2015 Technology Trends
The technology industry is always on the move. Recently, there has been proliferation of new products and redefinition of the sector. Some of the latest trends in the industry have been formation of mergers by the giants in the technology world.
Technological companies are taking great strides to restructure their organizations to ensure better financial gains. These moves are driven by the surge from the small-scale competitors, who have flooded the market. Hence, for the big players to remain afloat, they must achieve competitive advantage. Customers have also become more demanding; they want quality but again at reasonable prices.
Due to the aforementioned issues, most large companies are now pushing mergers, divestures and acquisitions. Hewlett-Packard was the first to take on this journey. By the end of 2014, they were reported to have plans to buy off the EMC, an equipment maker, to improve sales and reduce costs. This did not happen. Later, HP announced that they wanted to separate their printer and computer hardware. Their aim was to make the two sections to work individually for better results. Another notable change in the technology world is the break up between the eBay and PayPal. Their separation will bring more benefits to the two business entities. PayPal will be able to expand its functions and products whereas eBay will build more opportunities in several markets.
IBM is investing largely on big data sectors and cloud computing, to steer more revenue growth. Acquisition has been the main way out in the technology industry, because of its dynamism. Symantec is also planning of breaking down the company into two divisions one on information management and cyber security. They hope that by doing this, there will be more revenue flowing since both categories will have different markets and strategies.
It is clear that formation of mergers, divestures and acquisition, is the new trend in the technology industry.