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With the recently concluded Mobile World Congress displaying wares from tech companies across the spectrum, investment firm Wedbush Securities noted there is still a “significant opportunity” for businesses tied to the cloud computing and semiconductor industries, even if worries about a downturn exist.

Analyst Dan Ives noted that Amazon (NASDAQ:AMZN), Microsoft (MSFT) and Google (NASDAQ:GOOG) (GOOGL) are likely to see boosts in spending from telecommunication companies, as T-Mobile (TMUS), AT&T (T), Verizon (VZ) and DISH Network (DISH) have all signed deals with the aforementioned trio in recent years for more efficient networks, reduced latency and faster speeds as the world continues to deploy 5G mobile technology.

Ives noted that Amazon’s (AMZN) Web Services unit has partnered with all three major telcos and signed a deal with Dish (DISH) last year as it builds out its domestic 5G network.

AT&T (T) entered into a partnership with Microsoft (MSFT) Azure in 2019 for a deal worth roughly $2B that also saw Microsoft (MSFT) acquire AT&T’s (T) network cloud platform technology.

Google (GOOG) (GOOGL) has also signed deals with the telco industry, as has IBM (IBM), but it’s likely to benefit the entire industry, particularly those at the top, thanks to opportunities in edge computing, which puts data processing power closer to devices.

“As the push for 5G continues throughout the country, there is clear a multi-billion-dollar opportunity for cloud providers to win,” Ives added.

Ives also noted that the semiconductor industry had a heavy presence at the event and Intel (INTC), Qualcomm (NASDAQ:QCOM) and Nvidia (NASDAQ:NVDA) positioned themselves as capitalizing on the shift to 5G.

Citing data from the GSMA Network, it’s expected that there will be more than 1B 5G connections by the end of the year and 2B by 2025, which Ives said adds further credence to the fact there will be “significant opportunities” for enteprise, cloud and semiconductor companies.

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