CSC: Maintain long-term bullish outlook on North American computing power and domestic AI computing power industry chains

China Securities Co. (CSC) maintained its long-term bullish view on North American and domestic Chinese AI computing supply chains in a November 8 communication-sector strategy report, citing rapid commercialization of large models. OpenAI and Anthropic together reached roughly $124 billion in annualized recurring revenue by the end of September 2026, while the four major North American cloud service providers spent about $208.7 billion in capex in Q3 2026, up 84.2% year over year. CSC flagged recursive self-improvement as a potential driver of further model capability gains and said AI coding has established a clear commercialization path, with broader "generalized programming" areas such as design, modeling and simulation, plus AI4Science and robotics, opening longer-term growth space. The report underscores sustained, high-intensity AI infrastructure investment as the basis for continued compute demand. Investors will watch whether CSP capex growth and AI revenue run-rates hold up through 2027, and how domestic Chinese AI compute suppliers capture spillover demand.