This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Six Top Tech Trends for 2010

Stocks in this article: IBM AAPL HPQ DELL CSCO VMW MCK

China





Hewlett-Packard's (HPQ) shock acquisition of 3Com (COMS) may have been a bolt out of the blue, but the deal highlights the growing importance of the Chinese technology market.

3Com is a major player in China through its H3C subsidiary and many firms are looking east in search of new revenue streams.

Tech research firm IDC estimates that the Chinese IT services market grew from $7.7 billion in 2007 to $9.5 billion last year, and is expected to experience a compound annual growth rate of almost 14% between 2008 and 2013.

Further evidence of China's value surfaced last week when Claymore Securities launched the Claymore China Technology ETF. Touted as the first ETF to focus on the Chinese technology sector, Claymore is clearly eyeing a major growth opportunity.

Economic Observer News estimates that around $53 billion of China's $585 billion economic stimulus package will be spent on technology projects, something that has certainly grabbed attention on the other side of the Pacific.

With companies like Apple (AAPL) now attempting to tap this eastern market, H-P is bolstering its ability to support China's service providers and enterprises, as well as Beijing's myriad infrastructure projects. The Silicon Valley heavyweight is already the technology lead for the ChinaGrid, a vast communications infrastructure for more than 290 million Chinese students.

Last month Cisco (CSCO) CEO John Chambers predicted that Chinese firms will revolutionize the tech sector within the next decade. The networking giant plans to increase its company's foothold in the world's fastest-growing major economy, he added.

In 2007 Cisco announced a $16 billion multiyear investment in China, which included a stake in Chinese giant Alibaba.com. The CEO says he has no intention of taking his eyes off the new frontier.

"The Chinese are going to be a very good market for us," he said, during Cisco's recent shareholder meeting. "We can't ignore markets, we must play there, compete there."

2 of 6

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,778.15 +421.28 2.43%
S&P 500 2,061.23 +48.34 2.40%
NASDAQ 4,748.3960 +104.0840 2.24%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs