5G Telecom Sector

[gfp927z]

>>> 5G Stocks To Watch As Cloud, Enterprise Services Emerge


Investor's Business Daily

by REINHARDT KRAUSE

06/20/2023


https://www.investors.com/news/technology/5g-stocks-5g-wireless-stocks/


The best 5G stocks will evolve over time as business services delivered via cloud computing usurp consumer applications.

Apple (AAPL) remains one 5G stock in the consumer space to watch amid iPhone upgrades and the 2024 roll out of mixed-reality headsets.

Meanwhile, investors should look for updates on company earnings calls as more smartphones, laptops, autos and internet-connected industrial devices use 5G technology.

5G Stocks: Industrial Sector Leads On Earnings Calls

According to a Bank of America study, 5G mentions on company earnings calls peaked in 2020. Excluding tech and telecom companies, the industrial sector currently has the most mentions currently of 5G, said a BofA report. Companies in the industrial sector are moving ahead with private 5G networks, said BofA.

"The industrials sector is by far the industry with the greatest 5G engagement," said the BofA report. "The industry in aggregate was responsible for 70% of total non tech/telco companies mentioning 5G in 2022."

Industrial applications include connecting low-power sensors to machinery and machinery parts, enabling factories, airlines, automakers, and other industrial operators to proactively monitor and manage equipment repairs and replacements.

Led by T-Mobile US (TMUS), wireless firms in the U.S. are deploying 5G wireless services using high-performance, midband radio spectrum. Verizon Communications (VZ) and AT&T (T) are playing catchup.

Another big 5G spectrum holder is Dish Network, a satellite-TV service provider. Amid concern over the financing of its 5G wireless network buildout, Dish on June 15 said it has met U.S. build-out goals set by the Federal Communications Commission.

T-Mobile and Verizon continue to ramp up fixed wireless broadband services to homes. Most new connections use 5G bandwidth rather than older 4G networks. T-Mobile and Verizon are offering discounts on bundles of 5G broadband and cell phone services.

5G Stocks: Fixed Broadband Takes On Cable TV Companies

But some analysts question the growth trajectory of 5G fixed wireless to homes. In 2022, T-Mobile added 2 million 5G fixed broadband subscribers, up from 546,000 the year earlier. Verizon added 1.17 million fixed broadband subscribers, up from about 400,000, in the previous year.

"Fixed wireless has certainly scaled quickly, with T-Mobile and Verizon collectively reaching 4.1 million subscribers in just two years," SVB MoffettNathanson analyst Craig Moffett said in a note to clients. "But the rate of growth has already begun to decelerate, with T-Mobile reporting fewer net additions in Q4 than in Q3."

T-Mobile aims to sign up 7 to 8 million 5G fixed broadband subscribers by 2025, with services available to about 40 million US. households. Verizon is targeting 4 to 5 million 5G fixed broadband customers by 2025. It aims to reach 50 million U.S households.

T-Mobile has gained 2% in 2023 after advancing 22% last year. TMUS stock holds the most 5G wireless spectrum among U.S. service providers.

5G Stocks: Smartphone Outlook

Meanwhile, the supply chain of Apple stock is a seasonal and cyclical opportunity for investors eyeing 5G stocks. In a negative development, Intel (INTC) is exiting the market for 5G-equipped laptops.

In addition, chipmaker Qualcomm (QCOM) has warned of weakening global smartphone sales.

Telecom network equipment makers expect spending on 5G infrastructure to slow in 2023 after booming last year. However, companies such as Verizon are finally moving traffic to stand-alone 5G "core" networks. That will impact what types of network gear they purchase.

Semiconductor stocks offered an early play on 5G wireless and remain an opportunity. Investors have been cautious on 5G network gear makers and other infrastructure plays, like cell-phone tower operators.

Cloud Computing, 5G Wireless Synergy

In the long run, 5G wireless services delivered to businesses via cloud computing giants like Amazon.com (AMZN), Microsoft (MSFT) and Alphabet's (GOOGL) Google could offer the best 5G stocks. Many startups are active in "edge computing." Cloud computing infrastructure is expected to play a big role in deploying 5G wireless services.

"Over the past few years, the major telecommunications operators have all signed partnerships with the top cloud stalwarts to help provide greater network efficiency, reduced latency, and faster speeds in improving the entire 5G ecosystem," Wedbush analyst Daniel Ives said in a note.

He added: "The opportunity for cloud providers arises from edge computing, which is putting data processing power closer to customers' devices for better performance. As the push for 5G continues throughout the country, there is clear a multi-billion-dollar opportunity for cloud providers to win."

Research firm Dell'Oro projects that 5G workloads on the public cloud will grow revenue at an 88% compounded annual growth rate from 2022 to 2026. Over that period, Dell'Oro estimates cumulative revenue at $4.6 billion.

5G Stocks: Dish Network Continues Build-Out

South Korea and China lead in 5G network coverage while Europe lags.

Smartphones currently drive most demand for 5G chips.

Research firm Omdia forecasts that by 2026, 40% of all mobile subscriptions will be 5G, totaling 4.8 billion. In addition, annual 5G mobile service revenues are expected to reach $540 billion worldwide by 2026, representing 60% of revenues.

With China's market already highly penetrated, Barclays expects India to be the fastest growing market for 5G smartphones from 2022 through 2025.

Aside from Qualcomm, other companies that make chips built into smartphones include Qorvo (QRVO), Marvell Technologies (MRVL), Skyworks Solutions (SWKS) Cirrus Logic (CRUS) and Analog Devices (ADI).

Naysayers still question the return on 5G investment for telecom companies. They point to the lack of a 5G "killer app" for consumers.

Enterprise Market Could Be Revenue Driver

A wide range of tech companies are building 5G ecosystems for private networks that deliver business-to-business services. Telecom industry group 5G Americas forecasts that the addressable market to incorporate 5G into private business networks will jump sharply over the next five years, to $16.9 billion in 2025 from $1.9 billion in 2020.

In many industrial settings and company campuses, 5G infrastructure is expected to displace Wi-Fi-based services.

Also, pundits expect 5G wireless to have a role in manufacturing automation, cloud gaming, autonomous vehicles, drones and remote health care services.

In time, the breadth of 5G stocks will expand. The future of 5G wireless lies in the industrial Internet of Things, remote health care, drones and robotics, autonomous driving, smart cities and more.

For some 5G stocks, the long-term opportunity will be tied to new networks that blur the line between mobile and fixed-line infrastructure.

Some chipmakers sell into the 5G network gear market. They include Marvell, Broadcom (AVGO), Intel (INTC), Texas Instruments (TXN) and Analog Devices. Meanwhile, Xilinx (XLNX) makes programmable chips built into prototype network gear.

5G Networks Require Fiber-Optic Links

The global 5G radio access market will jump to $21 billion in 2024, up from less than $4 billion in 2019, research firm Omdia forecasts.

Further, 5G also is a long-term opportunity for network gear makers Ericsson, Nokia and Samsung.

Cellphone tower operators American Tower (AMT), Crown Castle and SBA Communications (SBAC) also could get a 5G boost, analysts say. Crown Castle will be a 5G infrastructure partner of Dish Network.

5G networks will connect to fiber-optic networks for "long haul" purposes. That will provide reliability for emerging automotive, robotics and medical applications. Potential 5G stocks to buy include Corning (GLW), Ciena (CIEN) and other fiber-optic players.

Crown Castle makes "small-cell" radio antennas for 5G services in urban areas. The small-cell antennas — hung on utility poles or building rooftops — will require fiber-optic connections to local hubs. Local government approval, though, is required to expand 5G networks.

Rysavy Research projects that there will be 1 million U.S. outdoor small cells by 2028, up 10 times from today's levels.

How 5G Wireless Will Change Cloud Computing

Edge computing deploys data processing, storage and networking close to sensors and where other data originate, near the "edge" of the network. The goal is to process and analyze data locally in real time rather than send it to faraway data centers in the internet cloud.

"The advent of 5G should mean the rollout of many new technologies we certainly haven't yet imagined," economist Ed Yardeni said in a recent report. "To make them possible, the tech gurus are saying that cloud computing will move from a cloud server far away to equipment on the edge of a neighborhood's network. Edge computing should continue to increase the speed of data transmission, but carriers will have to open their wallets to make it happen."

Microsoft is selling global network transport and routing services to 5G network operators. Microsoft calls the initiative "Azure for Operators." Microsoft purchased AT&T's network cloud business.

5G Stocks: Wireless Firms Find Cloud Partners

Amazon Web Services and Google are also selling 5G-related cloud infrastructure services. AWS in December 2021 announced plans to sell private 5G network services to enterprise customers.

Meanwhile, the AWS "5G in a box" service initially will use shared "CBRS" spectrum. In the long run, Amazon could partner with Dish for a 5G network, analysts speculate.

In addition, Verizon has partnered with AWS, Google and Microsoft to develop 5G cloud services.

Edge computing should be a big opportunity for chipmakers Nvidia and Intel, some analysts say. Nvidia and Intel are the biggest providers of data center processors for cloud applications.

Also, mini data centers in neighborhoods will link to cloud-computing infrastructure. Nokia and Ericsson are developing 5G cloud gateways.

Dell Technologies (DELL), Hewlett Packard Enterprise (HPE), Nokia and others aim to capitalize on edge computing.

<<<



---

[gfp927z]

>>> Skyworks and MediaTek Collaborate to Offer End-to-End 5G Automotive Solutions


BusinessWire

November 13, 2022


https://finance.yahoo.com/news/skyworks-mediatek-collaborate-offer-end-040200548.html


MediaTek and Skyworks Develop 5G New Radio Design Enabling Seamless Integration With Automotive Communications Systems


MUNICH, November 14, 2022--(BUSINESS WIRE)--Skyworks Solutions, Inc. (Nasdaq: SWKS) today announced that the company has engaged with MediaTek to offer a complete modem-to-antenna automotive-grade 5G solution. This 5G New Radio Sky5A RF front-end solution will accelerate the deployment of this cutting-edge protocol across an array of automotive OEM and consumer service offerings.

"The rollout of 5G is reshaping the automotive market with a variety of safety and entertainment telematics applications to improve the driving experience," said Martin Lin, deputy general manager of the Wireless Communications Business Unit at MediaTek. "Through this collaboration with Skyworks, MediaTek is providing OEMs and automotive customers a complete solution that offers high performance, reliability and flexibility to meet the growing demands for bandwidth and advanced connectivity in next-generation vehicles."

As automotive OEMs create entirely new vehicle platforms with cutting-edge processing and sensing capabilities to support advancements in electric vehicle (EV) technology, driver-assistance systems (ADAS), and artificial intelligence, they are looking for solutions that can support the expanded data and connectivity demands of these next-generation innovations.

"This strategic initiative allows Skyworks and MediaTek to address the stringent requirements of the global automotive industry," said John O’Neill, vice president of marketing at Skyworks. "Our combined engineering expertise enables our customers to innovate new vehicle communication architectures, with the confidence that their designs will continue to meet future bandwidth needs and the rapid evolution of global wireless networks."

The 5G NR Sky5A RF front-end complete solution was designed for automotive applications, supporting 3GPP R15 and R16 standards, bandwidth exceeding 100MHz, flexible antenna architectures, regional optimization, aux ports to support the addition of future bands, and full automotive grade reliability qualification.

Skyworks will be exhibiting at Electronica Stand B5-138, taking place in Munich from Nov. 15-18, 2022, where the company will be highlighting its latest infrastructure, IoT, automotive, timing and power solutions.

About Skyworks

Skyworks Solutions, Inc. is empowering the wireless networking revolution. Our highly innovative analog and mixed signal semiconductors are connecting people, places and things spanning a number of new and previously unimagined applications within the aerospace, automotive, broadband, cellular infrastructure, connected home, defense, entertainment and gaming, industrial, medical, smartphone, tablet and wearable markets.

Skyworks is a global company with engineering, marketing, operations, sales and support facilities located throughout Asia, Europe and North America and is a member of the S&P 500® and Nasdaq-100® market indices (Nasdaq: SWKS). For more information, please visit Skyworks’ website at: www.skyworksinc.com.

<<<



---

[gfp927z]

>>> We Have No Reason to Believe 5G Is Safe

The technology is coming, but contrary to what some people say, there could be health risks


Scientific American

By Joel M. Moskowitz

October 17, 2019


https://blogs.scientificamerican.com/observations/we-have-no-reason-to-believe-5g-is-safe/


The telecommunications industry and their experts have accused many scientists who have researched the effects of cell phone radiation of "fear mongering" over the advent of wireless technology's 5G. Since much of our research is publicly-funded, we believe it is our ethical responsibility to inform the public about what the peer-reviewed scientific literature tells us about the health risks from wireless radiation.

The chairman of the Federal Communications Commission (FCC) recently announced through a press release that the commission will soon reaffirm the radio frequency radiation (RFR) exposure limits that the FCC adopted in the late 1990s. These limits are based upon a behavioral change in rats exposed to microwave radiation and were designed to protect us from short-term heating risks due to RFR exposure.

Yet, since the FCC adopted these limits based largely on research from the 1980s, the preponderance of peer-reviewed research, more than 500 studies, have found harmful biologic or health effects from exposure to RFR at intensities too low to cause significant heating.

Citing this large body of research, more than 240 scientists who have published peer-reviewed research on the biologic and health effects of nonionizing electromagnetic fields (EMF) signed the International EMF Scientist Appeal, which calls for stronger exposure limits. The appeal makes the following assertions:

“Numerous recent scientific publications have shown that EMF affects living organisms at levels well below most international and national guidelines. Effects include increased cancer risk, cellular stress, increase in harmful free radicals, genetic damages, structural and functional changes of the reproductive system, learning and memory deficits, neurological disorders, and negative impacts on general well-being in humans. Damage goes well beyond the human race, as there is growing evidence of harmful effects to both plant and animal life.”

The scientists who signed this appeal arguably constitute the majority of experts on the effects of nonionizing radiation. They have published more than 2,000 papers and letters on EMF in professional journals.

The FCC’s RFR exposure limits regulate the intensity of exposure, taking into account the frequency of the carrier waves, but ignore the signaling properties of the RFR. Along with the patterning and duration of exposures, certain characteristics of the signal (e.g., pulsing, polarization) increase the biologic and health impacts of the exposure. New exposure limits are needed which account for these differential effects. Moreover, these limits should be based on a biological effect, not a change in a laboratory rat’s behavior.

The World Health Organization's International Agency for Research on Cancer (IARC) classified RFR as "possibly carcinogenic to humans" in 2011. Last year, a $30 million study conducted by the U.S. National Toxicology Program (NTP) found “clear evidence” that two years of exposure to cell phone RFR increased cancer in male rats and damaged DNA in rats and mice of both sexes. The Ramazzini Institute in Italy replicated the key finding of the NTP using a different carrier frequency and much weaker exposure to cell phone radiation over the life of the rats.

Based upon the research published since 2011, including human and animal studies and mechanistic data, the IARC has recently prioritized RFR to be reviewed again in the next five years. Since many EMF scientists believe we now have sufficient evidence to consider RFR as either a probable or known human carcinogen, the IARC will likely upgrade the carcinogenic potential of RFR in the near future.

Nonetheless, without conducting a formal risk assessment or a systematic review of the research on RFR health effects, the FDA recently reaffirmed the FCC’s 1996 exposure limits in a letter to the FCC, stating that the agency had “concluded that no changes to the current standards are warranted at this time,” and that “NTP’s experimental findings should not be applied to human cell phone usage.” The letter stated that “the available scientific evidence to date does not support adverse health effects in humans due to exposures at or under the current limits.”

The latest cellular technology, 5G, will employ millimeter waves for the first time in addition to microwaves that have been in use for older cellular technologies, 2G through 4G. Given limited reach, 5G will require cell antennas every 100 to 200 meters, exposing many people to millimeter wave radiation. 5G also employs new technologies (e.g., active antennas capable of beam-forming; phased arrays; massive multiple inputs and outputs, known as massive MIMO) which pose unique challenges for measuring exposures.

Millimeter waves are mostly absorbed within a few millimeters of human skin and in the surface layers of the cornea. Short-term exposure can have adverse physiological effects in the peripheral nervous system, the immune system and the cardiovascular system. The research suggests that long-term exposure may pose health risks to the skin (e.g., melanoma), the eyes (e.g., ocular melanoma) and the testes (e.g., sterility).

Since 5G is a new technology, there is no research on health effects, so we are “flying blind” to quote a U.S. senator. However, we have considerable evidence about the harmful effects of 2G and 3G. Little is known the effects of exposure to 4G, a 10-year-old technology, because governments have been remiss in funding this research. Meanwhile, we are seeing increases in certain types of head and neck tumors in tumor registries, which may be at least partially attributable to the proliferation of cell phone radiation. These increases are consistent with results from case-control studies of tumor risk in heavy cell phone users.

5G will not replace 4G; it will accompany 4G for the near future and possibly over the long term. If there are synergistic effects from simultaneous exposures to multiple types of RFR, our overall risk of harm from RFR may increase substantially. Cancer is not the only risk as there is considerable evidence that RFR causes neurological disorders and reproductive harm, likely due to oxidative stress.

As a society, should we invest hundreds of billions of dollars deploying 5G, a cellular technology that requires the installation of 800,000 or more new cell antenna sites in the U.S. close to where we live, work and play?

Instead, we should support the recommendations of the 250 scientists and medical doctors who signed the 5G Appeal that calls for an immediate moratorium on the deployment of 5G and demand that our government fund the research needed to adopt biologically based exposure limits that protect our health and safety.

<<<



---

[gfp927z]

>>> All you need to know to understand 5G -

__________

[gfp927z]

>>> Why 5G fight has no quick fix for AT&T, Verizon as aviation jitters grow


Yahoo Finance

Mike Juang·Producer

January 19, 2022


https://finance.yahoo.com/news/why-the-5-g-fight-has-no-quick-fix-for-att-verizon-and-jittery-aviation-sector-010434108.html


AT&T (T) and Verizon agreed to delay the rollout of 5G frequency near some airports and aviation infrastructure, but a permanent fix still eludes all of the major players – including the government and airlines worried about the impact on flight technology.

On Tuesday, AT&T and Verizon (VZ) announced they would limit or delay the rollout of ‘C-band’ service near U.S. airports, extending a previously agreed delay from Verizon and AT&T that was set to expire.

Previously, the telecoms had agreed to delay the launch of the newer, faster cellular service for two weeks in order to address regulatory and industry questions. Air carriers have raised concerns about 5G affecting passenger flights, a few of which have already been delayed or canceled.

According to former FAA Administrator Michael Huerta, Tuesday's deal mitigates, but does not eliminate, some of the immediate concerns that have created a standoff between the aviation industry and telecom giants that have spent tens of billions to acquire the spectrum bandwidth, and the necessary technology to make it all work for subscribers.

“The telecom companies and the airlines are cutting the middle here,” Huerta told Yahoo Finance Live on Tuesday.

He argued a solution could come from changes to how the new 5G frequency is deployed near airports, and a continued refresh of the technology aboard aircraft. However, that will require communication across both industries, Huerta added.

Not just planes

In a statement, President Joe Biden said the agreement would ensure air safety without disrupting air travel and allow for 90% of 5G wireless towers to be deployed. He vowed to engage with stakeholders to “close the remaining gap and reach a permanent, workable solution around these key airports,” but worries remain as 5G is rolled out elsewhere.

“It's actually more of an issue for helicopters if you consider the fact that we're flying much lower, in urban environments and in places where we're likely to see 5G towers come out first,” according to John Shea, director of government affairs at the Helicopter Association International.

Shea told Yahoo Finance that it’s possible frequency interference could cause trouble for flights over urban areas, like those commonly undertaken by medical and rescue helicopters.

The aviation industry, known for tight safety regulation, is not counting on equipment refreshes. “We’re looking at being years away from having a 5G-resistant radio altimeter,” said Shea. He added that the variety of equipment, 5G towers, and airplane configurations all make matters worse.

“The aircraft varies and the radio altimeter varies, and a simple [fix] will not work in most circumstances,” he explained.

Meanwhile, the aviation industry is worried that the new frequency band may interfere with equipment that help determine an aircraft’s height and aid pilots in visibility and throttle control, among other systems.

The frequency in which ‘C-band’ operates is adjacent to the frequencies commonly used by aircraft altimeters to measure altitude, M. Cenk Gursoy, professor in electrical engineering and computer science at Syracuse University, explained to Yahoo Finance.

Altimeters send signals to the ground and measure how long it takes for the signal to return, which could see interference from ‘C-band’ transmissions.

Telecom carriers have turned to the new frequency to alleviate some problems with existing 5G technology. Currently, 5G coverage suffers from poor range and coverage, or sees speeds and capacity not noticeably better than 4G networks. Carriers say the move to a dedicated data frequency will alleviate most of these problems.

The ‘C-band’ frequency was previously used for satellite transmissions by broadcasters before it was auctioned off by the FCC to U.S. telecom operators AT&T and Verizon early last year. T-Mobile has sidestepped this issue since its 5G service operates on a different frequency.

But Gursoy explained ‘C-band’ use was previously not as concerning to the aviation industry because of its niche applications and use at locations typically not close to air traffic.

“The major thing is widespread deployment of base stations close to airports that might lead to harmful interference,” he told Yahoo Finance.

Aviation industry advocates admit some of the confusion comes from a lack of communication. “As I understand it, the telecoms were under the impression that the spectrum was free of interference,” Huerta said. “Clearly some communication that needed to take place then did not take place.”

Huerta pointed to other countries that have solved the issue by making a detailed analysis of where towers with the new frequency are located, and scrutinizing how it might interact with airport systems.

“This is something that requires a great deal of collaboration at the governmental level,” Huerta said, insisting there was a middle ground. “It just requires everyone working together.”

<<<

[gfp927z]

>>> How 5G Clashed With an Aviation Device Invented in the 1920s


New York Times

by Stephen Gandel

1-20-22


https://www.msn.com/en-us/travel/news/how-5g-clashed-with-an-aviation-device-invented-in-the-1920s/ar-AASWL8Z?li=BBnb7Kz


Airlines warned this week that potential interference from 5G technology could cause a crucial device on planes to malfunction.

A technological innovation that helped pilots fly fighter planes during World War II is now at the heart of the dispute between airlines and AT&T and Verizon over 5G, an innovative service meant to speed up mobile devices.

The clash has been years in the making and came to a head in the last few weeks. AT&T and Verizon agreed on Tuesday to restrict 5G near airports after airlines warned that potential interference from it could cause a crucial device on planes to malfunction, and force them to cancel flights. Even with the airport restriction, a number of international airlines on Tuesday canceled flights to the United States, though some of those flights were restored.

The instrument in question is a radio altimeter. It was first developed in the 1920s but still plays a crucial role in planes, helping pilots determine a jet’s altitude and its distance from other objects. In some planes, altimeter readings are fed directly into automated systems that can act without input from pilots. As aviation experts describe it, the 5G system used by AT&T and Verizon works in similar frequencies to the ones used by altimeters.

<<<

[gfp927z]

>>> US airlines warn C-Band 5G could cause 'catastrophic disruption'


yahoo Finance

by Igor Bonifacic

January 17, 2022


https://finance.yahoo.com/news/us-airlines-warning-letter-211919932.html


The airline industry claims a “catastrophic” event could unfold on Wednesday when AT&T and Verizon activate their new C-Band 5G networks. In a letter obtained by Reuters, the CEOs of several prominent passenger and cargo airlines, including Delta, United and Southwest, warn interference from 5G cell towers could affect the sensitive safety equipment on their planes.

"Unless our major hubs are cleared to fly, the vast majority of the traveling and shipping public will essentially be grounded," they state in the letter, which was sent to the heads of the White House Economic Council, Federal Aviation Administration and Federal Communications Commission, as well as Transportation Secretary Pete Buttigieg. "Immediate intervention is needed to avoid significant operational disruption to air passengers, shippers, supply chain and delivery of needed medical supplies."

The airlines have asked that AT&T and Verizon not offer 5G service within 2 miles of some of the country’s busiest and most vital airports. They’re also urging the federal government to ensure “5G is deployed except when towers are too close to airport runways until the FAA can determine how that can be safely accomplished without catastrophic disruption." The agency established 5G buffer zones at 50 airports on January 7th.

The letter is the latest development in the ongoing back and forth between the airline and wireless industries. AT&T, T-Mobile and Verizon spent nearly $80 billion at the start of 2021 to secure the repurposed C-Band spectrum the FCC had put up for auction. In November, AT&T and Verizon agreed to delay their C-Band rollouts to January 5th to help the FAA address any interference concerns. They later proposed limiting the power output of cell towers close to airports and agreed to a further two-week delay on January 4th.

<<<

[gfp927z]

>>> Boeing and Airbus want the US to delay its 5G rollout because they're worried about interference with aircraft electronics


Business Insider

by Isobel Asher Hamilton

December 21, 2021


https://www.yahoo.com/entertainment/boeing-airbus-want-us-delay-135412360.html


The CEOs of Boeing and Airbus wrote to Pete Buttigieg Monday asking him to delay the rollout of 5G.

AT&T and Verizon are due to start rolling out their 5G services on January 5.

The two chief executives said 5G interference could affect planes' ability to fly safely.


Chief executives at Boeing and Airbus, the two largest airplane makers in the world, have written to US Transportation Secretary Pete Buttigieg asking him to delay the rollout of 5G services for phones.

In the letter seen by Reuters, Boeing CEO Dave Calhoun and Airbus Americas CEO Jeffrey Knittel asked Buttigieg to postpone the planned January 5 deployment of AT&T and Verizon's 5G services in the US.

"5G interference could adversely affect the ability of aircraft to safely operate," the letter said, adding it could have an "enormous negative impact on the aviation industry."

AT&T and Verizon were scheduled to roll out their C-band 5G services in November, but delayed the rollout until the January 5 date following airplane safety concerns voiced by the Federal Aviation Authority. The FAA said in November that 5G deployment could potentially cause interference with altimeters on airplanes, used to measure the altitude of aircrafts.

A Boeing spokesperson told Insider: "The aerospace industry is focused on fully evaluating and addressing the potential for 5G interference with radio altimeters. We are collaborating with aviation authorities, government leaders, airlines, and industry groups to ensure the continued operational safety of aircraft throughout the aviation system worldwide."

The FAA issued an order earlier this month detailing potential restrictions on using systems commonly deployed for landing in bad weather due to concerns around 5G interference, The Wall Street Journal reported.

AT&T and Verizon did not immediately reply when contacted by Insider for comment.

A spokesman for a telecoms industry group has previously said concerns around 5G and airplane equipment are overblown.

"The aviation industry's fearmongering relies on completely discredited information and deliberate distortions of fact," Nick Ludlum, a spokesman for the wireless industry group CTIA, told The Wall Street Journal earlier this month.

<<<

[gfp927z]

>>> U.S. Warns 5G Wireless Use Could Prompt Flight Diversions

Reuters
|
Dec. 7, 2021

By David Shepardson

https://money.usnews.com/investing/news/articles/2021-12-07/u-s-warns-5g-wireless-use-could-prompt-flight-diversions

WASHINGTON (Reuters) -The U.S. Federal Aviation Administration (FAA) on Tuesday warned that interference from planned use of 5G wireless spectrum posed an air safety risk and could result in flight diversions.

The aviation industry and the FAA have raised concerns about potential interference of 5G with sensitive aircraft electronics like radio altimeters. AT&T and Verizon Communications in November agreed to delay the commercial launch of C-band wireless service until Jan. 5 after the FAA raised concerns.

The FAA issued a pair of airworthiness directives ordering the revision of airplane and helicopter flight manuals to prohibit some operations requiring radio altimeter data when in the presence of 5G C-Band wireless broadband signals.

One FAA directive on Tuesday said the "unsafe condition" posed by the planned use required immediate action before the Jan. 5 deployment "because radio altimeter anomalies that are undetected by the aircraft automation or pilot, particularly close to the ground ... could lead to loss of continued safe flight and landing."

The FAA reiterated in a statement on Tuesday that it believes the "expansion of 5G and aviation will safely co-exist." The agency added that the two directives "provide a framework ... to gather more information to avoid potential effects on aviation safety equipment."

The FAA remains in discussions with the Federal Communications Commission (FCC), White House and industry officials about the precise contours of any limitations, which are expected to be outlined in the coming weeks in a series of notices.

The FCC said Tuesday it "continues to make progress working with the FAA and private entities to advance the safe and swift deployment of 5G networks ... We look forward to updated guidance from the FAA in the coming weeks that reflects these developments."

It is not yet clear what airports or specific airplanes may be impacted. The FAA said notices would "be issued, as necessary, to state the specific areas where the data from a radio altimeter may be unreliable due to the presence of 5G C-Band wireless broadband signals."

AT&T and Verizon on Nov. 24 said they would adopt precautionary measures for at least six months to limit interference. But aviation industry groups said on Monday they were insufficient to address air safety concerns.

Verizon said Tuesday "there is no evidence that 5G operations using C-band spectrum pose any risk to aviation safety, as the real-world experience in dozens of countries already using this spectrum for 5G confirms," and added it was confident the FAA ultimately will conclude C-Band 5G use "poses no risk to air safety."

Verizon added it was "on track to launch 5G using C-band next month and to reach 100 million Americans with this network in the first quarter of 2022."

The wireless companies said in November they would take "additional steps to minimize energy coming from 5G base stations." The FAA said under 2020 FCC rules "base stations in rural areas of the United States are permitted to emit at higher levels in comparison to other countries."

<<<

[gfp927z]

>>> Skyworks Solutions' terrific momentum is here to stay


Motley Fool

https://www.fool.com/investing/2021/08/24/these-3-stocks-are-screaming-buys-right-now/?source=eptyholnk0000202&utm_source=yahoo-host&utm_medium=feed&utm_campaign=article


With a trailing price-to-earnings ratio of 21.4 and a forward earnings multiple of less than 16, buying Skyworks Solutions stock right now is a no-brainer given the pace at which it has been growing. The company's revenue in the recently reported fiscal third quarter increased 52% year over year to $1.11 billion, while adjusted earnings increased 72% to $2.15 per share.

Skyworks' guidance was also impressive. The company expects revenue to jump 36% year over year in the fourth quarter at the midpoint of its guidance range, while adjusted earnings are expected to increase 37%. But Skyworks can trounce expectations, like it has done over the past few quarters, as both its businesses are firing on all cylinders.

The mobile business recorded year-over-year growth of 52%, while the non-mobile broad markets segment registered 50% growth last quarter. The good news for Skyworks investors is that both segments are sitting on secular catalysts.

The mobile business is benefiting from the global rollout of 5G smartphones. Skyworks is in a prime position to take advantage of the boom in 5G smartphone sales thanks to its broad customer base. The chipmaker supplies its components to Apple (NASDAQ:AAPL), its largest customer with 56% of sales last fiscal year, and a clutch of top Android smartphone original equipment manufacturers such as Oppo, Vivo, and Xiaomi, among others.

Apple is going to be one of Skyworks' biggest growth drivers given its influence on the chipmaker's top line and the solid demand for the 5G-enabled iPhones. The iPhone 12 has been a runaway hit for Apple with sales of the series crossing 100 million units within just seven months of launch according to Counterpoint Research.

The momentum looks all set to continue with this year's iPhone launch. A recently conducted third-party survey of 3,000 iPhone owners over 18 years old revealed that 44% of them are willing to buy the 2021 iPhone models. Not surprisingly, Apple has reportedly increased the initial production batch of the 2021 iPhones to 90 million units from 75 million units last year. So, Skyworks' largest mobile customer seems set for better times ahead, and the same can be said about the broad markets segment.

Skyworks said on its latest earnings conference call that the broad markets segment is "benefiting from strong demand for [Internet of Things] solutions, including WiFi 6 and 6E and smart audio, as well as emerging use cases in industrial and automotive markets."

Investors should note that these markets have a lot of room for growth. The market for WiFi 6 chips is set to grow at an annual pace of nearly 22% for the next five years, while the connected car market is on track to record 17% annual growth through 2027, according to third-party estimates.

Skyworks Solutions can keep firing on all cylinders, and investors would do well to buy the stock given its enticing valuation.

<<<

[gfp927z]

>>> Equinix (EQIX) Expands in India, Acquires 2 Data Centers


Zacks Equity Research

September 3, 2021


https://finance.yahoo.com/news/equinix-eqix-expands-india-acquires-141002393.html


Boosting its presence in the India market, Equinix, Inc. EQIX completed the acquisition of India operations of GPX Global Systems, Inc. for an all-cash transaction of $161 million. With the move, the company expanded its portfolio with a fiber-connected campus in Mumbai with two data centers. It has appointed Manoj Paul as the managing director for Equinix India operation.

With the completion of the transaction, the new International Business Exchange (“IBX”) data centers form a network-dense data center campus, with more than 350 international brands and local companies.

The two acquired data centers, referred to as Equinix MB1 and MB2, offer an initial capacity of 1,350 cabinets, with an additional 500 cabinets to buildout. At the full build, the facilities will add more than 90,000 square feet of colocation space to Platform Equinix.

The acquisition seems a strategic fit as India is expected to grow, witnessing a 21% compound annual growth rate, and become a $2-trillion digital economy by 2030. With the rollout of 5G, and information and communications technology policy reforms of the government, digitalization and cloud adoption in India is expected to rise.

Equinix’s effort to bolster its presence in the country will add scale and strengthen its position in the region, while helping it benefit from the accelerations in digital infrastructure transformations.

Upon the completion of the business integration, the company plans to offer its full spectrum of interconnection and digital infrastructure services, comprising Equinix Connect, Equinix Internet Exchange, Metro Connect, Equinix Fabric and Network Edge in the new data centers, and help them connect in real-time, directly and privately to more than 10,000 companies.

Equinix enjoys a solid presence in the AsiaPacific region, operating 49 IBX data centers across 13 metros in Australia, China, Hong Kong, India, Japan, Korea and Singapore. Globally, the company remains well-poised to bank on the robust demand in the data center space with its Platform Equinix, which comprises more than 230 data centers across 65 metros and 27 countries.

Robust growth in cloud computing, the Internet of Things and big data, and a greater call for third-party IT infrastructure are spurring the demand for data-center infrastructure. Moreover, growth in artificial intelligence, autonomous vehicle and virtual/augmented reality markets is anticipated to be robust over the next five to six years.

As infrastructure providers for the rapidly-growing digital economy, data-center providers such as Equinix, Digital Realty Trust DLR, CyrusOne Inc. CONE and CoreSite Realty Corporation COR are well-placed for sustainable growth.

Shares of Equinix have gained 44.9% over the past six months, outperforming the industry's growth of 22.8%.

The company currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

<<<

[gfp927z]

>>> Keysight Technologies Accelerates Silicon Photonics Wafer Production with Fully Automated One-stop Test Solution


Business Wire

September 7, 2021


https://finance.yahoo.com/news/keysight-accelerates-silicon-photonics-wafer-150000700.html


Delivers quick volume production launch with stability and repeatability


SANTA ROSA, Calif., September 07, 2021--(BUSINESS WIRE)--Keysight Technologies, Inc. (NYSE: KEYS), a leading technology company that delivers advanced design and validation solutions to help accelerate innovation to connect and secure the world, announced the new NX5402A Silicon Photonics Test System integrated with Keysight PathWave Semiconductor Test software technology (part of Keysight PathWave Test software), which enables semiconductor manufacturers to speed delivery of silicon photonics wafer production with stable and repeatable test capabilities.

Silicon photonics is one of the key emerging technologies addressing growing internet traffic and demand for higher data rate. Silicon photonics’ primary applications are in the data center market, driven by big data and cloud applications, but it is expected to be used in other areas, including healthcare, automotive Light Detection and Ranging (LiDAR), optical computing and quantum computing.

According to a recent market research report by Yole Développement, the overall silicon photonics market will reach US$3.9 billion in 2025. As a result, many manufacturers are considering silicon photonics fabrication. However, there has not been any commercially available silicon photonics testing equipment for mass production using fully automated wafer probers. In addition, silicon photonics testing requires a variety of sensitive and accurate measurements. Companies and system integrators are pursuing system optimization and maintenance due to complex and inefficient communications with multiple vendors.

"Ahead of the growing market demand for silicon photonics, Keysight is excited to announce the first test solution for silicon photonics volume production market," said Shinji Terasawa, vice president and general manager of Keysight’s Wafer Test Solutions group. "Our NX5402A test system is the first solution that combines Keysight’s expertise in electrical and optical measurement with Keysight’s fiber alignment and positioning system integrated by PathWave Semiconductor Test software."

Keysight's new NX5402A Silicon Photonics test system delivers the following key customer benefits:

One-stop: Provides proven measurement technologies and direct support capabilities including integrated optical and electrical test capabilities and Keysight-developed fiber alignment and positioning system based on Keysight’s measurement science.

Fully automated: Eliminates manual operations with PathWave Semiconductor Test software which is compatible with Keysight’s SPECS software, enabling one-pass silicon photonics testing.

Volume production ready: Factory automation software, safety interlock and clean room ready features support manufacturing use, providing high throughput testing based on multi-channel optical and electrical test architecture, as well as optimized fiber alignment.

Demonstrated system performance: Maintains high accuracy, repeatability and reproducibility from laboratory to fabrication, delivering advanced wafer-level photonic calibration, as well as reliable performance monitoring with built-in automatic system diagnostics.

About Keysight Technologies

Keysight delivers advanced design and validation solutions that help accelerate innovation to connect and secure the world. Keysight’s dedication to speed and precision extends to software-driven insights and analytics that bring tomorrow’s technology products to market faster across the development lifecycle, in design simulation, prototype validation, automated software testing, manufacturing analysis, and network performance optimization and visibility in enterprise, service provider and cloud environments. Our customers span the worldwide communications and industrial ecosystems, aerospace and defense, automotive, energy, semiconductor and general electronics markets. Keysight generated revenues of $4.2B in fiscal year 2020. For more information about Keysight Technologies (NYSE: KEYS), visit us at www.keysight.com.

<<<

[gfp927z]

>>> Keysight Technologies, Inc. (KEYS) provides electronic design and test solutions to commercial communications, networking, aerospace, defense and government, automotive, energy, semiconductor, electronic, and education industries in the Americas, Europe, and the Asia Pacific. Its Communications Solutions Group segment provides electronic design automation (EDA) software; radio frequency and microwave test instruments; hardware and virtual network test platforms and software applications, including data center, routing and switching, software defined networking, security, and encryption; oscilloscopes, logic and serial protocol analyzers, logic-signal sources, arbitrary waveform generators, and bit error rate testers; optical modulation analyzers, optical component analyzers, optical power meters, and optical laser source solutions; and repair, calibration, and consulting services, as well as resells refurbished used Keysight equipment. The company's Electronic Industrial Solutions Group segment offers design tools; design verification solutions; and digital multi-meters, function generators, frequency counters, data acquisition systems, audio analyzers, LCR meters, thermal imagers, precision source measure units, ultra-high precision device current analyzers, and test executive software platforms, as well as various power supplies comprising AC/DC modular supplies and electronically programmable loads. This segment also provides printed-circuit-board-assembly testers, integrated circuit parametric testers, and sub-nano-meter positioning sub-assemblies; test and measurement products and software; and repair, calibration, and consulting services, as well as resells refurbished used Keysight equipment. The company sells its products through direct sales force, distributors, resellers, and manufacturer's representatives. Keysight Technologies, Inc. was incorporated in 2013 and is headquartered in Santa Rosa, California.

<<<

[Freextyle]

POET’s Interposer Platform is the Most Versatile, Lowest
Cost and Most Scalable Integration Platform
https://poet-technologies.com/docs/presentations/POET-Needham-Virtual-Tech-Conference-May-2021.pdf

[gfp927z]

>>> Number of commercial 5G devices reaches 511, up by 26.5% on-quarter: GSA

At the same time, there are now 822 announced 5G devices, growing by 8.7% over the last month, while 62% of all announced 5G devices are understood to be commercially available.


ET Telecom.com

June 10, 2021


https://telecom.economictimes.indiatimes.com/news/numer-of-commercial-5g-devices-reaches-511-up-by-26-5-on-quarter-gsa/83396532


The number of commercial 5G devices has grown by over 26.5% on-quarter, breaching the 500 mark to reach 511 commercial 5G devices, as per a report by the industry association Global mobile Suppliers Association (GSA).

At the same time, there are now 822 announced 5G devices, growing by 8.7% over the last month, while 62% of all announced 5G devices are understood to be commercially available.

“Against a backdrop of the global pandemic and economic disruption, the pace of 5G deployment and commercialisation has continued unabated,” commented Joe Barrett, President, Global mobile Suppliers Association.

“The mobile industry has continued to see more spectrum allocated to 5G, more networks deployed and, as of today, the number of commercially available 5G devices break through the totemic 500 barrier for the first time,” Barrett added.

Across 22 different form factors, there are 416 5G phones, an increase of 29 since April 2021, and at least 144 FWA CPE devices (indoor and outdoor), it said.

“Support for 5G Standalone is also seeing growing support within the device ecosystem, with 456 announced devices now with declared support for 5G standalone in sub-6 GHz bands, 303 of which are commercially available,” the report said.

By the end of May 2021, GSA identified 128 vendors who had announced available or forthcoming 5G device, 811 announced devices, 416 phones (up 29 from April), at least 350 of which are now commercially available (up 20 in a month), and 32 other devices, among others.

<<<

[42Hours]

IQST and all of its subsidiaries. It has a Submarine Fiber Optic Network capacity for internet (4G and 5G) and a telecom presence all over the world. It is also making a crypto currency to revolutionize how the telecom industry does payments and switches telephone numbers. More detail is under the subsidiary descriptions. It also has China Mobile, Vodafone, Verizon, Airtel, Reliance, and many more major telecoms as customers. China Mobile and Vodafone each literally have more customers than the entire US population and they are customers of IQST's. See entire list at the very bottom of this post. How many other companies want to access the disruptive technology IQST is creating for the telecom industry.


About iQSTEL Inc (Updated):

iQSTEL Inc (OTC: IQST) (www.iQSTEL.com) is a US-based publicly-listed company offering leading-edge Telecommunication, Technology and Fintech Services for Global Markets, with presence in 13 countries. The company provides services to the Telecommunications, Financial Services, Liquid Fuel Distribution and Electric Vehicle Industries. iQSTEL has 3 Business Divisions: Telecom, Technology and Fintech, with worldwide B2B and B2C customer relations operating through its subsidiaries: Etelix, SwissLink, QGlobal SMS, SMSDirectos, IoT Labs, itsBchain and Global Money One. The Company has an extensive portfolio of products and services for its clients: SMS, VoIP, 4G & 5G international infrastructure connectivity, Cloud-PBX, OmniChannel Marketing, IoT Smart Gas Platform, IoT Smart Electric Vehicle Platform, Mobile Number Portability Application MNPA (Blockchain), Settlement & Payments Marketplace (Blockchain), Visa Debit Card, Money Remittance, and Pay Mobile Phone Services among others.



About Etelix.com USA LLC (iQSTEL´s Telecom Division):



Etelix.com USA LLC (www.etelix.com) is a wholly owned subsidiary of iQSTEL Inc. Etelix.com USA, LLC is a Miami, Florida-based international telecom carrier founded in 2008 that provides telecom and technology solutions worldwide, with commercial presence in North America, Latin America, and Europe. Enabled by its 214-license granted by the Federal Communications Commission (FCC), Etelix provides International Long-Distance voice services for Telecommunications Operators (ILD Wholesale), and Submarine Fiber Optic Network capacity for internet (4G and 5G). Etelix was founded in 2008 and has been profitable since inception.



About SwissLink Carrier AG (iQSTEL´s Telecom Division):



SwissLink Carrier AG (www.swisslink-carrier.com) is a 51% owned subsidiary of iQSTEL Inc. SwissLink Carrier AG is a Switzerland based international Telecommunications Carrier founded in 2015 providing international VoIP connectivity worldwide, with commercial presence in Europe, CIS and Latin America. SwissLink Carrier AG is a Swiss licensed Operator, having a domestic Interconnect with Swisscom, allowing their international Carrier Customers direct terminations via SwissLink into all Switzerland Fix & Mobile Networks. Since the takeover from Swissphone in November 2018 and the rename into SwissLink, they operate on a profitable level.





About QGlobal SMS LLC (iQSTEL´s Telecom Division):



QGlobal SMS LLC (www.qglobalsms.com) is a 51% owned subsidiary of iQSTEL Inc. QGlobal SMS is a USA based company and a commercial brand founded in 2020 specialized in international and domestic SMS termination, with emphasis on the Applications to Person (A2P) and Person to Person (P2P) for Wholesale Carrier Market and Corporate Market in US. QGlobal SMS has commercial presence in US, Mexico, Latin America, EMEA (Europe, Middle East, Asia) and Africa, through our SMS service providers based in Austin, TX and Miami, FL Our Austin-based SMS service provider is specialized in the SMS traffic exchange between US and Mexico, and our Miami-based SMS service provider is focused in the development of Latin America and the rest of the world. QGlobal SMS has robust international interconnection with Tier1 SMS Aggregators, guarantying its customers high quality and low termination rates, over more than 100 countries worldwide.



About Alcyon Cloud SMS S.A.S, Commercial Brand SMSDirectos.com (iQSTEL´s Telecom Division):



Alcyon Cloud SMS S.A.S. (Commercial Brand SMSDirectos.com), is a whole subsidiary of QGlobal SMS, a Colombian-based Application and Content Provider. Alcyon Cloud SMS (SMSDirectos.com) is registered with the Secretary of Information and Communication Technology (ICT) in Colombia, offering services to government, enterprises, small and medium business, as well as end-users. Using SMSDirectos’ existing network, they plan to expand services from SMS to offer omnichannel products and services such as: SMS, Emails, RCS (Rich Communications Services), Social Media Channels (Whats App, Messenger, etc), WebRTC (Web Real-Time Communication), VoIP (IP-PBX, SIP Trunking) ChatBots (Artificial Intelligence Based), SMS to Email, and Email to SMS.



About IoT Labs MX SAPI (iQSTEL´s Technology Division):



IoT Labs MX SAPI (www.iotlabs.mx), a subsidiary of iQSTEL Inc, is an Internet of Things (IoT) Mexican technology development company, creator of the “IoT Smart Gas” Platform and Application. The IoT Smart Gas platform www.iotsmartgas.com consists of an IoT field device installed on the LP gas tank (adaptable to virtually any gas or liquid storage tank) and, thanks to the Internet of Things (IoT) technology via Sigfox or GSM network connectivity, allows remote managed and improved logistic processes of refilling, usage tracking and tank monitoring in real-time by the Smart Gas mobile app. The new GSM tracking feature allows for mobile use including ground, air, and sea tank monitoring.



About itsBchain LLC (iQSTEL´s Technology Division):



itsBchain LLC (www.itsBchain.com) is a 75% owned subsidiary of iQSTEL Inc. itsBchain is a blockchain technology developer and solution provider, with a strong focus on the telecom sector. The company is the final stage of development of a series of blockchain solutions aimed at using the blockchain ledger and smart contract solutions to enable more efficiency, quickness in execution and fraud-prevention in the telco industry. Specifically, the company is developing a solution that will enable users and carriers to transfer mobile phone numbers with just a few clicks, allowing users and carriers the ability to transfer retail users from one mobile carrier to another instantly. Additionally, the company is finalizing a carrier-grade marketplace solution to procure payments between carriers for cross-traffic of VoIP, SMS and data realtime as traffic is crossed between carriers. This marketplace will allow for instant payment settlement as well as the prevention of fraud between carriers.



About Global Money One Inc (iQSTEL´s Fintech Division):



Global Money One Inc. (www.GlobalMoneyOne.com) is a 75% owned subsidiary of iQSTEL Inc. Global Money One Inc is a Miami, Florida-based Fin-Tech company that uses a blend of industry expertise, state-of-the-art technology and compliance requirements to create disruptive solutions that deliver control, security and real-time payments and innovative Financial capabilities with reduced cost for consumers, specially to the unbanked, underbanked and underserved segments of today’s society. Our portfolio of services will include a Prepaid VISA MoneyOne Card (www.visamoneyone.com) expected to enable customers to make purchases in stores and online, withdraw cash at ATMs or receive cash back when using it to make a purchase, recharge prepaid mobile phone service and send money domestically or internationally (+ 40 countries). The VISA MoneyOne Card is expected to also facilitate the deposit of funds into bank accounts, Remote Deposit Capture (RDC) by mobile phone, bill payments, rewards, and digital gift cards. The VISA MoneyOne is the new and freedom financial world wallet expected launch in early Q2 2021.

Customers
iQSTEL through its subsidiaries is interconnected with the most important telecom players and value added integrators in the world, among which it is worth mentioning the following: Verizon, KDDI, PCCW, Hutchinson, Flow Jamaica (Cable and Wireless Caribbean), Cable and Wireless Panama, Millicom (TIGO), Telefonica de España (Movistar), Telecom Italia (TIM), Portugal Telecom (MEU), Optimus (NOS), Belgacom (BICS), Deutsche Telekom, Vodafone, Airtel, Reliance, Viettel, TATA Communications, iBasis, Orbitel, Entel, China Telecom, Telmex (Claro), Orange, Telenor, Telecom New Zeland, Bell Canada, Telia, Telstra, Message Bird, QuickCom Global, Telintel, Tyntec, Infobip, AMD Telecom, Nexmo “Now VONAGE”, RTX Routerader, Mitto AG, Mr. Messaging, China Mobile and IBM.

[PickStocks]

Z.

[gfp927z]

>>> These 5G Stocks Could Be Surefire Winners in 2021

These companies stand to win big as the roll out of the new wireless standard gains steam.


Motley Fool

by Harsh Chauhan

Nov 16, 2020


https://www.fool.com/investing/2020/11/16/these-5g-stocks-could-be-surefire-winners-in-2021/


As we approach the end of the year, it is evident that fifth-generation (5G) wireless networks have gained critical mass in 2020, despite the impact of the novel coronavirus pandemic. Sales of smartphones compatible with the latest networking technology have increased at a terrific pace this year, while carriers continue to roll out 5G into more markets.

Not surprisingly, the Defiance 5G Next Gen Connectivity ETF (NYSEMKT:FIVG), which is composed of companies engaged in the rollout of 5G networks and tracks the BlueStar 5G Communications Index, has outperformed the broader market in 2020.

But investors who have missed the 5G bus in 2020 shouldn't be disappointed, as the technology is expected to gather more steam next year. Gartner estimates that 5G infrastructure investments could hit $8.1 billion in 2020, reaching nearly half of the $16.4 billion investment in 4G and long-term evolution (LTE) networks. The firm predicts that 5G infrastructure investments could exceed 4G by 2022.

Meanwhile, 5G smartphone shipments are expected to nearly double in 2021, hitting 544 million units. All of this means that companies involved in the rollout of 5G infrastructure and smartphones -- including Micron Technology (NASDAQ:MU), Apple (NASDAQ:AAPL), Marvell Technology Group (NASDAQ:MRVL) -- could keep enjoying solid tailwinds next year. Here's why.


1. Micron Technology: Capitalizing on the need for more memory

Memory specialist Micron Technology could see a sharp spike in demand for dynamic random access memory (DRAM) and NAND flash memory next year, as 5G smartphones are expected to use more memory than their 4G counterparts.

The company anticipates that mid-range and low-end 5G phones could be equipped with at least 6 GB (gigabytes) of DRAM, compared to the 2 GB and 4 GB configurations seen in 4G devices. On the other hand, flagship 5G smartphones are expected to rock at least 8 GB of DRAM, compared to the 6 GB standard seen on 4G phones.

NAND flash storage on mid-range and low-end 5G smartphones is anticipated to jump to 64 GB and 128 GB configurations, compared to the 32 GB and 64 GB options seen on 4G devices. High-end 5G smartphones are expected to carry 256 GB/512 GB storage, compared to the 128 GB/256 GB of earlier models. The chipmaker estimates that DRAM demand could clock a compound annual growth rate (CAGR) of 15% through 2022, while the NAND market could grow at a faster CAGR of 30%.

More importantly, Micron seems to be in a good position to take advantage of the booming 5G smartphone memory market. The company's mobile revenue growth has outpaced the broader industry in recent years by a wide margin. Micron claims that its mobile revenue increased 104% from 2016 to 2019, while the industry's revenue increased by 28%, pointing toward a higher market share.

Given that Micron has been taking steps to address the need for power-efficient memory solutions in 5G smartphones, its mobile business could switch into a higher gear in 2021.


2. Apple: A mega-upgrade cycle coming for iPhones?

The shift to 5G smartphones was supposed to be a big tailwind for Apple in 2020, as there are reportedly hundreds of millions of iPhone users in an upgrade window now. The launch of the 5G-enabled iPhone 12 lineup at attractive prices may have already kick-started a mega upgrade cycle for Apple, as initial sales indications and reports of a ramp-up in production indicate.

Day-one preorders for the iPhone 12 were reportedly double those of the iPhone 11, with a range of 1.7 million to 2 million units. (The iPhone 11 was estimated to have sold between 500,000 and 800,000 units on its first day last year.) DigiTimes predicts that Apple could ship around 70 million units to 80 million units by the end of the year, though the company has been having a tough time meeting the higher-than-anticipated demand, according to reports.

But once Apple's supply chain catches up with the initial spurt in demand, the company could step on the gas in 2021. Cinda Securities estimates that the iPhone 12 series could hit between 230 million and 240 million units in shipments next year, which would make it the highest-selling iPhone line-up ever.

The highest number of phones that Apple has shipped in a year was 231 million back in 2015, as per Neil Cybart of Above Avalon, an Apple-focused research firm. According to Cybart's estimates, there are more than 1 billion iPhone users now. The number of iPhone users stood at almost 900 million back in 2018. Given that the average life of a smartphone is around 2.5 years, according to third-party estimates, the iPhone 12 could turn out to be the company's new best-seller considering the potential number of users that could upgrade to 5G networks.


3. Marvell Technology Group: Infrastructure upgrades in high demand

While Micron and Apple are smartphone-centric 5G plays, Marvell Technology can help investors benefit from the infrastructure side. The chipmaker makes processors that are used in 5G base stations (a telecom tower, in simpler terms), and its chips have been chosen by major telecom equipment vendors such as Nokia and Samsung.

The number of 5G base stations across the globe is expected to increase at a rapid pace in the coming years, with one third-party estimate suggesting a CAGR of 50% through 2026. Marvell Technology management indicated on the previous earnings conference call that it is well-placed to take advantage of the growth in the base station market:

This was also the fourth consecutive quarter of sequential revenue growth from the wireless infrastructure market as we benefited from the start of the 5G transition and our diversified design win position at four of the top five tier-one base station [original equipment manufacturers, aka] OEMs. In addition to the top five global OEMs, there's also a very active next tier of more regionally focused OEMs who are developing their own 5G base station equipment.

Marvell gets 56% of its total revenue from the networking segment. The company's revenue from this business shot up 23% year-over-year in the second quarter of fiscal 2021. The huge opportunity in 5G base stations could help Marvell maintain its impressive momentum, especially after the company's latest move to strengthen its presence in the 5G networking hardware market.

Marvell recently struck a deal to acquire Inphi for $10 billion, a move that the company claims is going to improve its position in the 5G wireless infrastructure market and also open new opportunities. Specifically, Marvell estimates that this acquisition would increase its serviceable addressable market from $16 billion to $23 billion by 2023. The two companies together have generated just over $3.6 billion in revenue over the past year, indicating that Marvell is sitting on a huge opportunity to ensure that it keeps growing at a nice pace.

And with the stock trading at just 20 times trailing earnings, investors looking for a fast-growing 5G stock at a reasonable valuation should have Marvell within their sights, as its growth could turn up a notch next year and beyond.

<<<

[gfp927z]

Ciena - >>> 3 Top Stocks That Aren't On Wall Street's Radar


Some of the top stocks to own aren't the ones that make for splashy headlines.


Motley Fool

by James Brumley

Aug 18, 2020


https://www.fool.com/investing/2020/08/18/3-top-stocks-that-arent-on-wall-streets-radar/


How do you find stocks to buy? Is your approach a from-the-ground-up process rooted in results that narrows a wide list of names down until you're only left with the best of the best? Or do you gravitate toward the media's most-watched and most-discussed stock names and follow the crowd? The latter happens more often than you think.

With that as the backdrop, here's a closer look at Jack Henry & Associates (NASDAQ:JKHY), Generac Holdings (NYSE:GNRC), and Ciena (NYSE:CIEN) -- three prospective purchases that aren't on Wall Street's radar but that have the right stuff for potential investment all the same.


1. Businesses just can't quit Jack Henry

Jack Henry & Associates isn't just a name that's off Wall Street's radar. It's a name most investors may have never even heard of. The $15 billion software company helps retailers process payments, helps banks manage their financial details, and even has solutions for factories, insurers, and healthcare outfits. It's likely you've benefited from its wares without even realizing it.

It's an arena that includes higher-profile players like Visa, ServiceNow, and DocuSign, just to name a few. Software-as-a-Service (SaaS) has exploded in recent years, and the market is quick to fall in love with an organization that promises to revolutionize the idea with the product or service the world didn't know it was missing. That's not Jack Henry. It's been around for decades and has carved out a nice niche for itself by doing things that were fairly predictable.

That low profile, however, may ultimately be working to its advantage now. Its software may be such an integral part of its customers' daily routines that they can't afford to stop using it now. Jack Henry & Associates' revenue for the quarter ending in March was up 13% year over year, despite the COVID-19 headwind that was in place by the time the quarter ended. Sales and earnings growth is expected to slow for this full year, and next, but growth's in the cards all the same in an environment that's proving tough for plenty of companies.


2. Generac is powering up

A top tech name is one thing it isn't. But don't discount the potential of an old-school industrial name like Generac Holdings that solves an ever-expanding problem.

Generac makes a variety of goods, ranging from portable liquid pumps to pressure washers to mobile heaters. Its claim to fame, however, is electricity generators for the home and institutional markets.

The need for such solutions hasn't always been apparent. In recent years, though, the failings of the utility industry have prompted the search for self-sufficiency. For instance, the Camp Fire wildfires that ravaged more than 150,000 acres and destroyed nearly 19,000 structures in California in 2018 also caused power outages in undamaged areas. Some power customers in New York and New Jersey have also experienced the inconvenience of power outages related to this year's uncharacteristically hot temperatures that were exacerbated by damage done by Tropical Storm Isaias. Hurricanes hitting the United States are not only seemingly more frequent, but more powerful than they've been in the past, knocking out electrical service to greater numbers of customers, and for longer.

End result? The few analysts that cover Generac Holdings are collectively calling for a 7% improvement in this year's top line despite the impediment of the coronavirus contagion, and are modeling a reacceleration of top-line growth to a pace of nearly 11% next year. That growth will extend an unfettered growth streak that goes all the way back to 2013.


3. Ciena is a 5G centerpiece

Finally, add Ciena Corp. to your list of stocks to think about even though most folks on Wall Street aren't.

That's not to suggest Wall Street (or Main Street, for that matter) is entirely unaware of the $9 billion organization. About 20 analysts follow it and collectively rate it at a little bit better than a buy. That's just shy of deeming it a strong buy. The consensus price target of $61 is also a tad above the stock's present price of just under $60 per share. The pros hardly hate the stock.

They are arguably not paying enough attention to it, though, causing investors to do the same.

See, this networking and wireless-tech company is quietly responsible for helping to shape the 5G landscape as we know it. It's understood for some time that for 5G speeds to be possible in the number of deployments planned, conventional connectivity like fiber optics has to be part of the mix. That's why Ciena has been working on the solutions that fellow Fool Harsh Chauhan described last month, including 5G-optimized routers and 5G network automation software that serve as the backbone of a product line Ciena simply refers to as Adaptive IP.

Middlemen have already taken notice of Ciena's solutions. Earlier this month, Windstream announced it had tapped Ciena to supply the backbone of its planned National Converged Optical Network, or NCON. More such deals are apt to be in the cards too. Before the COVID-19 pandemic upended the world, 2020 was frequently touted as the year 5G would become the new normal in terms of wireless broadband speeds. We're now starting to see glimmers of a renewed effort to make that happen.

<<<

[gfp927z]

Broadcom - >>> Got $1,500? Here Are 3 of the Safest Stocks to Buy Now

These great companies haven't delivered a negative annual total return in over a decade.


Motley Fool

by Sean Williams

Aug 17, 2020


https://www.fool.com/investing/2020/08/17/got-1500-here-are-3-of-the-safest-stocks-to-buy-no/


Who needs amusement parks when you have the stock market to take you on a wild ride? The coronavirus disease 2019 (COVID-19) pandemic has led to unprecedented volatility this year, as measured by the CBOE Volatility Index. We witnessed the broad-based S&P 500 lose 34% of its value in less than five weeks, then regain everything back over the subsequent 140 calendar days.

Investors, both novice and tenured, have had their resolve to stay the course tested like never before.

Even though the stock market has a history of putting corrections and bear markets firmly into the rearview mirror over time, some investors simply aren't built or prepared to deal with wild swings in equity valuations or the potential for prolonged downside. To these folks I say, there's good news. There are a handful of companies that can be bought right now that are among the safest stocks on Wall Street.

Best of all, you won't need a fortune to begin investing in these tried-and-true businesses. If, say, you have $1,500 you can devote to these safe stocks over the long haul, you have more than enough capital to watch your wealth compound over time.


Costco Wholesale

Because of the retail industry's tie-ins to the U.S. economy, we wouldn't often think of retailers as a true safe-haven investment. Although the U.S. economy spends far more time expanding than contracting, recessions are an inevitable part of the economic cycle. However, recessions tend to be a virtual non-event for Costco Wholesale (NASDAQ:COST).

Just how steady is warehouse club Costco? Including its dividend, Costco hasn't delivered a negative total return since 2008. With its stock up 15.3% year-to-date, through August 13, Costco looks to be on track for a 12th consecutive year of gains, after delivering a 540% total return for investors during the 2010s.

A big reason Costco is able to separate itself from other retailers is because of its bulk-buying prowess. Costco frequently uses its size and deep pockets to negotiate significant discounts when buying items in bulk. These discounts can then be passed along to its members. And make no mistake about it, these low prices remain the primary draw of consumers to Costco.

Furthermore, Costco uses its memberships as a tool to fuel its competitive advantages. The revenue collected from these memberships can be used as a buffer on pricing to further undercut its competition. Additionally, having consumers pay annually for the right to shop at Costco makes it less likely that they're going to shop elsewhere. These memberships effectively lock consumers into Costco's ecosystem of products and services.

From what we've historically witnessed, Costco has excellent pricing power on its memberships. This is to say that any pushback on membership fee price hikes tends to be very short-lived, and rarely, if ever, adversely affects enrollments or renewals.

Since Costco carries everything from essential groceries to aisles upon aisles of higher-margin discretionary items, it makes for the perfect example of a safe stock to buy in the retail space.


Broadcom

Another one of the safest stocks on the planet than you can buy right now is chipmaker Broadcom (NASDAQ:AVGO).

Similar to Costco argument above, technology isn't exactly the sector that folks would typically look for "safe stocks." Tech stocks are usually very cyclical, and sport high premiums tied to their superior growth potential. In other words, we'd expect a lot of volatility. But that's really not been the case with Broadcom.

Throughout the 2010s, Broadcom's total return, inclusive of dividends, was positive every year -- and it's looking to keep that streak intact in 2020. Dividends have certainly helped Broadcom keep its streak of annual gains alive, with its quarterly payout of $3.25 having grown by more than 4,500% from where it was 10 years ago.

But Broadcom's income stream isn't the real lure here. Instead, it's two huge catalysts that should dominate this decade.

First off all, Broadcom is going to benefit from the rollout of 5G networks. We're talking about the first real upgrade to wireless infrastructure in about a decade, and it's liable to lead to a multiyear technology upgrade cycle for smartphones and other wireless devices. With wireless chips for smartphones accounting for the lion's share of the company's revenue, 5G should be a serious growth boon for Broadcom.

The other factor at play here is the surge in remote work environments created by COVID-19. As enterprise data continues to shift into the cloud, demand for data centers and storage should increase. Broadcom's connectivity and access chip solutions are at the heart of this growing data center demand.

Though its days of consistent double-digit sales growth are now in the past, Broadcom's current profile will check boxes for growth and value investors.


NextEra Energy

A final safe stock that investors can consider picking up right now is electric utility NextEra Energy (NYSE:NEE). If the company's nearly 19% total return holds for 2020, this'll mark its 12th straight positive year of returns.

When you think of safe, steady companies, utilities should rightly come to mind. That's because utilities provide a product or service that people almost universally need. In NextEra's case, it supplies electricity and natural gas, which are pretty much a necessity if you own a home or rent. Although weather can influence how much power a household uses, the beauty of investing in electric utility stocks is that demand and cash flow tend to be highly predictable in any economic environment.

What allows NextEra to stand out from its peers and deliver consistent high-single-digit profit growth is the company's focus on renewable energy. Investing in solar and wind projects isn't cheap, but NextEra has been able to do so at historically low lending rates for years. As the leading utility for solar and wind capacity, NextEra's electricity generation costs are well below that of its peers. If and when green energy regulations are handed down from Washington, D.C., NextEra will be way ahead of the curve.

NextEra Energy also benefits from its traditional utility operations being regulated. Though this means the company can't pass along price hikes at will (it needs the authorization of a state's public utility commission), it also means no exposure to potentially volatile wholesale electricity pricing. Again, it all comes back to the predictability of the company's cash flow.

NextEra might be trading at a premium to other electric utilities, but it's well-deserved given its ability to execute on its renewable projects.

<<<