MWC19 Technology Will Change the World


Since our inception over a decade ago, we’ve been regularly reminded that the inventions and breakthroughs of today are often leading public deals 12-18 months later…

The Pinnacle Digest crew traveled to Barcelona for the Mobile World Congress or MWC19 in late February. We received a first-hand education on what’s coming down the pipe for innovations in the tech space.

No sector leads global change the way tech does; more specifically, no sector influences the masses like mobile technology, which is the entire focus of this annual event in Barcelona.

Led by 5G, there are massive changes coming to the mobile industry…

Many potential first to market products within the 5G, A.I. and IoT (Internet of Things) verticals were on display at MWC19, providing excellent insight for speculative investors like ourselves.

MWC19 | Where Tech Investors Peek Into the Future

The fusion between the launch of the fastest and most powerful network the world has ever seen (5G), A.I. and the Internet of Things was the focus of MWC19. The event saw over 100,000 attendees, which included many leading business minds and tech entrepreneurs from around the world.

While geopolitical tensions surrounding accusations of espionage against Huawei hung heavy in the air, (the Chinese company is a top sponsor for the event) optimism and excitement won the day.

Top Tech Talent Flocks to Barcelona for MWC19

Speakers included the CEO of Groupon, the SVP of AI & Health at Google, and the Chairman of Mercedes Benz. Highlighting the importance of mobile tech and the race to utilize 5G in various products, the CEO of Daimler & BMW and the Chairman of Cisco along with the President of Citi were in attendance at MWC19 as well. To miss this event is to miss what’s coming in the future.

5G | A Look into the Future of Communications

To understand the cutting edge tech today and the investment opportunities it will bring forth, one must understand 5G. While we’ve highlighted its transformational potential, the infrastructure to support 5G is only now rolling out. That play in itself (5G infrastructure) will be a huge opportunity for investors.

Here is how a GSMA writer explains 5G’s potential:

“The services made possible by 5G, through its enormous data transfer speeds and ultra-low latency, are wholly unprecedented in their sophistication – and, with operators in the process of commercial network launches now, they are soon to arrive on the mass global market.”
Note: GSM Association is a trade body that represents the interests of mobile network operators worldwide.

In February 2018, we wrote in a Weekly Intelligence Letter,

“Because of this, 5G will be the lifeblood of the new economy and in many ways redefine the experience of the internet and all it allows us to do. 5G will be the engine of economic innovation moving forward and drive things like artificial intelligence and machine learning into smartphones for everyone. 5G, in some environments, is estimated to provide 100 times faster downloads than the network capabilities we have today. Ponder that…”

MWC19 Learnings

Innovation City at MWC19

Let’s start with what we saw at Innovation City, a hall at MWC19 that focuses on novel technologies from IoT to AR and everything in between. From robots who can talk to you, virtual reality headsets that allow the user to point and click with their eyes in mid-air, to intelligent, electric cars that drive themselves, and even smart toilets, our time at Innovation City was filled with surprises…

Here are just a few snapshots from MWC19 of some of the amazing technology set to be supported by 5G:

Kt 5G SkyShip
Seeking to diversify its business into 5G and ICT Technologies, Korean Telecom has developed an unmanned aircraft intended to disrupt the disaster and safety management space. According to KT Corp., “The SKYSHIP platform operates a special aircraft and a mobile communication center to remotely control drones and robots that carry out search and rescue operations for disaster survivors. Rescuers on the ground are also assisted with augmented reality (AR) glasses that have a direct line of communication to doctors at nearby hospitals for assistance delivering emergency treatment.”

The third advanced version of the aircraft with 5G Network is anticipated to be completed by 2020.
Demo AI robot at MWC19
The robots are coming… one of the central themes at MWC19 was how 5G and AI will help advance the robotics industry to almost lifelike realism.

Spain’s PAL Robotics Division Drew A Crowd

PAL Robotics
Spain’s PAL Robotics’ mission is to develop service robots that enhance people’s quality of life. With advancements in AI and 5G, the ‘service robot’ segment of the market is expected to blossom – cutting out remedial tasks people no longer want to do.
How 5G and cars will work hand in hand were on full display at the mobile world congress
There was no shortage of representatives from the auto industry at MWC19. MWCBarcelona.com explained, “The who’s who of the automotive industry gathered at MWC19 to explore how the convergence of core technologies like AI, 5G, IOT, and even blockchain are driving mobility.”

While much of the tech above is cutting edge, it will likely be a year or longer before it is adopted and integrated into the mainstream. The advent of 5G will, for the first time, make intelligent connectivity between various devices possible.

The 5G wireless network will boost bandwidth and capacity to previously unimaginable levels. Most of our smartphones today are on 4G LTE networks which have a peak speed of 1GB per second. While once thought to be impressive, 5G can achieve speeds of 20GB per second. Again, the infrastructure doesn’t exist yet, but it is being rolled out in 2019 and 2020. So, 5G will be responsible for the next bull market in tech…

A Innovation Leap is Coming for Smartphones

Can you think of anything the world sells more of than smartphones?

Other than plastic water bottles, it’s hard to imagine. Funny (and perhaps a bit concerning for some people’s oral hygiene), Jeanne Hopkins reported, there are 6.8 billion people on the planet. 5.1 billion of them own a cell phone, but only 4.2 billion own a toothbrush.

Consider this: In 2018, about 1.56 billion smartphones were sold to end users — a stunning stat. The world’s most utilized consumer product was on full display at MWC19.

The smartphone has become a utility product for all… it’s a TV, security device, wallet, communication tool and so much more. It’s the most important and personal technology people have in 2019. Because of this, record capital is being invested in the mobile space by companies you may not associate with the industry.

Smartphone Sales Growth

Cell Phone Sales By The Year
Note: This statistic shows the number of smartphones sold to end users worldwide from 2007 to 2018. In 2018, around 1.56 billion smartphones sold worldwide.
chart source: Statista

The global revenue from smartphone sales is well over half a trillion dollars.

Foldable Screens for Smartphones | All the Rage at MWC19

From flip phones to curved screens, mobile devices have come a long way. The Verge produced a video one week ago about foldable screens showcased at MWC19…

Three were on display: Huawei Mate X, the Samsung Galaxy Fold, and the Royole FlexPai. The Verge talks about the market, pricing and how the consumer will interact with these foldable screens in the future.

The Nokia 9 PureView, with its unmatchable optic capabilities, was also on display at MWC19:

Nokia’s PureView is a phone with a 5-camera design which allows for 5 simultaneous shots with 10x more light captured (compared to a regular smartphone camera). It also comes with a wireless charging feature and much more…

Enter AI & Smartphones

While AI applications were everywhere at MWC19, the soon to be most popular consumer application for artificial intelligence will be with smartphones. IBM’s SVP of Global Business Services Mark Foster gave a compelling speech, where he said,

“With the combination of AI, automation, blockchain, 5G… we’re at a time when there’s a convergence coming together at scale for one of those moments which changes how business gets done.”

Phones and AI go together like peanut butter and jelly. In an article published during MWC19, titled MWC’19 Puts The Spotlight On 5G And AI-enabled Phones As World Moves To The Edge, the rise of AI in smartphones is explained.

Smartphones and AI

The article asserts why Apple’s iPhone X removed fingerprint scanners on their devices for easy unlocks and replaced it with a complex algorithm known as FaceID.

According to Analytics India Magazine,

“The company even thought it was secure enough to allow users to pay using FaceID as authentication.

This was achieved by a facial recognition model running on the phone and analyzing the data from 30,000 infrared sensors to match the 3D map of an individual’s face to other examples stored in the model. This offers it a fail rate of 1 in 1 million tries, making it suitable for authentication of financially sensitive information.”

And that,

“This was achieved using AI, necessitating the use of a dedicated inference chip on the board of the phone.”

The day is coming when customers will walk into a store or a bank and not have to show I.D. Imagine not having to pay for something using any traditional means such as cash or card – just your face.

AI will make this a reality in the next 10 years.

Virtual Reality and Augmented Reality

Speaking about HoloLens 2 at MWC19, Tim Sweeney from Epic Games (partnered with Microsoft for over 25 years) believes augmented reality,

“…is going to be the primary platform for the future for both work and for entertainment.”

Microsoft’s HoloLens 2 stole the show on the VR side of things, and sells for about $3,500. Currently, it’s only sold to companies, not consumers. Microsoft has greatly increased the field of view from its previous model, using lasers and mirrors.

Let’s look at another Verge video that highlights the tech and its potential uses. What’s of particular interest is that this is no longer gimmicky and viewed as a novelty for consumers. Microsoft is targeting its use in commerce applications.

Four minutes into the video, the potential use cases for the HoloLens 2, and other VR headsets, come into view.

Wrapping Up

The Mobile World Congress is a valuable annual event for investors and entrepreneurs to attend. Our crew was able to see and touch (and in some instances demo) some of the most innovative tech on the planet. A rare opportunity and one we couldn’t pass up.

Attending these types of events influences and improves our investment mindset, and dictates the companies we aim to work with, invest in, and ultimately introduce to our subscribers.

Billions in revenue fuel the leading tech giants who were in attendance at MWC19. For years now, mobile phones have only made marginal improvements. Finally, consumers are demanding real innovation, a true leap in technological advancement. As products on display at MWC19 develop, 5G stands to enable multiple new industries and a level of intelligent connectivity never thought possible. A paradigm shift is coming to the mobile space thanks to 5G, AI and IoT.

All the best with your investments,

PINNACLEDIGEST.COM

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