Semiconductors

America is investing $200 billion in semiconductor chips. While it's necessary to invest in onshore manufacturing, I don't think it is enough.

spinoffs

$GE is spinning off assets into three categories: GE Aviation, GE Healthcare and GE Energy

Energy and Aviation will spin off in 2024. But GE Healthcare $GEHC will spin off around Jan 3rd, 2023. It's a tax-free deal. And Healthcare is GE's most profitable division. It'll probably sell off when the stock goes public. Definitely worth keeping on your 2023 watch list.

So far the $GEHC spinoff was successful with the stock up and a new CTO onboarded.

Decline of PC sales

During the Dell leveraged buyout, peak PC sales were a real concern for investors. Now it has been a decade since the deal and I think we have achieved peak PC sales.

PC manufacturers are forecasting downtrends in 2023 sales. No surprise. The market has achieved the end game for personal computers and mobile phones. Yes, even mobile phones. There's only so much compute possible in one physical device. It's limited by specific constraints such as screen size, battery power and internet bandwidth.

Look, each of these constraints will broaden overtime. But the reality is we need to expand our sensors. Today new hardware devices are becoming an extension of humans. This includes VR glasses, robotics arms, cars and much more. Each of these devices require new batteries, antennas and sensors.

So what's the problem? It's capital intensive, harder to predict winners and has a longer development cycle. But the cycle is inevitable. There will be new technologies tomorrow and it will require us to go beyond PCs and mobile phones. In many ways, it's already here.