Tech Stocks Pause Amid Spending Patterns Review: Meta, Intel, Oracle Top Spenders

UBS analyzed 36 companies in its AI portfolio and ranked them by combined 2025 spending intensity. The top three spenders are Meta, Intel, and Oracle, while the bottom three are Mastercard, Uber, and Accenture. The exercise aims to help investors assess risks and opportunities, particularly during the tech sector's seasonal weakness in August and September. Despite caution, UBS maintains a balanced positioning strategy, recommending diversified opportunities across semiconductors, software, and internet within its AI portfolio.

UBS Group has taken a strategic step in its digital transformation journey by investing in and assuming a board role at Domino Data Lab. The Swiss bank, which operates in wealth management, investment banking, retail and corporate banking, and asset management, aims to leverage cutting-edge technology to enhance its financial services offerings. With USD 745.8 billion in current deposits and USD 580 billion in current loans at the end of 2024, UBS is positioning itself to stay ahead in the rapidly evolving financial technology landscape [1].

The investment in Domino Data Lab, a leading provider of an Enterprise AI platform, aligns with UBS's broader strategy to innovate and stay competitive. Domino's platform supports data scientists and engineers in building, training, and deploying machine learning models, providing features such as integrated Jupyter notebooks, version control, and secure data sharing [2]. This investment will enable UBS to improve its machine learning model training and deployment capabilities, ultimately enhancing its ability to deliver personalized and data-driven financial services to its clients.

The partnership with Domino Data Lab builds on UBS's existing collaboration with RiskLab, a platform for AI model development and validation built within the UBS environment using Domino's product [1]. The new partnership aims to streamline AI model development and deployment across the bank, driving efficiency and innovation while ensuring robust governance and risk management [1].

By strengthening its presence in the data science and machine learning sector, UBS is positioning itself to benefit from the significant economic impact and market growth projected for Generative AI. According to a Custom Market Insights report, the global Generative AI market is expected to grow from USD 20.28 billion in 2024 to USD 189.65 billion by 2033, representing a 28.2% CAGR [3]. Furthermore, open-source AI platforms like OpenAI's ChatGPT have demonstrated rapid adoption, reaching 100 million users within two months of launch [3].

In a separate analysis, UBS examined 36 companies in its AI portfolio and ranked them by combined 2025 spending intensity. The top three spenders were Meta, Intel, and Oracle, while the bottom three were Mastercard, Uber, and Accenture. This exercise aims to help investors assess risks and opportunities, particularly during the tech sector's seasonal weakness in August and September. Despite caution, UBS maintains a balanced positioning strategy, recommending diversified opportunities across semiconductors, software, and internet within its AI portfolio.

References:
[1] https://www.prnewswire.com/news-releases/ubs-invests-in-domino-data-lab-deepening-strategic-partnership-to-drive-next-wave-of-enterprise-ai-innovation-302534775.html
[2] https://www.ainvest.com/news/ubs-group-ag-invests-domino-data-lab-expands-market-2508/
[3] https://www.missioncloud.com/blog/ai-statistics-2025-key-market-data-and-trends