They used to say, “What’s good for General Motors is good for the economy.” Nowadays, we’re more likely to say, “What’s good for the economy is good for the tech industry.”
It certainly feels like that today, especially after a weekend of good news from the G-20 summit and a ratcheting down of tension with North Korea.
“President Donald Trump and Chinese President Xi Jinping agreed not to impose new levies on U.S. and Chinese goods after meeting on the sidelines of the G-20 summit in Osaka, Japan,” writes Fred Imbert of CNBC.
The announced truce between the U.S. and China in the trade war was greeted warmly by markets, igniting a broad rally. Not surprisingly, tech stocks also benefitted, rising strongly in premarket trading this morning.
“Chipmaker shares rose broadly. Skyworks Solutions surged 7.2% in the premarket while Micron Technology advanced 6.4%. Shares of Qualcomm and Broadcom climbed 5.7% and 4.7%, respectively. Apple and FedEx also rose more than 2% each,” writes Imbert.
From my perspective, this is another clear sign of the incredibly powerful connection between the health of the global economy and the strength of the tech industry. It’s fair to say that both economies – the general economy and the tech economy – are tightly linked and moving in sync.
When you step back, the linkage makes total sense. Today, everyone uses digital devices everywhere. It doesn’t matter whether we’re at work, at home, in school or traveling – we’re always using our mobile phones, laptops and PCs. The more the general economy grows, the more likely we are to buy and use modern technology. It’s become woven into the fabric of our daily lives.
This truly is the Era of Digital Technology. I consider it an honor and privilege to be a technology leader and I hope you feel that way too. Along with this privilege, however, comes added responsibility.
All of us need to be more aware and more mindful of our responsibilities to make good choices, invest carefully and offer the best possible guidance to the C-suite and executive boards. The modern enterprise counts on us for advice, wisdom and innovative leadership.
As I’ve said and written before, this is absolutely the best time to be a technology executive. The decisions we make and the strategies we create have a major impact on the world. I am extremely confident in our collective abilities to build a strong, sustainable and resilient future.
At the same time, I am fully aware that history is merciless. Yesterday’s winners are today’s losers. Since its inception in 1928, the list of companies in the Dow Jones Industrial Average has changed 51 times. Are you doing everything you can possibly do to prepare your organization for success in the Era of Digital Technology?