Alphabet could eventually be declared the ultimate winner of the artificial intelligence arms race, according to an analysis that cites long-term issues for Nvidia and Micron. Nvidia, the definitive AI build-out stock, makes GPUs and supporting products that are in extreme demand, but the analysis notes that eventually demand for its computing resources will not be as high, which could squeeze prices and margins. Micron produces memory chips in tight supply, which has boosted its profits, but new production capacity could negatively affect pricing as supply becomes more abundant. Alphabet is approaching the AI arms race in two ways: developing its own large language models and integrating them into its products, a business component that is still likely to lose money right now, and operating Google Cloud, which is making money from clients needing AI computing capacity, including Anthropic, a company Alphabet is competing against for large language models.