The sector-wide shift to mobile
March 27, 2015
The rising demand for work flexibility and device portability has significantly bolstered the market for mobile technology. Smartphones have never before been so dynamic and widely used in the business world.
Investors of all stages and global market leaders in the tech industry have caught onto this trend and have shifted their attention to mobile innovation. This has created plenty of employment opportunities in the IT field for tech workers with a fluency in mobile development.
The massive value of mobile
Digi Capital, a mobile technology investment firm based in San Francisco, recently noted that investors spent more than $32 billion on mobile tech companies in 2014, according to VentureBeat. The massive growth potential of the category is rooted in not just innovation, but also a sturdy capital foundation.
The 68 mobile “unicorns” that have a valuation of $1 billion or more tacked on an additional $28 billion to their collective value in the fourth quarter of 2014, bringing their combined projection to $261 billion.
“To put the $28 billion value added last quarter in perspective, that’s $300 million [per day], or more than 30 [Apple CEO] Tim Cooks who got paid more than $9 million last year a day,” Tim Merel, the managing director of Digi Capital, told the news outlet. “But it wasn’t all plain sailing, as fourteen of the billion-dollar companies lost value (in some cases billions of dollars). Admission also doesn’t guarantee lifetime membership, with two former unicorns falling below $1 billion in Q4 for a total of five dropouts last year.”
Digi Capital projects that mobile Internet revenue will exceed $700 billion per year by 2017, more than tripling its value in 2014. About $500 million of that forecast is derived from mobile commerce.
A mobile focus at Yahoo
The San Francisco Chronicle reported that Marissa Mayer, the CEO of Yahoo, told developers at the company’s inaugural mobile developer conference that the company is prioritizing mobile technology. Yahoo has heavily invested in its mobile operations by polishing its apps and adding 500 employees who will focus on this branch of the company.
She noted that the average American spends 177 minutes on their smartphone each day and the company has adapted its business model.
“We’ve really taken the strength we’ve had at Yahoo and really thought about what it means to be mobile first,” Mayer told the publication. “…Together we’re going to create incredible things. Let’s move mobile forward together.”