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>>> 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.
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>>> 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."
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>>> 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.
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>>> 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.
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>>> 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.
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>>> 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.
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https://poet-technologies.com/docs/presentations/POET-Needham-Virtual-Tech-Conference-May-2021.pdf
>>> 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.
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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.
>>> 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.
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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.
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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.
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>>> U.S., Brazil in talks on funding to buy 5G gear from Ericsson, Nokia: paper
Reuters
June 12, 2020
https://finance.yahoo.com/news/u-brazil-talks-funding-buy-172016861.html
SAO PAULO (Reuters) - The United States is in talks with Brazil and its local telecommunications companies on funding the acquisition of fifth-generation gear produced by Ericsson and Nokia, U.S. ambassador for Brazil Todd Chapman told Brazilian newspaper Folha de S.Paulo.
In an interview published on Thursday night, Chapman said this type of funding is a matter of "national security" to Washington and aims to "protect data and intellectual property, as well as sensitive information of nations".
His remarks were a blow to the world's largest telecoms equipment maker, China's Huawei Technologies Co Ltd [HWT.UL], which has consolidated its presence in Brazil over the last 20 years.
Huawei did not immediately respond to Reuters' request for comment.
The Chinese company has successfully conducted 5G tests with all four major carriers - Telefonica Brasil SA, TIM Participacoes SA, America Movil's Claro and Oi SA - and is helping them modernize their infrastructure ahead of a long-awaited 5G spectrum auction.
In August, Reuters reported Huawei would invest $800 mln to build another factory in Brazil's Sao Paulo state by 2022, pushing to ramp up its Latin American footprint despite U.S. objections.
U.S. President Donald Trump's administration has urged governments worldwide, including Brazil, to shun Huawei because of spying concerns but few have heeded those warnings so far.
Chapman argues that allowing Chinese companies in the country's 5G deployment could even discourage investments by other foreign companies. "Who wants to make investments in countries where their information will not be protected?," he told Folha.
The U.S. Ambassador added that the funding under discussion with Brazil would be provided by the International Development Finance Corporation, a development bank created by Trump in late 2018 to counter China's Development Bank operations in other countries.
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>>> The World’s First 5G Networks Are Still More Patchy Than Powerful
Bloomberg News
June 13, 2020
https://www.bloomberg.com/news/articles/2020-06-13/world-s-first-5g-networks-are-still-more-patchy-than-powerful?srnd=premium
Consumers are promised gigabit speeds, but access still scarce
Network density is a must with this generation of wireless
Fifth-generation networking hype has been in full force since Qualcomm Inc. declared “5G is here, and it’s time to celebrate” in February of last year. The reality, however, has required patience from consumers due to the time needed to roll out the new networks and the dearth of applications to put additional speed to compelling use.
A year after South Korea launched the world’s first full commercial 5G network and months after China opened the world’s biggest, Bloomberg News reporters tested the leading carriers in both countries to see how far 5G has gotten. Tests in Hong Kong and Tokyo showed similar results -- gaps in coverage that could leave most early adopters waiting for networks to reach full speed.
Smartphone makers have swept in with a flood of 5G devices this year, with Samsung Electronics Co., Huawei Technologies Co. and Xiaomi Corp. all pushing the new technology without asking for much higher prices or design compromises. Millions of 5G phones have already been sold, and for the billions of people not yet on the bandwagon, the new wireless standard will soon be the default option anyway.
Carriers aren’t moving quite as fast. They’re investing billions of dollars to set up and expand their 5G networks, but the technical design of this new standard demands high network density to provide the advertised stratospheric speeds. Once they have enough masts in place, they aim to recoup the initial costs by offering more bandwidth-hungry add-ons, such as Nvidia’s GeForce Now game-streaming service, which SoftBank Corp. launched in Japan on June 10.
Where it’s available, even without hitting its max theoretical speeds, 5G is an impressive upgrade for most consumer applications. For example, at a gigabit per second (1Gbps), a user could download a 9-hour audiobook in less than 1 second, according to Fastmetrics, a U.S.-based internet service provider. Even at 1/10 of that speed, 100 megabits per second, a 45-minute TV show takes only 16 seconds, Fastmetrics estimates.
Carriers in North America, Europe and Australia have also set up 5G, with so far underwhelming results for consumers. In March tests conducted by RootMetrics in the U.S., the choice appeared to be between fast speed with negligible availability -- Verizon Wireless Inc. recorded a max speed of 846Mbps with 3.1% availability in Chicago -- or wider availability without much of a speed bump -- T-Mobile US Inc. covered 57% of Washington but at a less impressive 148Mbps.
Read more: 5G Report Card: T-Mobile Has Widest Coverage, Verizon Is Fastest
To test download speeds and coverage, we sent four reporters out into Seoul, Beijing, Tokyo and Hong Kong with 5G phones and speed-measuring apps. Here’s what those tests showed:
Seoul
CARRIER FASTEST DOWNLOAD TYPICAL SPEED SPECTRUM COVERAGE
KT Corp.
1.2Gbps 500Mbps 3.5GHz
Most of Seoul is covered, though 5G drops inside many buildings or on bridges. KT offers a coverage map showing access zones in the city.
KT, the No. 2 South Korean carrier, has improved 5G service since the commercial debut in April 2019, though it still lacks the high-frequency airwaves necessary to reach top download speeds in the range of 20Gbps. SK Telecom Co., the country’s largest carrier, achieves a download speed of 1.5Gbps inside its headquarters, which drops to 1Gbps in the same building’s lobby.
KT’s average 5G data speed ranges between 800Mbps to 1Gbps, the company said in an email. “It is hard to simply compare data speeds in South Korea, which has nationwide services, with other countries that only have test services or have services in a few cities,” the company said.
Beijing
CARRIER FASTEST DOWNLOAD TYPICAL SPEED SPECTRUM COVERAGE
China Mobile Ltd.
546Mbps 525Mbps 2.6GHz, 4.9GHz
Parts of downtown lack 5G coverage, though that’s improving fast.
In Beijing, tests using a Huawei P40 Pro phone showed 5G service was consistent enough to play high-definition (1080p) video while riding in a car. There was no 5G signal inside the subway and the shopping mall in Guomao, where luxury brands from Tiffany to Vacheron Constantin are sold. Most of the Zhongnanhai district, home of the central government, has no 5G coverage, according to a map provided by China Mobile.
A China Mobile representative in Beijing emailed a video showing download speed exceeding 1.1Gbps at Beijing Daxing International Airport. The representative had no further comment.
Hong Kong
CARRIER FASTEST DOWNLOAD TYPICAL SPEED SPECTRUM COVERAGE
China Mobile
620Mbps 342Mbps 3.3-3.5GHz, with 4.9GHz in some areas
Connection and speed were consistent in most outdoor areas of Hong Kong’s Central District. Services dropped to 4G in many indoor spots and in residential areas.
Tests using a Huawei P40 Pro showed streaming of high-resolution 4K video was smooth outdoors even in a moving vehicle. The fastest download speed was recorded in the carrier’s flagship store in the city’s central business district.
The carrier expects its 5G network to “penetrate deeply” in Hong Kong, Alex Cheng, China Mobile principal engineer, said in an email.
Tokyo
CARRIER FASTEST DOWNLOAD TYPICAL SPEED SPECTRUM COVERAGE
NTT Docomo Inc.
1.4Gbps 700Mbps 3.7 GHz, 4.5 GHz
As of the end of May, 15 locations in Tokyo offered 5G on Docomo’s network. There’s also a smattering of coverage in about a dozen other prefectures plus Osaka and Kyoto.
At two locations in the city, the 5G signal was strong inside the Docomo shop but became unstable a short distance away from it, using a Samsung Galaxy S20 phone and Netflix’s speed test app. Both of Tokyo’s main airports, two Olympics facilities and Tokyo Sky Tree are among the covered spots. Two more waves of 5G network expansion are planned by the end of July and end of October, the carrier said.
“The initial rollout is going as planned,” Docomo said in an email.
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>>> Best ETFs to Invest in 5G Theme
Zackx
by Neena Mishra
June 14, 2019
https://finance.yahoo.com/news/best-etfs-invest-5g-theme-175205575.html
The fifth generation wireless technology or 5G is ready to take off and will be a game changer when it is fully implemented. There is a lot of excitement over the technology, given its transformative potential.
The International Telecommunication Union (ITU), a UN body, has a set of requirements for the technology. It should offer download speeds of at least 20 gigabits per second, response times or “latency” of less than 1 millisecond and the ability to connect at least 1 million devices in one square kilometer.
With much faster speeds, 5G could change the way we live, work, travel and communicate. The technology will provide a big boost to the Internet of Things, self-driving cars, and virtual/augmented reality technologies
Major telecom companies have just started rolling out 5G service in very limited areas. Verizon (VZ) enabled the service last month in parts of Chicago and Minneapolis. AT&T (T) has started 5G service trials in parts of 19 cities. Sprint (S) plans to launch the service in nine cities by the end of this quarter.
Samsung (SSNLF) was among the first phone makers to introduce a 5G smartphone. Apple (AAPL) settled its multiyear legal dispute with Qualcomm (QCOM) recently, so we could see a 5G iPhone next year.
The Defiance Next Gen Connectivity ETF (FIVG) is the first ETF focused exclusively on companies involved in research, development and usage of 5G technology. Its top holdings include CommScope (COMM) , Xilinx (XLNX ) and Skyworks (SWKS ) .
The First Trust Indxx NextG ETF (NXTG) changed its focus last month to track an index of companies involved in 5G and next-generation cellular technologies. AMD (AMD), Equinix (EQIX) and Cisco (CSCO) are among its top holdings.
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thanks for your posts. Will be watching for a good entry point in some of the ETFS. Do you know of any pennies that look good in this area? I've looked around some and haven't found any that excite me yet.
>>> Factor In This Fabulous 5G Fund For 2020
ETF Trends
February 14, 2020
https://finance.yahoo.com/news/factor-fabulous-5g-fund-2020-155224123.html
As this year moves along, investors will undoubtedly hear more about the 5G rollout, a theme that can be tapped with ETFs, such as the Defiance 5G Next Gen Connectivity ETF (FIVG).
The Defiance Next Gen Connectivity ETF is the first ETF to emphasize securities whose products and services are predominantly tied to the development of 5G networking and communication technologies. FIVG does this by tracking the BlueStar 5G Communications Index, and FIVG attempts to invest all, or substantially all, of its assets in the component securities that make up the Index.
The 5G rollout is expected to be massive and present investors with significant opportunities.
5G means quicker downloads, much lower lag and a significant impact on how we live, work and play,” according to Verizon. “The connectivity benefits of 5G are expected to make businesses more efficient and give consumers access to more information faster than ever before.”
Fantastic FIVG
5G technology will use a higher frequency band versus the current 4G technology standard, resulting in faster transmission of data. Being able to transmit copious amounts of data at a faster rate is certainly of benefit for wireless companies and their users, but 5G could be a major disruptor in various industries.
FIVG “isn’t just a success story among 5G ETFs. It’s confirmation that some thematic funds can captivate investors. A few weeks ago, FIVG vaulted to $200 million and now has over $235 million in assets,” reports InvestorPlace.
The possible applications of 5G technologies are only in the exploration stages, and the possibility of returns is uncertain and may not be realized soon. Nonetheless, it presents an opportunity that could see early adopters reap the benefits, especially if the technology is utilized to its fullest capabilities. Pivotal to the FIVG thesis is the fund's broad reach.
The fund features exposure to core carrier-grade networking equipment including cellular antennas and routers, mobile network operators, satellite-based communications, enhanced mobile broadband chips, new radio technology, wireless network test and optimization equipment, cloud computing equipment, software-defined networking or network functions virtualization, fiber optic cables, or cell tower and/or data center real estate investment trusts.
“FIVG’s deep bench is important because the 5G ETF allocates about 10% of its combined weight to Nokia (NYSE: NOK ) and Ericsson (NASDAQ: ERIC) . These are both credible 5G plays, but also two of the theme’s most obvious laggards,” according to InvestorPlace.
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>>> With 5G Rollout Looming, This ETF Swells in Size
ETF Trends
January 28, 2020
https://finance.yahoo.com/news/5g-rollout-looming-etf-swells-161946346.html
This will be the year of the highly anticipated 5G wireless system rollout around the world and data suggest investors are preparing for that with the Defiance 5G Next Gen Connectivity ETF (FIVG) .
The Defiance Next Gen Connectivity ETF is the first ETF to emphasize securities whose products and services are predominantly tied to the development of 5G networking and communication technologies. FIVG does this by tracking the BlueStar 5G Communications Index, and FIVG attempts to invest all, or substantially all, of its assets in the component securities that make up the Index.
FIVG “surpassed $200M in less than 12 months of launch, making it one of the most successful thematic ETF launches in recent years,” according to a statement from New York-based Defiance ETFs.
5G technology will use a higher frequency band versus the current 4G technology standard, resulting in faster transmission of data. Being able to transmit copious amounts of data at a faster rate is certainly of benefit for wireless companies and their users, but 5G could be a major disruptor in various industries.
Give A High FIVG
FIVG offers investors liquid, transparent and low-cost access to companies engaged in the research & development or commercialization of systems and materials used in 5G communications. The underlying BlueStarGlobal 5G Communications Index tracks approximately 60 globally-listed stocks across all market capitalizations, with special weighting given to large caps (71%.) It uses a tiered weighting system that divides upholdings. The ETF has been around since March of 2019 and has an expense ratio of 0.30%.
The BlueStar 5G Communications Index is a rules-based index that tracks the performance of a group of US-listed stocks, of global companies that are involved in the development of or are otherwise instrumental in the rollout of 5G networks. These securities are part of the following categories: core carrier-grade networking equipment including cellular antennas and routers, mobile network operators, satellite-based communications, enhanced mobile broadband chips, new radio technology, wireless network test and optimization equipment, cloud computing equipment, software-defined networking or network functions virtualization, fiber optic cables, or cell tower and/or data center real estate investment trusts.
The possible applications of 5G technologies are only in the exploration stages, and the possibility of returns is uncertain and may not be realized soon. Nonetheless, it presents an opportunity that could see early adopters reap the benefits, especially if the technology is utilized to its fullest capabilities.
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>>> The 7 Best ETFs to Own for a 5G Boom
5G is the buzzword of the day for telecom stocks and these are the best ETFs to consider
By Todd Shriber
InvestorPlace
Jun 26, 2019
https://investorplace.com/2019/06/the-7-best-etfs-to-own-for-a-5g-boom/
Investor that have paid even just cursory attention to the communication services sector, telecom stocks and the related exchange-traded funds (ETFs) this year have likely heard something about the rollout of 5G communication systems.
For investors, 5G, or fifth generation cellular communications technology, has myriad implications and presents an array of opportunities. One way of learning more about 5G and the related opportunities, including ETFs, is to understand what 5G is not comparable to.
Think back to when the first iPhone debuted. The easiest way of tapping that market, at least initially, was via Apple Inc. (NASDAQ:AAPL) shares or AT&T (NYSE:T) because the latter had exclusive rights to the iPhone for a few years.
While 5G does not debut in earnest until next year, some telecom companies, including Dow Jones Industrial Average component Verizon Inc. (NYSE:VZ), are testing it in select locales this year. Moreover there are a slew of funds that deserve consideration as “5G ETFs” that extend beyond traditional telecom offerings.
Here are some of the more interesting names among 5G ETFs to consider right now.
Defiance Next Gen Connectivity ETF (FIVG)
Expense ratio: 0.30% per year, or $30 on a $10,000 investment
Among 5G ETFs, the Defiance Next Gen Connectivity ETF (NYSEARCA:FIVG) is the original and, to its credit, one of this year’s most successful new ETFs. FIVG is just over three months and already flirting with $90 million in assets under management. That is an impressive start for a thematic fund.
What makes FIVG a credible 5G ETF, beyond its highly appropriate ticker, is its depth of reach. Meaning, this 5G ETF has more industry exposure than many traditional telecom funds, positioning FIVG to take advantage of multiple sub-themes in the 5G arena.
Components in this 5G ETF “are part of the following categories: core carrier grade networking equipment including cellular antennas and routers, mobile network operators, satellite-based communications, enhanced mobile broadband chips, new radio technology, wireless network test and optimization equipment, cloud computing equipment, software defined networking or network functions virtualization, fiber optic cables, or cell tower and/or data center real estate investment trust,” according to Defiance ETFs.
For thematic investors, FIVG is has another nice feature: a really low fee compared to highly focused ETFs addressing other fast-growing themes.
First Trust Indxx NextG ETF (NXTG)
Expense ratio: 0.70%
The First Trust Indxx NextG ETF (NASDAQ:NXTG) is something of a redemption story among 5G ETFs. For more than eight years, NXTG toiled in relative anonymity as a smartphone ETF. Just a few weeks ago, First Trust converted NXTG to a 5G ETF and seemingly out of nowhere, it now has more than $130 million in assets under management.
NXTG holds 97 stocks from 10 industry groups, giving it a deeper bench than rival FIVG in terms of number of holdings. The First Trust allocates almost a quarter of its weight to semiconductor stocks and features more exposure to traditional telecom fare than does the competing FIVG, so investors should expect these 5G ETFs to deliver the same returns.
What will be interesting about this competition is if NXTG can deliver returns that are in excess enough of FIVG’s for the former to merit its 0.70% fee. In the world of ETFs, it is rare for two similar funds to have this wide of a fee gap, particularly in the thematic space.
VanEck Vectors Video Gaming and eSports ETF (ESPO)
Expense ratio: 0.55%
One of the interesting things about the current generation of thematic ETFs is how many of the underlying themes intersect with each other. Believe it or not, that sentiment applies to video game funds, such as the VanEck Vectors Video Gaming and eSports ETF (NYSEARCA:ESPO) and 5G.
“The gaming industry in particular should benefit from the new opportunities that 5G presents,” said IHS Markit in a recent note. “Because online gaming requires low latency and fast speeds for an optimal user experience, 5G will deliver a vastly improved gaming experience. IHS Markit predicts that revenue from mobile gaming will jump to $83 billion in the next five years. Moreover, cloud gaming will also benefit since 5G removes the need for high-cost hardware.”
One of the driving forces of the gaming industry over the next several years is expected to be mobile gaming and that is where 5G has potentially significant applications.
“5G will offer countless opportunities for improved streaming experiences, thanks to faster speeds, lower latency, stronger reliability, higher capacity, and better mobility,” according to IHS Markit. “Given such vast improvements, IHS Markit predicts that there will be 1 billion 5G mobile subscriptions by 2023.”
Global X Internet of Things ETF (SNSR)
Expense ratio: 0.68%
Internet of Things (IoT) is the epitome of a sprawling opportunity set where 5G has vast potential. In fact, the Global X Internet of Things ETF (NASDAQ:SNSR) is the only dedicated IoT ETF, but is very much a 5G ETF, too. SNSR, which debuted in September 2016, tracks the Indxx Global Internet of Things Thematic Index.
Like several of the other 5G ETFs highlighted here, SNSR is heavy on semiconductor stocks (over 30% of the fund’s weight), but it also has expansive industry reach with exposure to about 10 other groups, including some healthcare exposure. Some of SNSR’s holdings include familiar names, such as Cisco Systems Inc. (NASDAQ:CSCO), a company that is going to be a major 5G player.
“Further, the rapid transition to the 5G next generation mobile standard has led Cisco CEO, Chuck Robbins, to state that the company is singularly focused on winning the 5G race,” according to Global X research. “Global internet traffic continues to multiply, highlighted by an explosion of data. By 2022, more data will be consumed than in all previous years combined, as superfast 5G becomes more ubiquitous. Consequently, as the number of devices connected to networks grows, Cisco’s products will play an ever-growing role in powering the IoT theme.”
Communication Services Select Sector SPDR (XLC)
Expense ratio: 0.13%
The Communication Services Select Sector SPDR (NYSEARCA:XLC) is the largest ETF tracking the communication services. That used to be the telecom sector and while XLC is home to the likes of Facebook Inc. (NASDAQ:FB) and Alphabet Inc. (NASDAQ:GOOG NASDAQ:GOOGL), it is also features legacy telecom companies and is a relevant 5G ETF.
XLC’s mix of old guard telecom with more cutting edge technology purveyors is notable because that combination will be needed for 5G to succeed.
“The fifth-generation mobile standard known as 5G will not only bring significant benefits like much faster data speeds and increased connectivity, it will also be the first all-inclusive cellular network able to accommodate three distinct types of use cases, ranging from very basic to the cutting edge,” according to IHS Markit. “Many of these use cases operated historically on different networks, creating challenges in achieving economies of scale.”
XLC is home to the likes of AT&T and Verizon, too, which data confirm is a relevant trait.
“The projected installed base of 5G in its first five years of launch will be much larger than that of 4G over the same time,” said IHS Markit. “By 2023 or Year 5, subscribers to 5G will reach 1.3 billion, up substantially from a low starting base in 2019, the first year of 5G rollouts.”
Global X MSCI China Communication Services ETF (CHIC)
Expense ratio: 0.65%
The Global X MSCI China Communication Services ETF (NYSEARCA:CHIC) is the China answer to the aforementioned XLC and it is a relevant 5G ETF as well. As is the case with almost everything involving China and the U.S., there is expected to be fierce 5G competition between the world’s two largest economies. That competition is starting imminently as China Mobile, CHIC’s largest holding is expected to rollout its 5G platform in the coming days.
In addition to China Mobile, several other CHIC components have already landed coveted 5G contracts in China and some members of this fund will be building 5G networks in other developing economies. 5G could be another sticking point in the already fragile relationship between the U.S. and China.
“The U.S. military’s Defense Innovation Board (DIB) warned Congress that China’s fifth generation telecommunications design will directly interfere with U.S. weapons systems,” reports the Epoch Times.
SPDR S&P Telecom ETF (XTL)
Expense ratio: 0.35%
The SPDR S&P Telecom ETF (NYSEARCA:XTL) is one of the purer telecom ETFs on the market, making it a legitimate 5G ETF as well. XTL, which is over eight years old, provides exposure to the following groups: Alternative Carriers, Communications Equipment, Integrated Telecommunication Services, and Wireless Telecommunication Services, according to the issuer.
XTL’s 42 holdings are equally weighted and the 5G funds allocates nearly 58% to makers of communications gear. Alternative and traditional wireless communications carriers combine for almost a third of the fund’s weight.
While XTL may be one of the more overlooked 5G ETFs, the demands the new communications system is putting on equipment providers has the potential to make XTL one of the biggest beneficiaries of this new telecom theme.
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>>> 5G Cell Towers: Why You See Them and How They Work
How do 5G small cells work and where are they located?
Lifewire
By Tim Fisher
November 19, 2019
https://www.lifewire.com/5g-cell-towers-4584192
You might have heard of 5G, the newest mobile networking technology that's replacing 4G and powering the next generation of internet-connected devices...but how does it work? You might know that a 5G network uses what’s called small cells, but what does that mean, and does this new technology change the conversation around cell phone radiation?
The cell tower is an essential part of a 5G network. Like any network infrastructure, certain equipment is needed to relay information between devices, which is exactly why a 5G tower is needed for 5G networks.
A 5G tower is different than a 4G tower both physically and functionally: more are needed to cover the same amount of space, they’re much smaller, and they transmit data on an entirely different part of the radio spectrum.
What Are 5G Small Cells?
A small cell in a 5G network is the base station that serves a critical role in the overall network. They're called “small cells” as opposed to "macrocells" used in 4G networks because they’re relatively smaller in size.
Since 5G towers don’t require much power, they can be made relatively small. This is important not only for aesthetics but also for space efficiency—small cells support high frequency millimeter waves, which have limited range (more on why this is important below).
A 5G cell tower is basically just a small box, like you see in the "5G" labeled image above. While this is how most 5G implementations will turn out, some companies are burying antennas under manhole covers to extend their mobile network through the streets.
How 5G Small Cells Work
Despite their size, small cells are not weak. The tech inside these cells is what allows 5G to be so fast and support the growing number of devices requiring internet access.
Inside a small cell is radio equipment necessary for transmitting data to and from connected devices. The antennas within the small cell are highly directional and use what's called beamforming to direct attention to very specific areas around the tower.
These devices can also quickly adjust power usage based on the current load. This means when a radio is not in use, it will drop down into a lower power state in just a few milliseconds, and then re-adjust just as quickly when more power is needed.
5G small cells are fairly simple in design and can be installed in less than a few hours. This is very much unlike the beefier 4G towers that take much longer to install and get up and running.
Of course, small cells also require a power source and backhaul to connect it to the carrier's 5G network, and eventually the internet. A carrier might choose a wired fiber connection or wireless microwave for that connection.
5G Tower Locations
5G promises an extremely interconnected world where everything from smartwatches, vehicles, houses, and farms utilize the ultrafast speeds and low delays it offers. To accomplish this, and to do it well—with as little coverage gaps as possible—it’s required to have a huge number of 5G towers, particularly in areas that demand lots of traffic like big cities and business districts.
Fortunately, since 5G cell towers are so small, they can be positioned in ordinary places like on light poles, the tops of buildings, and even street lights. This translates into less traditional-looking towers but also potentially more eyesores nearly everywhere you look.
For 5G to really shine in a highly-populated city, for example, especially given its short distance limitations, towers need to exist close to wherever connected devices will need access to them, like at intersections, outside the doors of businesses, all around college campuses, right down your street, etc.
Another reason 5G towers have to be installed so frequently in busy areas is that for the small cell to support superfast speeds, it has to have a direct line of sight with the receiving device, like your smartphone or home. If you ever plan to replace your home broadband internet with 5G, you'll most likely have a 5G cell tower down the street from your house.
As 5G rolls out over 2019 and 2020, carriers will begin rolling out 5G coverage maps but probably won't show exactly where every tower is placed.
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