The competition of 5G is increasing in US, Asia and Europe

The rollover in the 5G networks has become a hot topic in the US, China and Europe. The competition of the leadership is increasing due to the market situation, standard setting and regulation. The hyped 5G is getting also comments related to ethics and good governance.

The speculations of global leadership in the 5G networks have been increasing due to the tensions between the US China trade talks and issues related to Huawei. The Chinese tech company was placed to black list by the US authorities due to the security concerns. The company has repeated that this is not the case.

Many market analysts say that the growth of the 5G investments will see the same kind of path as did the 4G. Others think that the path will be different due to the different applications the 5G is made for like the business to business applications. All agree that this game-changing technology, the 4th industrial revolution, will make the business difference.

The leadership talks is now between the US and China. It is expected that the Chinese markets will invest in the new technology 218 billion dollars during the years 2020-2025. This estimate from the China Internet Report also states that there would be 460 million 5G connections by the end of 2025. China has maintained the political ambition in the new technology.

Europe is lacking behind the 5G development about one year due to the lack of spectrum and the lack of integrated EU-tech strategy.

-5G delays in Europe are not tied to the choice of technology vendor. Europe instead faces a series of structural problems that hinder 5G development.  Some structural reasons for Europe lagging behind were the lack of spectrum and a dangerous “wait and see” approach to 5G among some regulators and service providers. The biggest roadblock relates primarily to regulatory policies.  5G must be viewed as a critical part of European national infrastructures.  This is not the case today, the Swedish company says.

The international 5G competition is also a question of the global standard and standard setting which normally have been in the interest of the European companies as well. But it is also questions of the good governance as related to the big tech companies recently over privacy, personal information and security issues.

The US Qualcomm CEO Steve Mollenkopf said in the Bloomberg interview on Monday that he thinks China is trying to create that standard and he sees that it is not only the China that is interested of the standard but also the other Asian countries like South Korea and Japan.

Regarding the competition situation Mr Mollenkopf commented that the only way the 5G is to be implemented is to co-operate with Huawei. According to him, it is the only way to make the 5G live in the world although there are some geopolitical tensions.

This new technology, 5G with high internet speed, enable the development of future sustainable cities, industries and homes with smart applications related to artificial intelligence, iOT and virtual reality.

The new network is needed in order to effectively take care of the future needs related to driving, health and security issues for example. So, it is also a question of confidence, trust.

There are different companies in the 5G supply chain to gain from the new technology. The network suppliers, semiconductors, mobile phone manufacturers and other vendors play a vital role in the development. For example one of the mobile phone makers, the US Apple, has said earlier that their 5G phones will be available in the late 2020.

For tech stock investments follow for example these companies for more information of the development: Apple (AAPL), Verizon (VZ), AT&T (T), Qualcomm (QCOM),  Alphabet (GOOGL), T-Mobile (TMUS), Sprint, China Mobile (0941), China Telecom (0728), China Unicom (0762), China Broadcasting Network, Ericsson (ERIC) , Nokia (NOKIA), Huawei, Samsung (005930), NTT Docomo (9437).

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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Apple manufactures most of its iPhones in China

The US mobile tech company Apple ( APPL) manufacturers most of its iPhones in China. According to Nikkei Asia, the China tops now Apple’s production site compared for example to the US.

Apple has increased its suppliers in the Greater China during the last few years and much of the materials, manufacturing and assembly processes are now in China.

In January the company said that it will start to assemble the premium phones also in India. The reason for this was also the rising concerns of trade wars between the US and China.

But also to establish the production overall in Asia to be more competitive against Samsung and Huawei.

Apple said in its 2018 annual report that the US and China are the only countries to account over 10 % of the company net sales. The sales in China were 51,9 billion dollars last year and operating income was 19,7 billion dollars.

During the second quarter, which ended March 30th, the company net sales in America were 25,6 billion dollars and 10,2 billion dollars in China. In Europe the sales were 13 billion dollars.

According to Bloomberg News, the new trade tariffs between the US and China, may eventually increase the Apple’s retail prices.

Apple’s share price was trading down 2,23 % to 195,49 dollars in Wall Street today.

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Samsung and Folding mobile – price 1980 dollars

Samsung Electronics (005930) announced today the first folding mobile ever.  This new type of mobile phone is targeted to the very heavy users and pros, who can now have all the digital content at the same time via the large screen. This is like opening the book of AR (augmented reality) content.

According to Samsung, “Galaxy Fold was designed with smartphone users in mind – driven by bigger and better form factors that boost their experiences. Galaxy Fold changes to the screen you need, the moment you need it. Slip it out of your pocket for one-handed calls, texts, and more and open for endless multitasking and higher quality viewing on our largest mobile display for presentations, digital magazines, movies, and AR content.”

Fold-main-KV-1000x563

The new mobile phone is priced at 1980 dollars and should be ready for shipping in April. The Galaxy Fold has a 4.6 inch display when folded and a 7.3 inch screen when unfolded.

According to Samsung they worked closely with Facebook, Google and Microsoft in order to make the apps working smoothly in every situation over and over again. The phone has 12 gigabytes of memory and 512 gigabytes of storage and it has Android operating system (9.0)

Tech

Highlights of the year 2018 – Brexit, trade talks and green finance

The year 2018 was a year of Brexit, electric cars and trade talks. It included special moments in the financial markets and in the company side. Green Bonds and Green Finance were getting more attention in the markets and trade talks and Brexit were the topics during the year 2018 along. Climate Change and low carbon landed also in the agenda of central banks.

Investors were also asking what is the role of the City as a global financial hub. Should it have its own rules in spite of the Brexit? In the financial hub competition, Frankfurt and Paris were the European cities to get more new financial offices as financial companies were moving some operations to the EU side.

The UK Parliament is expected to vote of the Brexit during Janury 2019 after very intensive debate about the deal during the year.

Climate Change has become part of the everyday life in the financial markets and for example one of the biggest insurance companies in the US, Berskhire Hathaway informed in February 2018, that it has got 3 billion dollars losses of the natural catastrophies, the hurricances in the US. Several central banks, including the European Central Bank and some Asian ones, have also agreed about the co-operation in the climate issues and how to monitor the impact on the markets.

In the tech-side augmented reality and ioT were the themes for the year. Apple, Amazon, Google, Tesla, Intel  and Samsung  were one of the tech-companies to deliver new services related to the new technology. On the other side of the topic, Facebook was dealing with the privacy issues globally. New tech- companies listed in the markets were for example Spotify and Xiaomi.

Year 2018 was a year of electric cars in many countries. The e-cars breakthrough with charging issues was one of the tech topics as well. Telsa founder Elon Musk was the leading industry sector figure as he estimated that Tesla would make one million cars by 2020 in February 2018.

Also the German automakers announced new investments and concept cars. For example the BMW Group launched an autonomous driving campus in Munich in March 2018.

Year 2018 was also a year for luxury goods and services. The Basel World 2018 -fair announced its good selling and for example the CEO of Hublot, Ricardo Guadalupe,  told ComteamPUB+ that the company expects double digit growth for the year and that the Chinese customers will be the leading segment.

In the debt markets the US Uber and Netflix issued their junk bonds to investors. Uber, the ride-sharing company, is said to plan an IPO for the year 2019 according to the secret filings to the SEC.

One of the biggest infrastructure projects ever, the China Silk Road, is getting more attention from the green investors side, while the organization made its first announcement of the green principles for the project co-operation and operators. The ancient Silk Road is expected to rise the GDP growth by 4 % or 240 billion dollars in the countries invlolved according to Credit Suisse analysis.

The aim of the Roman time Silk Road is to connect the western Europe with the eastern coast of China and to renew the infrasturcture in between. This means also that the 10 world largest container ports are located along the route.

Trade talks between different countries have continued lively during the year. US and China have been in the headlines, but also the EU with its agreement with Japan.  The political situation and rising volatility in the financial markets tell the direction for the next year. Geopolitical easing is needed.

Päivi Härkönen, co-founder, ComteamPUB+

 

 

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Samsung to invest in connected cars

The South-Korean technology company Samsung (005930) has announced it will invest in connected cars and AI via its new 300 million dollars tech fund. Samusung made the announcement during the International Motor Show in Frankfurt last week.

According to the company the new fund, part of the Harman International company, will focus on smart sensors, connected solutions and security.  A big part will also be advanced driver assistance services (ADAS). Harman company is known for its navigation services and onboard entertainment systems. The company was bought by Samsung with 8 billion dollars in 2016.

Samsung has also announced that it will start to test autonomous driving in California and Korea.

Tech

Trending topics at CES2017

The Consumer Technology Association (CTA) is arranging the world leading Tech fairs in Las Vegas during this week. The trending topics include Internet of Things integrated with home devices – but also cyber-security, mobile payments, 5 G network, artificial intelligence, robots and connected cars are gaining more attention.

According to CTA, it is expected that this year there will be around 165.000 attendances, 6500 media representatives and 3800 companies – all celebrating 50 years of the exhibition.

One of the growing interest area is also about the integration of technology, innovations and sustainability issues. This Green Tech sector is growing also in Las Vegas and for example companies like Ericsson (ERIC:US), LG Electronics (066570:KS) , Panasonic (PMM:MK), Samsung (SMSN:LI) and Sony (SNE:US) are the consumer tech companies sharing their best practises in these issues. Most of the cases it is about the energy efficiency, but also about the innovations to daily life and the wellbeing.

“Innovation is measured by how many people can share, use and experience it. Thanks to our long and rich history in connectivity, we are deeply familiar with the feedback loop between innovation and experience. CES is always a fantastic stage for innovation, so we are excited to be sharing the latest connectivity technology, 5G, with partners and our mutual customers”, says Ulf Ewaldsson, Ericsson’s Chief Strategy and Technology Office in the company press release.

Companies are expected to make the major product launches during Wednesday the 4th, a day before the official opening of the fairs. This year is also important for the wearable industry and how the new product segments will find new customers and combine luxury, intelligence and usability.Print

 

 

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