Deutsche Bank har lavet en brandaktuel analyse på high-tech-selskaberne, netop mens de oplevede et voldsomt dyk på børsen i går – alene Apple mistede 8 pct. eller 150 milliarder dollar af sin værdi. Deutsche Bank siger, at kun 1 af 3 amerikanere ser positivt på de fem store amerikanske high-tech-selskaber, fordi de øger uligheden i samfundet. Under coronakrisen og den største nedtur i 100 år har de øget deres markdsværdi med 2000 milliarder dollar. Deutsche Bank foreslår, at de afsætter 15 milliarder dollar, mindre end 1 pct. af værdistigningen, til en indsats for at mindske uligheden.
November Elections & the Shift from China to Big Tech
We believe that regardless of who wins in November, national scrutiny is going to turn away from China and onto Big Tech & Digital Inequality,especially Digital Racial inequality.
Only 1 in 3 Americans now hold a positive view of Big Tech. The window for Big Tech is rapidly closing.
Can Big Tech help reduce the digital gap? With a cost of $15 Billion over the next five years, Big Tech could start to make an impact on the racial digital divide. That is less than 1% of the $2 Trillion increase in Big Tech 5’s market cap during Covid.
We believe such an initiative could create a decisive precedence, dramatically increase goodwill, and position Big Tech as part of the solution instead of being increasingly seen as part of the problem.
The striking disparity Covid has showed between the haves and have nots and how that intersected the racial disparities of the country has given many a look on how digitization may impact society in the future.
As we emerge out of Covid, the shift in the national sentiment on Big Tech is occurring faster than current market expectations and it seems to span party lines and political affiliations.
It is only a matter of time that the political winds will accelerate and different steps of Antitrust enforcement, Platform Utilities designation, Digital Tax, Annual Revenues Tax, ESG multiple compression and other fines may be coming Big Tech’s way. The window for Big Tech is closing rapidly.
We believe Big Tech can do it differently to what previous industries have done at such a juncture of their growth cycle. It can step in and make a sustained effort to reduce the digital racial gap and by doing so, create a decisive precedence, dramatically increase goodwill, and position itself as part of the solution instead of being increasingly seen as part of the problem.
The $15 Billion initiative we envision is under 1% of the increase in the $2 Trillion market cap the Big Tech 5 have had since Covid. What we envision is by no means a Robin Hood measure, but rather a nuanced approach that we believe weighs the risk-reward of such an initiative.
In recent months, we have seen an upsurge in Big Tech individual commentary toward the racial gap but have not seen a cohesive
effort, akin to their solidarity in the joint panel before the Hill hearings.
There are no guarantees in life or investing, but for Big Tech to come together and find a solution or a small step in the direction of the solution to one of the most egregious divides in our society could change the national discourse on these companies.
And that would only boost their long term prospects and returns.
