"" is an online discussion by popular and particular financier and consultant, Jeff Brown. In this presentation, he is promoting his newsletter service, called the . In addition, the stock he is evaluating and advising on in the online video is a company that is in the innovation space and makes semiconductor chips. What is a semiconductor chip? It's a gadget made of interconnected electronic components that are engraved or imprinted onto a tiny slice of semiconducting product, such as silicon or germanium. A semiconductor chip smaller than a fingernail can hold countless circuits. Usually, these are simply called "chips." This company has created a chip that will be used to access the 5G network which is presently being set up in lots of locations worldwide (first lady).
This will impact both our professions, how we purchase things online, and how we interact. Brown talks about that the most significant impact will be on "innovations of the future." What are "innovations of the future"? Some examples would be: self-governing vehicles, the Web of Things (Io, T), hologram innovation, robotic surgery, language translation without hold-ups, augmented truth, and virtual truth. That's a lot! But it will also influence on things we utilize every day. The biggest of which is our mobile phones. For example, Samsung has actually already started including 5G ability to its brand-new phone releases. In reality, Jeff showcases one that can utilize 5G.
A hardly ever known business that might have a monopoly over the important chip. Brown says that the demand for those chips by other phone makers could significantly increase the chip maker's earnings and lead to a strong rise in its stock rate. Up until now, huge tech business like Samsung, Huawei, and Apple have positioned orders for the highly desired 5G chips. With these crucial collaborations in location, its stock could soar in the next couple of years as strong demand for 5G-capable mobile phones dramatically rises. Brown states that by the time 5G reaches mass adoption worldwide when approximately 250 million gadgets will be purchased, the odd business could see its profits reach $3.
Van Bryan here, Jeff Brown's longtime handling editor. Invite back to Jeff's 2021 forecast series. Over the next couple of days, Jeff is sharing his ideas on the year that was and using a few predictions for the year ahead. For today's Bleeding Edge, I took a seat with Jeff to discuss what a Biden administration might suggest for the high-technology sector and the wider equities market. Keep reading Jeff, let's turn to the election. Besides COVID-19, it was most likely the most spoken about story of the year. You were on record predicting that President Trump would win reelection. Can you bring readers up to speed? That's right.
And as I stated at the time, that wasn't a political endorsement. I understand the president can be a polarizing figure. This was just the conclusion I pertained to based upon my analysis - biotech stocks. And what my analysis was revealing was that the policies pursued by the existing administration had produced one of the most robust economies in recent history. Particularly, I believe there were 4 crucial pillars: Reducing corporate and middle-income taxes Cutting unnecessary policy Reinvesting in American manufacturing Renegotiating unfair trade policies with America's trading partners We do not have time to discuss every one of these in detail. I in fact composed an entire report on this topic previously this year - tech stock.
Before COVID-19, unemployment was at a 50-year low. The U.S. wage and wage development rate had roughly doubled from late 2016 (bleeding edge). And the administration was taking on some unfair trade practices and intellectual residential or commercial property theft that had been neglected for decades. Investors had a lot to be thankful for. The 3 significant indices saw incredible growth throughout the very first few years of the Trump administration (biotech stocks). However now election night lags us. There are still a number of legal difficulties being considered, but for now, it appears that Joe Biden will be the next president of the United States. What are the ramifications for the innovation markets? You're right.
We'll have to wait to see what takes place there. However for now, let's assume Joe Biden takes office on the 20th of January. What does that mean for the high-technology sector? The message I wish to deliver to readers most importantly is this: No matter who is president, technology and biotechnology are going to have an extraordinary year in 2021. I've spent 35 years as an innovation financier and close to 30 years as a high-technology executive. And I have actually never ever seen the confluence of innovations that we are seeing right now. We have a combination of breakthroughs occurring in expert system and artificial intelligence.
We have extensive, affordable, basically unlimited computing power and storage. And we also have the deployment of advanced wireless technology with 5G. This is going to start a suite of brand-new innovation applications that would have been impossible even simply a few months ago. And this is all occurring at the very same time. [Be sure you inspect your inbox tomorrow afternoon. I'll be speaking to Jeff about the biggest 5G stories of 2020, and I'll ask him for his No. 1 5G forecast for 2021] This confluence is speeding up the rate of technological modification. Each of these innovations affects the others.
It's not an intellectual drawback. It's just that our brains are not wired to think greatly. Which's what we're going to see in 2021. Exponential growth is among the most effective forces in innovation investing. This type of growth slips up on us. It appears linear in the beginning. However then there is a sharp "elbow," and the trend goes vertical. And the speed at which that happens is why most don't spot it till too late. In hindsight, though, it's simple to spot. That's why my goal is to assist my readers purchase the most appealing tech business right prior to that elbow - tech stocks.
Could that have ramifications for stocks? Investors are most likely familiar with the Tax Cuts and Jobs Act. It was the most significant tax reform law considering that the 1981 Reagan tax reforms. tech stocks. One of the most significant things the law did was lower the corporate tax rate from 35% to 21%. That made American corporate taxes the least expensive they have actually been since 1938. And among the huge repercussions of this was that corporations needed to decide what they would make with all the money they were conserving. They mainly did two things. They purchased brand-new equipment, centers, and research study and advancement.
[Stock buybacks are when a company acquires its own shares and lowers the variety of exceptional shares, therefore increasing the worth of staying shares (future report review).] Both things were great for equity prices and financiers in American business - biotech stocks jeff brown. However if President Biden can push through higher corporate and personal tax rates, that would have an unfavorable effect. It'll lower intake and negatively affect the stock markets. We'll need to see if that occurs or not. However that's why I'll continue to focus on the world of high technology in 2021. Think about it. If a company provides an advanced product, service, or therapy, will it matter who is sitting in the Oval Office? It will not.
And if the marketplaces do experience a dip throughout the next administration, that might be a fantastic buying opportunity for some of the exciting companies I have on my radar. I'll make certain to keep my subscribers posted if there's any action we require to take. Thanks as constantly, Jeff. Anytime. Like what you're reading? Send your ideas to [email protected] (exponential tech investor).
Associate Jeff Brown is our go-to guy for all things tech. He invested 25 years as a state-of-the-art executive at a few of the best tech business in the world, like Qualcomm and NXP Semiconductors. And as an active and successful angel financier in early-stage tech business, he has access to information the general public never ever sees - the legacy report prediction. He's on the front line, in the field, seeing things months or years prior to the crowd captures on. Our mission at The Daily Cut is to help area market megatrends early on so you can benefit ahead of the crowd. So today, we're sharing 5 of Jeff's tech forecasts for 2021 - bleeding edge.
At the end of each year, I like to have a look at the huge picture and predict what's coming simply around the corner - brownstone research. Long time readers of my work know I follow the most amazing tech trends on the edge of mass adoption. That includes things like 5G networks, biotech, synthetic intelligence (AI), and a lot more. These patterns are experiencing rapid growth and producing unbelievable chances for investors. I wish to ensure all my readers are prepared for what's next. So with that in mind, I'll share five things I see can be found in the next 12 months Our new 5G (fifth-generation) cordless networks are a subject I've been covering for years now (jeff brown biotech pick).
Even with the COVID-19 pandemic raving, a remarkable 250 million 5G-enabled devices were still offered last year. However especially in the 2nd quarter, there were supply chain interruptions, making delays, and work interruptions (jeff brown top biotech stock 2021). All of this eventually caused Apple (AAPL) postponing the release of the 5G-enabled i, Phone 12 by 2 months. Losing 2 months of production and sales actually affects the number of 5G gadgets are offered in the fiscal year. When you think about that, offering 250 million units is remarkable. More importantly, the delays the pandemic caused developed a lots of pent-up demand. That need has actually now been pressed into 2021.
Which's not my only 5G forecast The 5G network rollout has three different phases. In Stage One, companies and federal governments construct out the infrastructure of these new networks, consisting of all the brand-new towers and fiber-optic circuitry 5G requirements. In Stage 2, 5G-enabled devices go on sale. 5G phones and other products start to reach consumers. In Stage 3, telecommunications business start offering 5G services. That's when we begin to see applications working on 5G networks. Consider things like massively multiplayer video games over a mobile phone. That's not possible with 4G. It will be with 5G. And my second 5G forecast for 2021 is that we will begin Phase Three by this summer.
But they will care if there are interesting applications they can access only with a 5G phone. So a growing number of customers will buy 5G phones to access these applications - jeff brown genome sequencing stock. That causes the advancement of more 5G apps (jeff brown market predictions). In fact, 5G is going to open a suite of amazing applications: self-driving cars, the Web of Things, robotic surgery, and more. All of these technologies require 5G. The investment chances moving forward will be enormous. Stepping far from 5G, the next important technology I foresee expanding in 2021 is CRISPR genetic editing. CRISPR represents "clustered routinely interspaced brief palindromic repeat." It's a mouthful.
At a high level, CRISPR can modify our genetic makeup as if it were software application. If there's a "typo" in software application code, it can be devastating. A program can crash or not operate properly. CRISPR uses a comparable idea however with our hereditary code. "Typos" in our genomes can lead to illness - diplomatic relations. CRISPR can remedy these "typos - first lady." For years, CRISPR was mostly a niche innovation that wasn't well understood. Throughout that time, there were actually only three business running in this space. However things are altering. CRISPR is no longer just theoretical. We're seeing actual results. We're treating diseases and seeing that this innovation works.