Post new topic Reply to topic  [ 197 posts ]  Go to page 1, 2, 3, 4, 5 ... 14  Next
Author Message
 Post subject: What's with the tech sector?
PostPosted: Fri Jun 03, 2011 1:18 am 
Offline
Homeless

Joined: Mar 29, 2010
Posts: 5
I work for a tech MNC (not software), and we seem to be doing great. It's not really something to be complaining about but with nearly everything else going to crap, I'm struggling to understand how this is happening. Who is buying our stuff? I thought no-one had any spare money any more? When will the bottom fall out?


Top
 Profile  
 
 Post subject: Re: What's with the tech sector?
PostPosted: Fri Jun 03, 2011 1:37 am 
Offline
Too Big to Fail
User avatar

Joined: Jun 28, 2008
Posts: 4532
Why not give us your own opinion to get the ball rolling? And maybe some more details on where you work and, you know, what you're on about and stuff.


Top
 Profile  
 
 Post subject: Re: What's with the tech sector?
PostPosted: Fri Jun 03, 2011 2:05 am 
Offline
Homeless

Joined: Mar 29, 2010
Posts: 5
Exports, I suppose... so some parts of the world mustn't be so screwed... OK :-GC

Apologies for wasting your internets....


Top
 Profile  
 
 Post subject: Re: What's with the tech sector?
PostPosted: Fri Jun 03, 2011 5:36 am 
Offline
Neo Landlord
User avatar

Joined: Jul 1, 2008
Posts: 260
What sort of hardware does your firm make? If it's floppy disk drives, I wouldn't have an answer for you. If it's iPad2 graphics chips, thank this guy: http://news.cnet.com/8301-17852_3-20068295-71/report-teen-sells-kidney-to-buy-ipad-2/


Top
 Profile  
 
 Post subject: Re: What's with the tech sector?
PostPosted: Fri Jun 03, 2011 7:56 am 
Offline
Under CAB Investigation
User avatar

Joined: Dec 29, 2008
Posts: 1936
there were some fantastic growth sectors during the great depression, the transistor radio for instance. No is no different. Too early for gloating though: this recession is not over and eastern consumers will take a set back

_________________
Access to accurate information means very little in the face of strong convictions; that's one of the massive challenges we face in trying to warn the world that the future of endless technological progress they think they've been promised isn't going to happen: no matter how strong the evidence may be, belief in what amounts to a secular religion of progress trumps it.

John Michael Greer 2012


Top
 Profile  
 
 Post subject: Re: What's with the tech sector?
PostPosted: Fri Jun 03, 2011 8:02 am 
Offline
Nationalised

Joined: Sep 13, 2007
Posts: 28731
Location: Tullamore
If there's going to be permarecession, at least in some parts of the world, perhaps rolling from one place to another, companies need to build in much more flexibility to their business models. IT is sold as an enabler of this.

_________________
"It is impossible to design a system so perfect that no one needs to be good."

So long and thanks for all the fish.


Top
 Profile  
 
 Post subject: Re: What's with the tech sector?
PostPosted: Fri Jun 03, 2011 8:07 am 
Offline
Planning Tribunal Attendee

Joined: Nov 26, 2008
Posts: 1120
Ditto here.

Technology companies cut all extra costs post dotcom bust. Smartphones have led to huge demand on the communications infrastucture, which is selling huge amounts. Movie and music downloads appear to be keeping the PC market bouyant.

Probably won't last, but unlikely to tank in the same manner as 2001.

_________________
The bust is getting bustier.....


Top
 Profile  
 
 Post subject: Re: What's with the tech sector?
PostPosted: Fri Jun 03, 2011 8:13 am 
Offline
Too Big to Fail
User avatar

Joined: Jan 20, 2009
Posts: 3240
Location: My imagination
Hmmm. My brother and his partner work for the same tech MNC here and are far less optimistic. They've lost a lot of staff in the last two years, and a lot of their production has shifted out of here. And the company - for all the talk of our highly educated workforce, cannot get the staff they want - especially those who have good second language abilities.

_________________
“The only calibration that counts is how much heart people invest, how much they ignore their fears of being hurt or caught out or humiliated. And the only thing people regret is that they didn't live boldly enough, that they didn't invest enough heart, didn't love enough. Nothing else really counts at all.” Ted Hughes

“And the day came when the risk to remain tight in a bud was more painful than the risk it took to blossom.” Anais Nin


Top
 Profile  
 
 Post subject: Re: What's with the tech sector?
PostPosted: Fri Jun 03, 2011 9:16 am 
Offline
Planning Tribunal Attendee

Joined: Sep 12, 2006
Posts: 1377
The Tech sector is characterised by waves of innovation that tend to move independently of the general economic cycle...e.g. Mainframes in the 70s, Personal Computers in the 80s, Windows/Enterprise Software and Internet in the 90s.

We have now entered the next wave, Mobile Internet. Demand on mobile infrastructure is growing exponentially and huge investment is needed to keep up. Web traffic in general is set to grow massively over the next few years, not least driven by the demand for video.

Some stats:

Quote:
Cisco says the increase in traffic from 2014 to 2015 alone will be 200 exabytes, more than the total IP traffic generated in 2010.

The company sees four drivers for the huge growth in Web activity:

An increasing number of devices.
An increasing number of Internet users – nearly 3 billion by 2015, or more than 40% of the world’s population.
Faster broadband speeds. Cisco says the average speed for fixed broadband will jump 4x from 7 megabits per second in 2010 to 28 Mbps in 2015.
More video: Cisco says by 2015, 1 million video minutes will cross the Internet every second.

Some other key findings from the Cisco report:

The company sees average global IP traffic in 2015 hitting 245 terabytes per second, “equivalent to 200 million people streaming an HD movie simultaneously every day.”
Cisco sees the Asia Pacific region generating the most IP traffic by 2015, topping current regional leader North America.
PCs, which generated 97% of consumer Internet traffic in 2010, will generate 87% of such traffic in 2015, as tablets, smart phones and connected TVs play a greater role.
Advanced video traffic, including 3D and HDTV, is expected to increase 14x in 2015 from 2010 levels.
Mobile Internet traffic will increase 26x, to 6.3 exabytes a month by 2015 from 2010.


http://blogs.forbes.com/ericsavitz/2011/06/01/cisco-sees-web-traffic-up-4x-by-2015-to-almost-a-zettabyte/

If Cisco are saying this, one can only imagine what their R&D budget (and those of their competitors) will be over the next few years. We should also expect some serious M&A activity - many tech companies are sitting on huge cash piles.

It is also worth noting that in the mid/late 70s (the aftermath of the oil crisis) the tech sector performed well. The same was true of the recession in the early 90s.

_________________
Only in the darkness, you are able to see the stars.

Martin Luther King


Top
 Profile  
 
 Post subject: Re: What's with the tech sector?
PostPosted: Fri Jun 03, 2011 10:54 am 
Offline
Under CAB Investigation

Joined: Sep 24, 2008
Posts: 2267
http://www.irishtimes.com/newspaper/fin ... 14449.html

“A minister would turn up now if Met Éireann announced a cloud but the Government is banned from buying it,”


Top
 Profile  
 
 Post subject: Re: What's with the tech sector?
PostPosted: Fri Jun 03, 2011 11:37 am 
Offline
Real Estate Developer

Joined: Feb 1, 2010
Posts: 856
obese_cat wrote:
Technology companies cut all extra costs post dotcom bust.


I think this is pretty key. IT had its bubble, the ranks were thinned and those that survived had to compete against the Indians etc.. This kept a lid on wage inflation while the domestic sectors were seeing massive wage inflation. So not the same sort of readjustment required.


Top
 Profile  
 
 Post subject: Re: What's with the tech sector?
PostPosted: Fri Jun 03, 2011 11:55 am 
Offline
Planning Tribunal Attendee

Joined: Apr 21, 2008
Posts: 1268
The global economy worldwide is also in a massive shift towards technology, it's affecting the way we live our lives at every level and in every country. It's more far reaching than I think any of us can guess at now, but just the simple things like mobile phones in the third world change the game for the entire planet. Smart phones are a whole other ball game.

Until that process reaches its conclusion, the tech sector will be booming.


Top
 Profile  
 
 Post subject: Re: What's with the tech sector?
PostPosted: Fri Jun 03, 2011 12:07 pm 
Offline
Single Home Owner

Joined: Sep 10, 2008
Posts: 135
On the software side I'm noticing a lot of requests for more automation of administrative tasks in large companies. Not saying it is a huge amount of business but it is happening. Things like companies looking to streamline/automate their purchasing, accounts payable process etc to take up the slack from all the clerical staff they have laid off. Of course this sort of BPR should always be continuous but a lot of companies ignored it while times were good.


Top
 Profile  
 
 Post subject: Re: What's with the tech sector?
PostPosted: Fri Jun 03, 2011 12:21 pm 
Offline
Too Big to Fail
User avatar

Joined: Apr 1, 2009
Posts: 4027
Location: Giant
From what I remember, global business spend on IT declined in late 2006, then in 2007, 2008, and 2009, before picking up again last year.
Maybe the US picked up a while before Europe, perhaps second half 2009 for the US.
Certainly the companies where I saw cutbacks made the cuts some years ago, then kept expenditure fairly restrictive until this year.
This include some tech companies - contraction in 2007, 2008, and 2009, followed by some moderate expansion last year and moderate this year. I don't get the impression that the tech sector is immune, just that it weathered the storm and came out the other side.
Many people are anticipating another slowdown later this year. I wouldn't be surprised if this happens.

(By the way, I'd take anything from Cisco these days with a healthy pinch of salt.)


Top
 Profile  
 
 Post subject: Re: What's with the tech sector?
PostPosted: Fri Jun 03, 2011 12:47 pm 
Offline
Nationalised

Joined: Sep 13, 2007
Posts: 28731
Location: Tullamore
ex-Patrick wrote:
(By the way, I'd take anything from Cisco these days with a healthy pinch of salt.)

:D
The company whose 'bulletproof' demand forecasting system has now failed twice at key turning points?

_________________
"It is impossible to design a system so perfect that no one needs to be good."

So long and thanks for all the fish.


Top
 Profile  
 
Display posts from previous:  Sort by  
Post new topic Reply to topic  [ 197 posts ]  Go to page 1, 2, 3, 4, 5 ... 14  Next


Who is online

Users browsing this forum: Google [Bot] and 3 guests


You cannot post new topics in this forum
You cannot reply to topics in this forum
You cannot edit your posts in this forum
You cannot delete your posts in this forum

Jump to: