The “Elon Musk’s NEW AI Masterplan” pitch from Brownstone Research’s Near Future Report stacks three “secret” stocks on top of each other, one for each step of a plan where Musk would “take control of the entire AI industry.” Step two is the energy, and our teardown identified that pick as STMicroelectronics (STM), the Franco-Italian semiconductor maker. It is the middle leg of the three-step story, and it deserves its own look.
The pitch’s headline promise is that these three stocks can “unleash enough wealth to make every household in America $2.38 million.” STMicroelectronics sits in the energy step because its power chips are the kind of silicon that electricity-hungry AI infrastructure and electrification depend on.
What STMicroelectronics does
STMicroelectronics is one of Europe’s largest semiconductor companies, with a broad portfolio spanning microcontrollers, analog chips, sensors, and power semiconductors. Its parts go into cars, industrial equipment, personal electronics, and communications gear. Within the power segment, it is a major player in silicon carbide, the material that makes electric-vehicle inverters and charging infrastructure more efficient.
That breadth is the point. The energy step of the Masterplan is not about one narrow component. It is about the silicon that moves, converts, and manages electricity across vehicles, factories, and data centers, and STMicroelectronics is one of the few companies with a hand in all of it.
How it compares to onsemi
The applications pick, onsemi, and the energy pick, STMicroelectronics, sit in overlapping territory. Both are top-tier power chipmakers, and both compete in silicon carbide. The differences are geographic and structural. STMicroelectronics has deep ties to the European automotive and industrial base, while onsemi, the second-largest power chipmaker in the world, leans more heavily on North American electric-vehicle customers and adds a leading position in automotive image sensors.
That image-sensor strength is why onsemi, not STMicroelectronics, is the applications pick. The pitch says onsemi is “already supplying Tesla with a key piece of sensor technology,” and it frames onsemi as the “backdoor” into the Optimus robot. STMicroelectronics plays the broader energy story rather than the robot-specific one.
What the fine print says
The honest caveats apply to the whole three-step pitch. STMicroelectronics, like onsemi, trades in a mature, cyclical market, and the ad’s most eye-catching number does not belong to it. The “$500 billion in 2027” figure is aimed at ASML, the chip-equipment maker whose annual revenue is around $30 billion. That number is a rhetorical flourish, and it should make a reader check the rest of the claims.
The pitch also drops a filler line, that “39 hedge funds are investing” in the stock. That is true of essentially every large-cap and is not a signal by itself. And the broader caveat holds: the robot and AI-infrastructure catalysts are real but spread over years, not quarters.
The valuation frame
The pitch does not publish a fresh tease price for STMicroelectronics the way it does for onsemi, which it re-pitches at the current close of $71.67. onsemi trades at about 18 times forward earnings with a roughly $28 billion market cap. STMicroelectronics is a larger, more diversified business, and its valuation should be read against its own automotive and industrial exposure rather than against onsemi’s robot angle.
STMicroelectronics also brings a customer base that spans the globe in a way few rivals match. It supplies the big European automakers, industrial giants, and consumer brands, which gives it diversification across regions and end markets. That breadth is a double-edged quality. It makes the business steadier through any single regional downturn, but it also means the stock will not move as sharply on any one theme, such as robots, as a more focused name like onsemi would. For an investor weighing the energy step of the Masterplan against the applications step, that is the key trade-off: STMicroelectronics is the diversified version of the same electrification bet that onsemi makes more aggressively. The energy step is the least flashy of the three, but it is also the one with the broadest and most durable demand.
The bottom line
STMicroelectronics is a credible, diversified energy-step pick with real silicon carbide strength. It is not as tightly tied to the Optimus robot story as onsemi is, but it plays the broader electrification theme the Masterplan rests on. For the theme in context, see our physical AI explainer, and for the applications pick specifically, our onsemi explainer.
The offer is worth stating plainly. The Near Future Report costs $179 for the first year and renews at $199, with a 30-day refund window, so you can read the full reports and ask for your money back if they do not hold up. Subscribing unlocks the special report the pitch is built around, the “Manifested AGI Revolution,” which names the stocks the ad teases. The fine print worth remembering is that these are large, well-covered companies trading near their current prices, not the “secret” the headline suggests.
Ready to see the research? Click here to view the Elon Musk’s AI Masterplan presentation.
NewsletterVetter is an independent publication. We receive compensation from some of the services we review through affiliate links. Nothing on this site is investment advice. Always do your own research.