Morgan Stanley: Open AI Models Expand Market

MORGAN STANLEY: OPEN AI MODELS EXPAND THE MARKET Morgan Stanley says the rise of open-weight AI models such as Kimi K3, Qwen, and Llama should accelerate AI adoption by lowering costs, not hurt the industry's leaders.

The bank argues cheaper AI will drive broader enterprise usage, citing the "Jevons Paradox." Morgan Stanley expects open and closed models to coexist, with 63% of enterprises already using both.

It says Nvidia remains the biggest winner regardless of which AI model architecture prevails, as demand for AI computing infrastructure continues to grow.