It probably doesn't take a rocket scientist to figure out that mobile technology and mobile computing is here stay. Smart phones, tablet PCs, and notebooks are all the rage, and they are getting better and more powerful every day, with more apps and features to please the users. And we all know that Google and Apple are blazing the trail, and those companies are doing quite well with shareholders equity and quarterly profits. Luckily, they are taking a lot of other component companies along for the ride.
In a September issue of Forbes, September 27, 2010 to be exact there was a very interesting article in The Makers and Breakers-Money and Investment section, which was very interesting, and described which companies were breaking speed records in mobile computing. The title of the article was "Brainy Smart Phone Stocks," and it talked about companies like MIPS technologies, and Intel as brilliant stocks to buy because they were behind such products inside of the Apple iPhone and iPad and the behind the scenes systems which run touch-screens and touch-pads.
Obviously, those are technologies which make mobile computing today as great as it is. Often, it doesn't make sense to invest in a mobile tech company that has its brand name on the device, because most of those stocks have already got a significant boost from their original sales. As the industry matures, obviously there will be more competition and lower price points, therefore, less profit perhaps as the market gets saturated. It's your basic industry curve, so no secrets there.
Nevertheless, some of the component makers which make chips and things which go inside of the notebooks, laptops, tablets, and smart phones will be up to full production, selling to everyone, that is to say all the companies who manufacture those end products and put their brand names on them. These companies have no choice but to buy the chips from the makers. That means long-term robust sales will continue.
How long will such sales continue? Well, I doubt if the people of the world will lose their appetite for the freedom that mobile computing gives them. In other words, until every single human on the planet has a device of this type, chances are someone is going to have to make the chips for them. And if those companies have patents, and they have little if any competition, thus, those are good investments. So, perhaps you will please consider all this.
Lance Winslow is a retired Founder of a Nationwide Franchise Chain, and now runs the Online Think Tank. Lance Winslow believes it's hard work to write 21,300 articles; http://www.bloggingcontent.net/
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