“Magnificent 7” is the nickname for the shares of the tech giants Alphabet, Amazon, Apple, Meta, Microsoft, Nvidia and Tesla, which proved particularly popular on the market during the year.
Tech – largest companies in the world
The five “Mamaa” companies Meta, Amazon, Microsoft, Apple and Alphabet together make up over a quarter of the value of the S&P 500 and the companies are among the ten largest in the world.
However, the tech sector is not as much of a given card as in the past when both the governments in the US and China have started to pressure the companies more and more. In China, young people’s ability to surf the net freely is to be severely limited by stopping gaming sites, and in the US the authorities are tightening the belt around social media, which is under the control of the tech giant Meta, after it has been shown that social media carries a great risk of harming the mental health of children and young people.
Second in the top
There were thus some headwinds to consider when Fortune set its latest list. Nowadays, only 17 percent of tech companies qualify for the Future 50 – the list that ranks companies according to their long-term growth prospects. Now, instead, other companies are at the top, companies that sell building materials or cables, refine steel, manufacture cars or drill for oil, according to Fortune.
Despite the setbacks, the tech sector is not calculated. Far from it, says Fortune, who instead wants to highlight some things that the sector must think about in order to stand out in the competition in the next year.
Niche is the future
Many have jumped on the latest AI train in order not to fall behind, but instead of just investing broadly in AI, the companies should actually niche themselves towards specific areas that no one else copies.
Tech looks set to continue to be the engine of the global economy, but then the companies must first start thinking outside the box.
Read also:
Here are the traits that set the tech billionaires apart – Today’s PS
AI bright spot when investments in tech companies plummet – Dagens PS
2023-12-12 04:02:23
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