(Stock photo.)
Tech enthusiasts who love video games have been following “the console wars” in one form or another for decades. For the longest time, people were either backing the Sony Corp.(NYSE: SNE) Playstation system or the Microsoft(NASDAQ: MSFT) Xbox (yes, even Nintendo Ltd. (OTC: NTDOY) has held its share here) … but the battle is about to move on, as Microsoft has taken the game into the cloud....
A gaming console, like the home computer, had been as common a component in people’s homes as a TV and stereo, but its place may just become “intangible”. Gaming is just one aspect of the cloud computing industry, but serves as one solid example of how dominant it has become.
Projected to reach $411 billion (USD)in value this year, the cloud computing market serves a variety of functions from operational services to computing storage. On average, global communications provider CenturyLink found that businesses that utilize productivity-enhancing cloud services grow 19.6% faster than those that don’t.
There are many options among companies that specialize in cloud computing for an investor to look through. From Netflix Inc. (NASDAQ: NFLX) to Salesforce.com Inc. (NASDAQ: CRM) , businesses and consumers are utilizing the services provided by these companies who use “the cloud” to reach global markets and overhaul conventional standards of anything from DVD players to corporate data centres.
Let’s take a look at a few other companies who use cloud computing in a variety of different ways:
AMPD Ventures Inc. (CSE: AMPD) - Sticking with the online gaming theme mentioned earlier, AMPD focuses on the video game and esports industries, as well as digital animation and visual effects, and big data collection, analysis and visualization by providing high-performance cloud and computing solutions for low-latency applications.
(Image via AMPD Ventures.)
Computer Modelling Group Ltd. (TSX: CMG) - Serving the oil and gas industry through its operations headquartered in Calgary, Canada, CMG develops and licenses its proprietary reservoir simulation software for international oil companies in roughly 60 countries. It also provides professional services, including consulting, training and contract research activities. In February, the company delivered its first Fiscal 2020 report, highlighting an increase in perpetual license revenue by 55% during the nine months ended December 31st, 2019, compared to the same period of the previous fiscal year.
Carl Data Solutions Inc. (CSE: CRL) - A developer of Big-Data-as-a-Service (BDaaS) with its subsidiaries for various indices and government agencies. Carl Data encompasses data collection, storage, monitoring and analytic solutions from any type of data from any sensor or source to produce detailed reports, predictive analytics, and real-time insights into infrastructure status. Some of the industries that Carl Data is targeting include mining and solid waste management, as well as water and wastewater infrastructure. Its subsidiary, Astra Smart Systemsreleased its latest end-to-end solution for air quality monitoring in February 2020 and includes hardware, telemetry and Software as a Service (SaaS) based monitoring software to assist in mine operations and safety.
(Image via Carl Data Solutions.)
Intuit Inc. (NASDAQ: INTU) - Given the higher share price, this may be a tough sell, but there is a reason for this company’s steady climb.Intuit has been around for nearly 40 years and now controls the majority of the US market share for small-business accounting and do-it-yourself tax filing software. It began selling packaged products for PCs, but has since moved to the cloud and made its services available there by subscription. Intuit offers small-business accounting software such as QuickBooks, as well as personal tax solutions software TurboTax, and professional tax offerings in the form of Lacerte. Its Quicken Loans venture was soon out in 2002. The move into the cloud has provided 177% in shareholder gains over the last five years.
(Intuit Inc. stock chart Feb 2015 - Feb 2020.)
Cloudera Inc. (NASDAQ: CLDR) - Likely the closest thing to a pure-play open source company on Wall Street, Cloudera offers services ranging from hardware, software and services. Its platforms serve data management, machine learning and advanced analytics. On March 10th, 2020 CLDR will release its fiscal Q4 2019 results and hopes to build upon successful news from Q3 2019, where total revenue came in at $198.3 million, with subscription revenue at $166.9 million. Annualized Recurring Revenue grew 13% year-over-year.
Are there any cloud-based companies that have paid off for your portfolio, or even your business or daily life? Let us know in the comments below.