The primary bottleneck for AI expansion is powered data center capacity, which is extremely scarce.
The competitive AI arms race among trading firms could compress margins to zero.
Underestimating long-term GPU needs has been a "punishing failure," forcing a constant, reactive scramble for capacity.
The rapid, exponential pace of AI development feels like a "delirium," making long-term strategic planning difficult and uncertain.
Opportunities Identified
Newer AI models (e.g., Anthropic's Opus 4.5) are crossing a critical threshold of capability, enabling meaningful augmentation of research and trading.
AI's ability to handle implementation can unlock new talent pools, allowing firms to hire more "theorists" focused on novel idea generation.
The cultural shift at large AI labs towards a "big tech" environment creates a recruiting advantage for specialized firms like HRT.
A unified AI-based trading approach can be applied across all global asset classes, creating significant operational leverage.