Technology sector saw growth in Q2 of 2024 with increased adoption of AI and GenAI

From Nasdaq: 2024-07-17 10:54:00

The technology sector experienced growth in Q2 of 2024 due to increased adoption of AI and GenAI. Cloud computing, 5G, IoT, wearables, AR/VR, drones, and blockchain contributed to this growth. Leading tech giants have invested in increasing cloud capacity to meet rising demand, with AI software spending expected to hit $297 billion by 2027.

GenAI has attracted significant investments, with spending expected to surge to 35% by 2027. The demand for chips, especially GPUs, has increased due to the growing presence of GenAI. Semiconductor sales in May reached $41.2 billion, up 4.1% year over year.

The PC segment saw growth in Q2 of 2024, with 64.9 million PCs shipped, a 3% increase from the previous year. Lenovo and HP experienced growth, while Dell Technologies saw a decline. A number of technology companies are set to report their earnings. By using a combination of Zacks Rank and Earnings ESP, investors can identify stocks with potential to beat earnings estimates.



Read more at Nasdaq:: 5 Technology Stocks Poised to Beat Earnings Estimates in Q2