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Non-Tech : Kirk's Market Thoughts -- Ignore unavailable to you. Want to Upgrade?

To: Kirk © who wrote (7340)	7/25/2019 10:55:19 AM
From: robert b furman	Read Replies (1) \| Respond to of 26800

Hi Kirk, Good read! "We have observed that customers are continuing to manage their inventory carefully amid a weakened global economic environment, which may contribute to lower visibility in business forecast during the second half of 2019," Wang noted. Whenever I read a statement I like it. Rational allocation of resources prevents supply channel stuffing. To manage inventory carefully is the first step to any recovery happening quickly. Working through a stuffed inventory channel is slow and tough slogging. 5G is just beginning for both infra-strucure and smart phones. Randall Stephenson (T's CEO) said 5G is the highest priority. As they install the 5G onto each of their towers - it is activated later by a software download. He said his workers are making new levels of efficiency. "We climb the pole one time. 5G activation comes later with a software down load. Dallas 5G can reach 1 gig and in some places 2 gig speeds. Initial activation will be Business to Business. Manufacturing 4.0 will use 5G as machines talk to each other about test and real time quality control. As these future plants become mainstream, the need for cheap labor and globalization will be diminished. I see smaller plants located to serve the local market as the more efficient business model (it eliminates or greatly reduces the long transport costs). That means the U.S. with the largest consumer market will also become the largest manufacturing complex. China's over built manufacturing facilities (which were sized to provide items for the entire world) will have a very long protracted excess capacity issues. Lord knows the U.S. has been hampered almost all of our generations with excess capacity. It doesn't go away easily. Bob