The artificial intelligence (AI) market is sprawling and booming and investors can harness some of the most compelling opportunities in disruptive technology with the ARK Autonomous Technology & Robotics ETF (NYSEARCA: ARKQ).
ARKQ captures the converging industrial and technology sectors, capitalizing from autonomous vehicles, robotics, 3D printing, and energy storage technologies. That wide mandate helps lever the ARK fund too much more than just self-driving cars, an important trait at a time of rapid robotics advancements.
One of the factors that make AI compelling as an investment theme is the sheer number of industries that are big spenders on the technology, including some older groups, such as telecom.
“For many global telecoms, shoring up market share under today’s pressures while also future-proofing operations mean having to invest in AI,” reports Business Insider. “The telecom industry is expected to invest $36.7 billion annually in AI software, hardware, and services by 2025, according to Tractica.”
ARKQ Ideally Situated
Disruptive technology is not relegated to certain sectors as it will permeate into all industries in some form or fashion. For example, augmented reality is technology comprised of digital images superimposed over the real world, and its use is primed to drive industry growth–industries like real estate and manufacturing are already putting the technology to use in a variety of ways
For companies that can afford to implement both artificial intelligence and robotics, it can be a dichotomy of disruptive technologies that can work hand-in-hand if deployed correctly. As barriers to entry like cost begin to lower for disruptive technology, more companies could be using both as part of their core businesses, which should only propel disruptive-focused exchange-traded funds (ETFs).
AI has significant implications for telecom companies when it comes to improving the customer experience, which if properly executed can lead to higher revenue.
“Each year, an estimated $62 billion is lost by US businesses after inferior customer experiences, according to NewVoiceMedia,” reports Business Insider.
Embracing AI is vital for the telecom because it consistently scores as one of the worst groups in terms of customer service.
“Companies that use advanced analytics, which can be accessed via AI, to improve this image and the overall customer experience are seeing revenue gains and cost reductions within a few years of adoption,” according to Business Insider.
For more on disruptive technologies, visit our Disruptive Technology Channel.
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.