Investing In Technology: How Category Growth Is Changing The Game
Sean Kennett | January 18, 2018
Attracting the world’s business leaders and pioneering thinkers, the Consumer Electronics Showcase (CES), recently concluded in Las Vegas. It was an informative and at times exhilarating display of ground-breaking technologies and forward-thinking initiatives.
The 2018 CES was a wonderful demonstration as to why savvy businesses and investors are now placing a strategic focus on specific market growth areas versus overly diversifying in the technological market that is ever-changing.
The 2018 Consumer Electronics Show broke records with more than 3,900 exhibitors showing their innovation using over 2.75 million square feet of space at multiple locations within Las Vegas. According to the CTA, it was the largest show floor in CES’ 51 year history. I have been attending CES for over 20 years and was truly amazed to see how much it has grown, particularly in the areas of business where Cemtrex is now concentrating. IoT, wearable electronics, and AR/VR were a huge focus at this year’s show. I believe this helps to validate some of the reports we have seen regarding the anticipated growth of business in these areas and why we have made them a big part of our corporate strategy.— Joe Novelli, VP of Cemtrex Advanced Technology
IoT: Why It’s Smarter To Get Connected
CES 2018 demonstrated how many companies are concentrating on improving the marketplace for consumers by offering a wide-range of devices embedded with sensors, software, electronics to exchange information and improve user experience and interactions.
One significant reason for this committed focus is due to the fact that the global IoT market is projected to grow from $157B in 2016 to $457B by 2020, attaining a Compound Annual Growth Rate (CAGR) of 28.5%.
AR/VR: How We Experience Reality Is Changing
The Consumer Technology Association (CTA) is project that sales of Augmented Reality (AR) and Virtual Reality (VR) headsets and eyewear to reach a record 4.9 million units in the U.S. in 2018, a more than 25% increase from 2017. Those sales will produce about $1.2 billion in revenues, a 10% increase from 2016.
This category is also expected to see a considerable growth in sales, particularly in the consumer-focused market, projected over the next five years. This level of rapid growth is partially due to significant investments and developments being pioneered by the large tech giants as they seek to innovate the next big computing platform.
Wearables: The Future of Technology
One of the categories to have seen a remarkable evolution is that of the wearables market. This growth can be attributed to the fact that many of these devices perform similar tasks to mobile phones and laptops, and in many instances can outperform them entirely.
The global market for wearable technology is forecasted to grow to around six billion U.S. dollars by the end of 2018, with the increasingly diverse market for wearable devices estimated to reach over $150 billion annually by 2027.
The Future is Looking Bright
Every year we are continually impressed by the evolution of technology and how it is being leveraged and applied to help improve lives across the globe.
To learn more about how Cemtrex Inc. (NASDAQ: CETX) is addressing the needs of a wide-variety of industries including IOT, Virtual Reality (VR), Augmented Reality (AR), and Wearable Technology around the world download our latest investor presentation here.