Comparison of Hardware and Software in Artificial Intelligence Investments

Investors looking to shape their investments in the artificial intelligence market are trying to choose between defense-focused software and high-speed semiconductor growth. Robert Izquierdo compared BigBear.ai and Cerebras Systems within the framework of 2026 projections.

Hardware and Software in the Artificial Intelligence Market

Investors wanting to capture a share of the artificial intelligence market generally evaluate options between hardware and software. Choosing between BigBear.ai and Cerebras Systems requires striking a balance between defense sector systems and high-speed semiconductor growth.

BigBear.ai's Operations

BigBear.ai develops software for decisions that help government agencies and defense intelligence groups make better decisions. The company continues its operations focusing on global supply chains and national security.

The fact that the US government is a major customer and constitutes a significant portion of the revenue creates an additional layer of risk for the business. The company generated $127.7 million in revenue in the 2025 fiscal year, recording a 19.3 percent drop compared to the previous year.

Cerebras Systems Infrastructure Solutions

Cerebras Systems builds unique artificial intelligence infrastructures designed to meet the massive computing demands of developers. Its primary product is a wafer-scale system that integrates many processors on a single silicon chip to increase processing speed.

The company provides both systems and cloud-based services to various industries, including medical research and energy. In the 2025 fiscal year, its revenues reached $510.0 million, showing a significant increase of 75.7 percent compared to the previous year.