"" is an online presentation by popular and particular financier and advisor, Jeff Brown. In this discussion, he is promoting his newsletter service, called the . In addition, the stock he is examining and recommending on in the online video is a business that remains in the technology area and makes semiconductor chips. What is a semiconductor chip? It's a gadget made from interconnected electronic parts that are etched or inscribed onto a small piece of semiconducting product, such as silicon or germanium. A semiconductor chip smaller sized than a fingernail can hold countless circuits. Generally, these are simply called "chips." This company has actually designed a chip that will be used to access the 5G network which is presently being installed in numerous locations worldwide (last year).
This will affect both our professions, how we buy things online, and how we communicate. Brown discusses that the biggest impact will be on "technologies of the future." What are "technologies of the future"? Some examples would be: self-governing cars, the Web of Things (Io, T), hologram technology, robotic surgery, language translation without hold-ups, augmented truth, and virtual truth. That's a lot! However it will also impact on things we utilize every day. The most significant of which is our smartphones. For instance, Samsung has actually already begun including 5G ability to its brand-new phone releases. In fact, Jeff showcases one that can use 5G.
A rarely understood company that may have a monopoly over the invaluable chip. Brown states that the demand for those chips by other phone makers could seriously increase the chip maker's profits and cause a strong surge in its stock rate. So far, huge tech companies like Samsung, Huawei, and Apple have actually placed orders for the highly sought-after 5G chips. With these essential partnerships in place, its stock might soar in the next few years as strong demand for 5G-capable smartphones sharply increases. Brown states that by the time 5G reaches mass adoption worldwide when up to 250 million gadgets will be acquired, the obscure company might see its income reach $3.
Van Bryan here, Jeff Brown's long time handling editor. Welcome back to Jeff's 2021 prediction series. Over the next couple of days, Jeff is sharing his ideas on the year that was and offering a few predictions for the year ahead. For today's Bleeding Edge, I sat down with Jeff to discuss what a Biden administration could imply for the high-technology sector and the wider equities market. Keep reading Jeff, let's rely on the election. Other than COVID-19, it was likely the most talked 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 said at the time, that wasn't a political recommendation. I understand the president can be a polarizing figure. This was simply the conclusion I pertained to based on my analysis - black sea. And what my analysis was revealing was that the policies pursued by the current administration had actually created among the most robust economies in recent history. Specifically, I think there were 4 essential pillars: Reducing corporate and middle-income taxes Cutting unwanted guideline Reinvesting in American production Renegotiating unjust trade policies with America's trading partners We do not have time to go over each one of these in information. I in fact wrote a whole report on this subject earlier this year - brownstone research stock.
Before COVID-19, unemployment was at a 50-year low. The U.S. wage and income growth rate had roughly doubled from late 2016 (jeff brown predictions for 2021). And the administration was tackling some unfair trade practices and copyright theft that had been neglected for years. Investors had a lot to be grateful for. The 3 significant indices saw extraordinary development during the very first couple of years of the Trump administration (artificial intelligence). Today election night lags us. There are still a number of legal obstacles being considered, however for now, it appears that Joe Biden will be the next president of the United States. What are the implications for the technology markets? You're right.
We'll have to wait to see what occurs there. However for now, let's presume Joe Biden takes office on the 20th of January. What does that mean for the high-technology sector? The message I want to deliver to readers initially and foremost is this: No matter who is president, technology and biotechnology are going to have an unbelievable year in 2021. I've spent 35 years as a technology financier and near to 30 years as a high-technology executive. And I have actually never ever seen the confluence of technologies that we are seeing today. We have a mix of breakthroughs taking place in expert system and machine learning.
We have extensive, economical, essentially endless computing power and storage. And we likewise have the implementation of revolutionary wireless innovation with 5G. This is going to kick off a suite of new technology applications that would have been impossible even just a few months earlier. And this is all taking place at the very same time. [Make sure you examine your inbox tomorrow afternoon. I'll be talking to Jeff about the most significant 5G stories of 2020, and I'll ask him for his No. 1 5G forecast for 2021] This confluence is accelerating the rate of technological modification. Each of these innovations impacts the others.
It's not an intellectual imperfection. It's simply that our brains are not wired to believe greatly. Which's what we're visiting in 2021. Rapid development is among the most effective forces in innovation investing. This kind of growth slips up on us. It appears direct in the beginning. But then there is a sharp "elbow," and the trend goes vertical. And the speed at which that takes place is why most don't find it till too late. In hindsight, however, it's easy to area. That's why my objective is to help my readers invest in the most appealing tech business right prior to that elbow - biotech stocks.
Could that have implications for stocks? Investors are probably familiar with the Tax Cuts and Jobs Act. It was the most significant tax reform law because the 1981 Reagan tax reforms. melania trump. One of the most significant things the law did was lower the corporate tax rate from 35% to 21%. That made American business taxes the most affordable they have actually been considering that 1938. And among the big consequences of this was that corporations had to choose what they would do with all the money they were conserving. They primarily did 2 things. They invested in brand-new devices, facilities, and research study and development.
[Stock buybacks are when a company purchases its own shares and minimizes the variety of impressive shares, thus increasing the value of remaining shares (jeff brown biotech stocks).] Both things were fantastic for equity costs and investors in American companies - democratic republic. But if President Biden can press through greater business and individual tax rates, that would have an unfavorable effect. It'll reduce consumption and negatively impact the stock markets. We'll need to see if that happens or not. However that's why I'll continue to focus on the world of high technology in 2021. Believe about it. If a business uses an advanced item, service, or treatment, will it matter who is sitting in the Oval Workplace? It will not.
And if the markets do experience a dip throughout the next administration, that might be a great buying chance for a few of the amazing companies I have on my radar. I'll make certain to keep my subscribers posted if there's any action we need to take. Thanks as constantly, Jeff. Anytime. Like what you read? Send your ideas to [e-mail protected] (last year).
Colleague Jeff Brown is our go-to guy for all things tech. He invested 25 years as a modern executive at some of the best tech companies worldwide, like Qualcomm and NXP Semiconductors. And as an active and successful angel financier in early-stage tech companies, he has access to details the general public never sees - diplomatic relations. He's on the front line, in the field, seeing things months or years before the crowd catches on. Our objective at The Daily Cut is to help spot market megatrends early on so you can profit ahead of the crowd. So today, we're sharing five of Jeff's tech predictions for 2021 - jeff brown 2021 predictions.
At the end of each year, I like to take an appearance at the huge picture and predict what's coming just around the corner - biotech stocks. Longtime readers of my work know I follow the most interesting tech trends on the brink of mass adoption. That consists of things like 5G networks, biotech, expert system (AI), and far more. These trends are experiencing exponential growth and producing incredible opportunities for investors. I want to ensure all my readers are prepared for what's next. So with that in mind, I'll share 5 things I see coming in the next 12 months Our brand-new 5G (fifth-generation) cordless networks are a subject I've been covering for years now (jeff brown 2020 predictions).
Even with the COVID-19 pandemic raging, a remarkable 250 million 5G-enabled devices were still offered in 2015. But specifically in the second quarter, there were supply chain interruptions, making hold-ups, and work stoppages (jeff brown 2021 predictions). All of this ultimately led to Apple (AAPL) postponing the release of the 5G-enabled i, Phone 12 by 2 months. Losing 2 months of manufacturing and sales really impacts how numerous 5G devices are sold in the calendar year. When you consider that, selling 250 million units is exceptional. More notably, the delays the pandemic triggered produced a ton of pent-up demand. That need has actually now been pressed into 2021.
And that's not my only 5G prediction The 5G network rollout has 3 various stages. In Phase One, companies and governments develop out the facilities of these new networks, consisting of all the new towers and fiber-optic electrical wiring 5G needs. In Stage Two, 5G-enabled devices go on sale. 5G phones and other products begin to reach consumers. In Phase 3, telecom companies begin providing 5G services. That's when we begin to see applications working on 5G networks. Consider things like massively multiplayer games over a cellphone. That's not possible with 4G. It will be with 5G. And my 2nd 5G prediction for 2021 is that we will start Phase Three by this summertime.
However they will care if there are amazing applications they can access only with a 5G phone. So more and more customers will purchase 5G phones to gain access to these applications - artificial intelligence. That leads to the advancement of more 5G apps (black sea). In reality, 5G is going to open up a suite of extraordinary applications: self-driving cars and trucks, the Web of Things, robotic surgical treatment, and more. All of these innovations require 5G. The investment chances moving forward will be huge. Stepping far from 5G, the next essential technology I visualize expanding in 2021 is CRISPR hereditary editing. CRISPR represents "clustered routinely interspaced short 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 code, it can be devastating. A program can crash or not function correctly. CRISPR utilizes a comparable idea but with our genetic code. "Typos" in our genomes can lead to illness - jeff brown latest prediction. CRISPR can correct these "typos - second wave." For many years, CRISPR was mainly a specific niche innovation that wasn't well understood. During that time, there were actually only three companies running in this space. However things are changing. CRISPR is no longer just theoretical. We're seeing real outcomes. We're dealing with diseases and seeing that this technology works.