General Electric is one of the key companies that adopted a cloud-first strategy. The company began its digital transformation journey in 2014. It chose Amazon Web Services (AWS) as its cloud computing partner, one of the leading new economy companies. The company used AWS to power over 2,000 apps and solutions based on the cloud.
“Adopting a cloud-first strategy with AWS is helping our IT teams get out of the business of building and running data centers and refocus our resources on innovation as we undergo one of the largest and most important transformations in GE’s history,” said Chris Drumgoole, Chief Technology Officer and Corporate Vice President of General Electric.
Before completely moving to the cloud, GE also tried their hands at building their own cloud capabilities. However, it decided against it and went with AWS. Amazon’s cloud service is a prime example of innovation in new economy as it allows companies like GE and many more to deploy apps and solutions on the cloud.
Apple’s Siri is one more example of how cloud computing has changed the way we view the world. Siri receives and processes user inquiries through the cloud before it responds to them. Users can also modify their data and apps without making any modifications in their hardware or software. In fact, the number of iCloud users, Apple’s cloud service, are increasing day by day.
(Source: Great Learning)
New Economy Landscape and Growth Rate
The global cloud computing market is projected to grow from $480.04 billion in 2022 to $1,712.44 billion by 2029, at a CAGR of 19.9% in forecast period. The cloud computing industry is witnessing higher-than-anticipated demand post-pandemic because of the switch towards digital transformation and the need for on-cloud apps and solutions.
The food technology industry is expected to reach $342 billion by 2027 from its value of $220.32 billion in 2019. Revenue in the on-demand food delivery market is estimated to reach $0.77 trillion by the end of 2022. User penetration in the Online Food Delivery segment will be at 32.8% in 2022.
More than 64% of the global population used at least one FinTech application in 2019. The number is multiplying every day. It is estimated that the global financial services market will be worth over $25,839 billion by the end of 2022. The increasing accessibility of digital finance and FinTech solutions development can be attributed as a key reason for this growth.
Analysts predict that the global 3D printing industry will grow around 18% to 27% every year. When asked about the benefits 3D printing has over other production methods, 69% of respondents say they use it for its outstanding ability to create complex geometrical objects, 52%value the quick iteration of products, and 41% claim its mass customization abilities are important.
Opportunities in New Economy: An Overview
The New Economy is booming with growth opportunities. Today, there are several industries created and affected by the new economy. Information and Communication Technology has brought about innovation in new economy industries like HealthTech, on-demand services, decentralized finance, and much more.
Hundreds of opportunities await the new economic landscape. From software product engineering services to sustainable development, the new economy focuses on building a desirable world through economic, social, and political reforms using advanced technology. Let’s look at some of these opportunities.
- Acceleration of Digital Transformation
There are hundreds of examples of new economy companies that are currently adopting digital transformation initiatives. Traditional enterprises are embracing moving to cloud, integrating artificial intelligence, and utilizing enterprise solutions to streamline processes. Digital transformation modernizes systems and creates new ways of measuring success and growth. The major advantage of digital transformation in the new economy is business continuity by identifying the dynamic needs of the consumer and adapting to meet them. - HealthTech Systems and Reforms
Today, the focus of organizations worldwide is the health and well-being of its employees. Healthcare facilities and clinicians aim to achieve better outcomes for their patients. One of the benefits of new economy is the introduction of technology that simplifies and improves healthcare. Image recognition technology ensures accurate diagnosis of critical and terminal diseases. Remote patient monitoring, telemedicine, AI-assisted surgery are creating an entirely new industry where health and mental well-being is driven by technology. - Supply Chain Reconfiguration
Software product engineering solutions and services in the supply chain are rigorously multiplying. Enterprises are utilizing technology to create multi-tier supply chain systems for tracking each and every stage of the process. This opens the discovery of new ways for customer engagement, managing inventories, optimizing production and distribution, logistics management and managing cash/capital. Value creation through decentralized supply chain and logistics has become evident after the pandemic. - Workplace Becoming Collaboration Hubs
The new economy is creating remote workplaces that now act as collaboration hubs. As people continue to embrace remote work, it redefines personal and workplace boundaries. Technology plays a major role in enabling enterprises to achieve a truly remote workplace while allowing employees to manage their personal life in a better manner. Virtual interactions cut unnecessary overheads in terms of time, money, and effort, leading to a productive and efficient environment. - Technology-enabled Mindset Shift
Not only software product engineering solutions companies but enterprises in almost every industry are now embracing the technology-first mindset. New economy is not an industry but a domain that applies to almost every industry. Each sector has the capability to become a new economy industry with the right use of technology and resources. Along with that, cultural change will also bring better opportunities to align the enterprise goals and objectives with technological advancements. The new economy mindset of value creation through technology will drive business and personal success.
Conclusion
There are hundreds of new economy examples already present across the globe. Uber, Meta, Tesla, and Airbnb are a couple of companies that are prime examples of new economy areas. It would be interesting to see how technology plays a crucial role in building new sectors and capabilities for industries in every aspect. Whether it’s finance or healthcare, new economy solutions will bring about a technological revolution for global economic growth and success.
