The global narrative surrounding Artificial Intelligence is one of abstraction. We discuss the “cloud,” foundational models, and neural networks as if they exist in an intangible, digital ether. This perception is a dangerous oversimplification.

At B9F7 Parvis Trust, our investment thesis is grounded in physical reality. The AI revolution is not an abstraction. It is a capital-intensive, industrial-scale phenomenon that is entirely dependent on a complex, high-stakes, and increasingly fragile physical supply chain. The future of AI is not just about code; it is about power grids, advanced manufacturing, and secure logistics.

While the world is captivated by the outputs of AI, we are focused on its inputs. This new supply chain represents the most critical—and most defensible—investment opportunity of the next decade, and it sits at the nexus of all our core sectors.

This supply chain has four critical, physical links.

1. The Energy Link: AI is, first and foremost, an energy-based commodity. The computational power required to train and run large-scale models is voracious. This consumption is not a minor expense; it is a primary constraint. The result is a new, global competition for stable, massive-scale power. This inextricably links our New Energy thesis to our AI thesis. The future AI hubs will not be built in the regions with the cleverest algorithms; they will be built in the regions with the most resilient, abundant, and increasingly sustainable energy grids.

2. The Manufacturing Link: AI runs on specialized hardware, primarily advanced semiconductors. The fabrication of these chips is arguably the most complex and capital-intensive manufacturing process humanity has ever created. This supply chain is defined by its extreme concentration, its reliance on rare materials, and its multi-year development cycles. A disruption in this single, hyper-specialized manufacturing base has the power to halt the entire global AI economy.

3. The Infrastructure Link: Once the chips are manufactured and the energy is secured, this power must be connected. This is the Network Infrastructure link. The AI economy requires an unprecedented build-out of a specific class of real, physical assets. This includes a new generation of high-density, liquid-cooled data centers. It also demands a massive expansion of high-bandwidth, low-latency fiber optic networks and subsea cables to move petabytes of data between these new “AI factories” and the end users.

4. The Security Link: This entire, high-value physical chain—from the power station to the chip fab to the data center—represents the new frontier of systemic risk. Our Data Security thesis is no longer just about protecting data in the cloud; it is about protecting the “cyber-physical” systems that are the cloud. A physical attack on a key energy hub or a cyber-attack on a semiconductor foundry’s control system is no longer a regional problem; it is a global economic threat.

The public perceives AI as a software-driven phenomenon. As long-term investors in foundational assets, we see it for what it is: a new industrial revolution. The most enduring value will not be created by those who simply use the AI models, but by those who build, fund, and secure the physical supply chain that makes them possible.