Go where the money is. That’s pretty simple advice when it comes to making cash for yourself in the financial markets.
And over the next 12 months, there’s one particular area that’s set to be flooded with cash.
All you have to do to make big money from it is decide who’s just talking the talk, and who’s walking it…
There’s going to be more cash than ever flying around in 2016, and a huge chunk of it is destined to go to those who can take hold of the cloud.
If you don’t already have a good grasp of what cloud computing is, don’t worry. Put simply, it’s the practice of using servers in the data center of a vender rather than using your own.
So company ABC can decide to use Microsoft’s servers to be able to run their computing tasks, and simply pay Microsoft a fee for doing so.
We already saw cloud computing pick up a head of steam over the past year, but this is the year when it begins to dominate technology. More than 50% of IT spending is estimated to come from the cloud this year.
And in the technology sector, where triple digit gains are far from abnormal, those companies that are able to climb to the top of the group will be standing in front of a mountain of cash.
You just have to be able to pick out the real technology from the hyperbole that comes standard in this field.
As is normally the case with relatively new technology, the average investor doesn’t know much about cloud computing, so companies can simply “reveal” more about their cloud services and advancements in order to gain attention and investors.
But that doesn’t mean their cloud technology is any good.
Take Amazon.com (AMZN) for example. AMZN rose 118% this past year, thanks in big part to being one of the top cloud providers on the market. Yet all AMZN did was bring out the financial reporting for its cloud business.
The fact of the matter is that the cloud is already separating the tech sector into two groups – the future and the past.
Those that are able to gain a foothold in cloud services will be the ones driving the sector in the future, while those struggling to adapt will be left in the past.
Yet right now this field is like a murky pond, clouded by very imprecise reporting when it comes to revenue, costs, etc.
But if you’re able to quickly pick out the ones that are the big fish in the pond as the water starts to clear up, you could have your hands on the next IT giants. And that means money flowing into your pockets…
