The technology sector was hit hard in 2022. Silicon Valley’s leading companies felt their stock prices drop by a 30% margin, larger than the overall market drop of 20%. Apple, Google, Amazon, and Meta all reported losses to their stock value last year according to Statista, with Amazon’s stock being cut in half and Meta’s cut by two-thirds. The underlying reason for this underperformance can (mostly) be accounted for through a collection of failed business strategies, bad advertising, and flawed project management.
With businesses starting to consider their investments in 2023, it may be time to reassess your expectations for what new technology will truly benefit your organization. Trends like Web 3.0 (Web3), Augmented Reality, or the Metaverse generate tons of hype and dominate the discussion surrounding the future of tech. But they aren’t guarantees of success. According to Marketing Charts, over 50% of the US market does not have interest in the Metaverse and Web3 has similarly not yet made a favorable impact.
The worst thing you can do is purposefully blind yourself by thinking of the future through the lens of the present. Perhaps it’s time we took a more practical approach with gauging the success of business and tech, cutting out the white noise of advertising and PR.
AOTMP® believes these three technologies show real promise and opportunity for businesses in 2023.
Artificial Intelligence (AI)
Retailers are investing heavily in AI to improve operational efficiency and customer experience. However, artificial intelligence is currently at a tipping point, where its uses are becoming increasingly diverse beyond simple recommendation algorithms and virtual assistants.
Most analysts believe AI will be adopted to speed up processes across multiple industries. It has become possible for AI to handle mundane or time-consuming tasks including filtering resumes for hiring, generating photos and videos, and even automating decision-making. These AI processes are spreading throughout the business community. Improving the customer experience, elevating the employees, and helping the sustainability of tech.
By 2028, Turing predicts that the cloud computing market will reach over $1 trillion dollars and that organizations can save up to 40% by migrating to cloud computing. We don’t expect this to change in 2023, smart companies will continue to use cloud services to access new technologies and increase efficiency within their own operations.
Cloud services continue to help companies optimize their IT expenses, which is not surprising. By using cloud technology, you can increase automation, improve data security, and create a more personalized user experience. Especially now that more companies are utilizing hybrid cloud solutions, where they have both public and private clouds, making their data and processing more flexible and cost-effective.
Cyberattacks are getting more frequent, smarter, and more dangerous. During the year 2022, Cloudflare claims that Distributed Denial of Service (DDoS) attacks increased by 79% for over 30% of Fortune 500 companies.
In the coming years, cybersecurity, and resilience against everything from data leaks to cybercrime, will become even more important. The current cybersecurity solutions are unable to detect innovative cybercrime tactics like file-less malware that exploits a computer’s already trusted software. To combat these evolving data hacking strategies, security strategies will have to evolve as well.
This year, organizations will most likely procure their employees improved training and orientation regarding cyber hygiene principles and operating within remote networks. To mitigate the weakest link in cybersecurity, the human factor, more companies are expected to utilize data encryption and virtual private networks (VPNs), as well as an increase of early adopters of Zero Trust Network solutions.
It is unknown how the major tech companies will fare in 2023. A lot of reliance will be placed on technological innovations and the research and development that goes into them. Since they no longer have the spare money to experiment with, they must focus on making products or developing methods that can probably provide businesses with value.
Keeping an eye on the latest tech industry news would be beneficial to everyone in your organization, even if you believe your enterprise is well protected. You never know how things are going to shake out, so take advantage of the current state of tech and make the most of it.