5 technology to invest in 2023 | Financial Greedy

Introduction

Businesses and investors are analysing the growth of technology in different industries such as healthcare, insurance, resource planning, industrials, and digital infrastructure.

The ability to share, communicate, and distribute data and information through software platforms is the next part of technological innovation. Products are sold by technological companies, which could establish a base of regular customers.

This also helps in the establishment of ways to collect data from users to create a seamless experience. A conference known as Media and Telecom (TMT) was set up in Barcelona and discussed five key points that focused on investment opportunities.

1: Insurtech

In the development stages of technology in the insurance sector, the sector is experiencing proliferation since the use of technical software has been on the rise for the last five years.

In recent years, a number of businesses have started to emerge from insurtech with success and growth.

As an investor, you can also make some successful gains by investing in insurtech, as it offers many opportunities to buy stock in different companies, among others. A talk has been flourishing among investors that insurtech can be an upcoming fintech.

The technology increases the Internet of Things (i.e., physical devices such as gadgets and AI) and has the goal of cost savings and efficiency in processing and policies.

After the increase in use of banking apps in recent decades, fintech has proven the importance of networks that interconnect data and sources.

2: Digital Infrastructure

The use of data and sources by consumers and companies has risen exponentially and has resulted in driving demand for different types of digital infrastructure, most notably fibre, data centres, and towers.

In the last couple of years, it has also led to high levels of M&A activity and lower-cost capital providers becoming comfortable with digital aspects of infrastructure.

Still, the present economic environment is an obstacle for asset classes.

While there has been strong investment in digital infrastructure and prices have been rising continuously, companies and investors are closely evaluating the effects of inflation, future recession possibilities, and power prices.

Additionally, the upcoming infrastructural growth and development opportunities are already being looked into by market participants.

This includes all types of investments in Tier 2 cities and markets.

3: AI for Resource Planning and HR

Throughout the industry, there has been a search for technology to streamline inner functions like enterprise resource planning (ERP) and human resources (HR), according to Leila Harestani, a banker specialising in ERP and HR technology.

In ERP, the rising trend is cloud deployment, where software is hosted on a vendor’s servers and accessed through a browser, which usually costs less than alternative software that is installed on a company’s servers.

As cloud-based ERP profiles, all of these solutions have been adapted by many small and medium-sized businesses, but assurances related to security risks, like who can see the data and the risk of theft, are to be provided by vendors.

Another factor could be AI recognition of data patterns, which could be further used in modelling, supply chain tracking, and customer service.

Furthermore, AI can be used for many functions like recruiting, employee engagement, and onboarding, and investigations are done by businesses to enable better data security through encryption.

New private companies are at the forefront of offering these ERP and HP capabilities, which have increased the M&A business.

4: Early Development of Digital Connectivity in Industrial Companies

Industrial companies in fields like energy and construction have begun to use technology in initial steps such as the management of physical assets in different parts of their supply chains.

Various opportunities are available in different industries to enhance their efficiency using these solutions. Like an energy company, it can use connectivity solutions to offer an overall view of assets and issue safety notifications that assign workers to do the job.

Software is being demanded by industrial businesses that can control various stages of their business. All this is attracting many private companies and large public investors to invest in these acquisitions.

5: Healthcare Technology

Though all this healthcare technology requires specialised care on a regular basis, The next method is to regulate chronic patterns with emergency care, which costs a lot in comparison to preventive care, which is affordable.

An example of such a facility is for diabetic patients, who have their glucose levels monitored by many devices that warn when the level is too high or too low and schedule appointments with doctors.

The industry most lagging behind others in relevance to technology is healthcare. But now improvements in health facilities and accessibility to them have increased recently.

This has led to a rise in the cost of healthcare in developed countries like Europe and the U.S. Another method is to share information between doctors and different health centres.

Another example is AI-backed system checkers for chatbots that provide help with psychological support like cognitive behavioural therapy.

With the mass demand for healthcare technologies, businesses are finding ways to indulge in healthcare software and health tools because it may cost less than developing solutions in-house.

But European nations are much more focused than other countries on capturing more stocks, despite market regulations.

Conclusion 

The technology emerging in many sectors like industrial, insurance, healthcare, and IRP is enabling the transfer of data between each other, and investors are analysing the companies that support the exchange of data across disparate sources in different fields.

The demand has made big companies and private equity firms hunt for acquisitions to increase their stocks within industries.

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