise distribution
4. Early monetisation already showing up in growth reacceleration
This makes it the clearest “AI monetisation now” story, not merely a future optionality play.
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Is Snowflake the buying opportunity?
Snowflake remains one of the purest enterprise-data AI beneficiaries, but the market has punished it for:
slowing consumption growth
guidance resets
management turnover
delayed AI revenue contribution
Its recent dip reflects those execution risks, not a broken thesis. Snowflake still holds structural relevance because enterprise AI relies on clean, accessible data. If its AI products (Snowpark, Cortex) gain adoption in 2026, the revenue inflection could be meaningful.
Verdict
For conservative investors: not the highest-conviction AI pick for 2026.
For tactical/medium-risk investors: yes, the dip can be a staged buying opportunity, provided one accepts volatility and delayed payoff.
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If you want diversified SaaS exposure
The iShares Expanded Tech-Software Sector ETF (IGV) remains the cleanest way to hold a broad SaaS basket without single-company execution risk. IGV gives exposure to:
Microsoft
Adobe
Salesforce
ServiceNow
Intuit
These firms are already deploying AI across large subscription bases, allowing more immediate monetisation than smaller SaaS players.
If your objective is steady, indexed SaaS-AI exposure, IGV continues to serve that purpose well.
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My consolidated view
Best large-cap AI pick for 2026: Microsoft
Most asymmetric opportunity: Snowflake (higher risk, higher potential but dependent on an execution turnaround)
Best diversified SaaS strategy: IGV ETF
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