We have heard stories of technological transformation for a while, and these stories (finally) come into their next chapters. The International Data Corporation suggests that 60% of global GDP will come from digital organizations by 2022. These players leverage big data, powerful analytics, artificial intelligence and other innovations keys to stimulate growth. Discover the industries that are destined for technological breakthrough.
You don't have to look far to hear people say that every business will become a tech business in the next 10 years.
Maybe that means that every business that wants to climb to the top of the business food chain will need some technology included in the business.
Technology will be a necessity for any business to survive.
Four of the top five organizations in the world are tech companies, and this is a category that everyone is clamoring for.
The technology category is easily visible in the WeWork 2019 IPO file, which used some form of the word "technology" to describe the business 110 times. Clearly, the leadership was pushing to show investors that it was much more than a real estate company and should also be seen as a player in the tech world.
So is everyone really a technician?
So far, the effects of the technology have been far-reaching, and that should not stop anytime soon. The difference is that now traditional industries are also on the verge of disruption.
Here are five industries destined for technological breakthrough.
If you think everything is fine in healthcare, you probably haven't been to the doctor recently or have reviewed your medical bills.
The industry suffers from inefficiencies and problems. For example, manual processes that should be automated, such as billing and planning, require the use of an ancient Egyptian invention called paper when done by hand, but could be streamlined and optimized with technology.
On top of that, getting an appointment with your doctor can sometimes take months, and when your time slot ends, you have to sit in the waiting room for four hours while watching HGTV reruns and flipping through old magazines.
The problems lie in the complexity of the health system and the fact that only a few players make its rules.
Health care has historically hindered innovation, but companies like Amazon, Apple and Google are entering the fray and changing that tale.
Expect blockchain medical records, on-demand care and the development of new drugs, all driven by AI in the years to come.
The multi-billion dollar construction world has not changed much over the past century.
Overall, the builders still rely on traditional materials and methods. But that could change because an investment in construction technology startups increased by 324% between 2017 and 2018.
Potential new technologies are making a difference.
Self-healing and energy-generating building materials such as solar shingles and AI-powered software that can instantly calculate the most efficient construction schedules will soon become a regular part of operations.
3. Real estate
Real estate is the largest industry in the United States, which contributes $ 3.5 trillion to GDP, is somehow stuck in the dark ages.
She relies on real estate agents, title companies, pens and paper and numerous service providers for each transaction.
But, as in many other sectors, this is changing. Zillow has emerged to provide a wealth of information to potential home buyers and even uses a feature called 3D Home to allow users to take a virtual tour of a home.
And the sophisticated technological features of the industry extend just beyond viewing homes.
For example, Built is a company that digitizes what has long been a manual loan management process for banks. As a result, the role of real estate agents is likely to become less demanded, with users being able to buy and sell for themselves thanks to the power of technology.
4. State and local government
Unbeknownst to many, state and local governments are the second largest industry in the United States.
The government is turning to technology to become more effective and efficient. San Francisco has developed a chatbot called PAIGE that helps departments facilitate and smooth what was once a complex IT procurement process.
An egg-shaped security robot patrols a gas station in a crime-ravaged corner to assist local police. As the Internet of Things takes hold, we can expect to see even more government investment in this technology.
Technology has the potential to make government functions and processes much stronger at the local, state and even national level.
5. Finance and insurance
Insurance and finance companies are among the oldest businesses in the world – and in many cases it shows.
In the financial sector, cash has always been king until the advent of credit and debit cards. Now mobile payments are about to reign supreme one day. Some countries like Sweden and China are already becoming cashless societies.
Banks and cash will disappear and facial recognition authorized mobile payments will likely become the norm.
In terms of insurance, the main players are also forced to play the technological game. State Farm recently announced a new version of its Drive Safe & Save mobile app. Great, another way to charge us more for insurance money.
The application analyzes the data collected by the sensors and Bluetooth of the smartphones on which the application is installed. Technology-based personal information is already determining rates, and this information will become even more current and accurate over time.
Technology has changed the way companies have been creating value for a long time.
Technology still has changes that have yet to sweep across all industries. However, the disruptions are heading to sectors like construction, healthcare and real estate. It is up to the modernization of transport and hospitality that we have seen with the rise of Uber and Airbnb.
As investors appear to be part of the next big wave of innovation, rapid developments and more and more innovations will leave slow organizations behind if they do not rally.
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