Will Technology Make A Large Number of Humans Redundant? World over nations are grappling with the impending implosion in finances. While the West has few humans left to tax, the Developing World has a problem of plenty. The two populous countries of Asia-China and India put together have close to 3 bn in numbers. Worse at a 2 per cent annual growth these nations are adding more to the employment pool than can ever be profitably deployed. The rich are consequently becoming more rich and poor are moving deeper into poverty. And yet the media adds aspiration to a large swathe of people, desperate for an upliftment to their lives. While China has traditionally followed the leftist ideology, economics are forcing nations like India to also veer towards the left. The answer however lies in curbing unwanted humans or additions thereon and not socialist measures.
On Thursday the social networking entity Facebook acquired a messaging service provider "WhatsApp" for USD 19 bn, in a cash and stock deal that is reminiscent of the blockbuster deals of the previous bubble years of 1999-2000. The acquisition here targets 450 mn whatsapp users who may combine with the 1 bn users of Facebook and make the buying entity grow. If the deal was bad then the US markets did not say so. Infact shares of FB rose by US 2 per share, raising the market cap of this 10 year old entity to USD 180 Bn, and made Marck Zuckerberg worth USD 30 Bn at the ripe age of 30. Ofcourse there is a dichotomy here. The social network aims to connect billions of people across boundaries in a seamless mobile platform. Whether such a business will ever make money, that one is not sure. After all huge entities like Google, Amazon and their acquisitions YouTube, Instagram and Nest make virtually no money. And yet someone has come forth and paid USD 19 bn for a team of 50 engineers who may or may not move from WhatsApp to FB. If mobile is the new computing platform then airwaves would be used to channel satellite feeds of movies, events, music and data to handheld devices. In some form they will make redundant the existing telecom carriers but worse the FB-whatsapp deal underscores that money lies in ideas and not setting up brick and mortar plants for manufacturing cement, paper, television sets and telephones. The Developing world with nations like Brazil, China and India need to realise that numbers will neither add to GDP or will ever get deployed in Tech enterprises that hardly need manpower. In a rapidly evolving World, demographic liability now stares us in the face rather than dividends. The efforts to sell basic industry to this new age public will not bring in any money. Now we can try and sell SAIL, SCI, RCF, HZL and the like to people. These deals are unlikely to enrich either the citizens or the Government in Developing nations. They will perpetually remain short of money and thus share at deficits for years to come. -- -- NIFTYVIEWS.COM NOW A FREE OPEN SOURCE WEBSITE. http://www.niftyviews.com/ Disclaimer :- "The opinions expressed by the members on this board are based on their individual experience and perceptions and to share information with other members with the best of intentions to help fellow members in investment decisions as equity investment is a risky venture.The administrator of www.Niftyviews.com just provide a platform for the authors to express their opinion and take no gurantee for the genuineness of the same." --- You received this message because you are subscribed to the Google Groups "TEAM STOCKRESEARCHERS" group. To unsubscribe from this group and stop receiving emails from it, send an email to stockresearcher+unsubscr...@googlegroups.com. For more options, visit https://groups.google.com/groups/opt_out.
