The current stock market is backward-looking and pessimistic about the future.
The stock market has been the best-selling soap opera in recent years. Every move, every word, and every frown of the economic actors becomes an excuse to move stocks. In this context, we approach the end of 2021 with marked volatility that leaves us with more questions than answers. Will the bear come to attack or will it be a truce? It is difficult to know what will happen in the short term but not so much for those who look one step ahead and see that the trend is clear; technology is here to stay and change our lives forever. Then the sell-off has begun in 2022. Everyone begins to doubt everything they believed in 2021! The current market tries to avoid artificial intelligence, blockchain, big data, virtual reality, etc., as a fad from which we are already emerging but promotes the oil industry and traditional business sectors. It seems like an act of revenge from 2020 that traditional companies were missing out. As if it were normal that their shares would fall after two years of continuous growth in technology companies. But let’s put things into perspective: it is not strange or unnatural for technologies to go through phases of dislocation.
Blockchain will revolutionize our world
Blockchain technology has been around for a while. It is used to create decentralized structures that allow the exchange of goods and services with no central control. Blockchain allows people who do not trust each other to exchange goods and services. It works thanks to a distributed network in which information is replicated on thousands of computers, which share the information and make any change noticeable. This technology is currently being used for financial services, real estate, supply chains, energy, etc.
Big data will be a fundamental tool to understand consumers
In the previous decade, we have seen companies such as Netflix (NFLX), Amazon (AMZN), Google (GOOG) or Meta (Facebook) grow exponentially thanks to the tools they have to understand their customers. This has been possible thanks to Big Data, which is nothing more than the analysis of large amounts of information. In addition, social networks like Meta (Facebook), Twitter, or Instagram have allowed the analysis to be applied to social relationships. Big Data has also been applied to e-commerce, product recommendations, marketing or fraud detection. All this has led to an unprecedented growth in the last ten years that has allowed companies to achieve things that were unthinkable a few years ago. However, such growth has been stopped due to social resistance to privacy invasion, mental disparity, misinformation, and political hatred.
Virtual reality will be more than a fad
Virtual reality has been around for decades, but only in recent years has it become a product that is actually usable. Virtual reality is a computer-generated environment that can be experienced through sensory stimulation, such as sight, sound, smell, and touch. We are surrounded by virtual reality in everyday life. We see it in the entertainment industry, in sports, in medicine and in education.
Conclusion
We are in the midst of a technological revolution that is changing the way we work, play, and live. As investors, it is important to keep an eye on the progress of these technologies that are shaping our future. If you want to make sure that you are keeping up with the latest technological trends, you can read blogs and articles related to the latest technologies. You can also follow companies that are developing new technologies and see what they are doing.
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