The first question one must ask when looking to invest some money is, where to put it? This is true whether you are hoping to make a lot of money, to do something valuable with the money you have in savings while you’re not using it, or looking to support a business you believe in. It turns out that there may be a way to fulfill each of those three desires simultaneously: a tech trifecta, if you like. Investing in the tech industry might be just the thing for you. There are certainly lots of great technological ideas worth getting behind purely to support, but it’s also common knowledge that there is a lot of money to be made in the industry as well.
Last year, Facebook bought Oculus Rift for $2 billion. Oculus Rift famously raised over $2 million in crowdfunding through a Kickstarter campaign. The tech startup was not a publicly traded company so when they were bought by Facebook, many who had contributed to the Kickstarter campaign were disappointed that they didn’t get more in return for their contributions. They were well aware that making a traditional investment – in a startup that takes off the way Oculus Rift did – could have made them a lot of money.
But Kickstarter was never meant to be a place to buy stocks. Backers are only ever guaranteed the perks (the rewards at different levels of contribution offered by through the campaign) that they earn by contributing funds. By investing in the stock of a tech-focused company, you may have the opportunity to get more than a ‘lousy t-shirt’ in return and still be able to contribute to cool and innovative ideas like Oculus Rift. Kickstarter does guarantee your perks, so in a sense there is less risk than buying a stock, but your potential gains will never be as high.
The tech industry has been consistently growing, and it shows no signs of slowing down in the near future. This is because there is always room to improve current technology. No device is ever small enough, fast enough, or has enough storage. There is also still lots of room for innovation and new ideas. It’s doubtful that we will ever reach a point of technological development where we say ‘that’s good enough’. In fact, new ideas appear to be outpacing our means and capacity for actually realizing them.
Apparently, there is even no limit to the ways in which tech can be applied to everyday things. Andy Rubin argues that investing in tech could improve our everyday lives dramatically by making everything down to the lowliest household objects ‘smart’. In the future, our homes might become giant artificially intelligent beings filled with technologies like Nest. There are already countless ideas out there, and all that many of them need is the support to make their innovation a reality. Investing in tech can benefit you in more important ways than just inflating your pocket book. It can lead to improvements in the standard of living and to the development of incredible new technologies.
As with any sort of investment, investing in the tech industry can be risky; there are new startups every single day, and not all of them can be successful. But it can be incredibly rewarding, both financially and also in terms of real world advancements. If you are looking at investing your money into businesses, and you would also like to know that your money might go towards achieving a worthwhile goal, there may be no better place to look than in tech.