Yahoo Finance InterDigital (IDCC) Report Shows Significant 5G Potential
InterDigital, Inc IDCC and ABI Research have reported that 5G is on track to generate $7 trillion of economic value in 2030. This is due to the proliferation of connected devices ranging from smartphones to consumer electronics to enterprise applications and so on.
The report provides key findings in a wide variety of areas, which are as follows:
The private 5G addressable market is anticipated to grow exponentially, fundamentally driven by verticals such as energy and utilities, healthcare and manufacturing.
5G can be observed as transformative in assisting the rollout of digital spaces, smart cities, and smart public services. To enable all this, governments and local authorities must collaborate to remove the obstructions to current 5G access.
The adoption of 5G is on track to outpace all previous generations of cellular technology along the lines of subscription rate and operator rollout. Also, strong traction is being obtained from enterprise-based verticals.
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Per the report, industry stakeholders are optimistic about the upcoming wave of 5G services, which is anticipated to enhance productivity and efficiency and mobility, along with other developments. 5G will likely impact the evolution of the mobile industry since it continues to enable new innovative services such as AR/VR and immersive content. Many operators and their partner suppliers are looking for ways to develop new and advanced features to bolster the network performance capabilities required to realize the potential of 5G networks and its economic advantages. InterDigital is fine-tuning its strength in core wireless licensing business and has initiated steps to drive shareholder value through the buyout of the Technicolor licensing business. This has generated significant new licensing opportunity in the video and consumer electronics market.
The stock has lost 20.4% in the past year compared with the industry’s decline of 4.3%.
InterDigital currently carries a Zacks Rank #4 (Sell).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Arista Networks, Inc. ANET is a better-ranked stock in the broader Zacks Computer and Technology sector, sporting a Zacks Rank #1. The Zacks Consensus Estimate for its current-year earnings has been revised upward by 8.7% over the past seven days.
Arista delivered a trailing four-quarter earnings surprise of 10.1%, on average. It has gained 44.7% in the past year.
Axcelis Technologies, Inc. ACLS, sporting a Zacks Rank #1, is another solid pick for investors. The consensus estimate for current-year earnings has been revised upward by 6.6% over the past seven days.
Axcelis delivered a trailing four-quarter earnings surprise of 25%, on average. It has appreciated 76.6% in the past year.
Rambus Inc. RMBS, sporting a Zacks Rank #1, is another solid pick for investors. The consensus estimate for current-year earnings has been revised upward by 4.5% over the past seven days.
Rambus delivered a trailing four-quarter earnings surprise of 5.3%, on average. It has appreciated 21.5% in the past year.
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