Year-ahead predictions in technology IPOs and robotics

After sorting through reams of 2020 predictions for the technology industry, I’ve concluded that most are mundane extrapolations of current trends.
For this post, I want to focus on just two subjects: initial public offerings and automation.

Top 5 IPO prospects for 2020

CB Insights reviewed the privately held companies that could go public in 2020. It listed five as its top IPO prospects.
Those likely IPOs include GitLab, a DevOps platform; Snowflake, a cloud data warehousing firm; Credit Karma, a personal finance hub; Unity, maker of a cross-platform video game engine; and Procore, maker of construction management software.

Avoid Airbnb stock, buy Casper stock

Matt McCall, editor of Investment Opportunities, predicted that online lodging marketplace Airbnb will be an IPO to avoid in 2020. He cited “its crazy high valuation and bad customer service” as reasons to stay away.
“On the flip side, mattress company Casper, backed by the likes of Kylie Jenner and Leonardo DiCaprio, should be a big hit,” InvestorPlace reported. “Why does McCall think a mattress company will do so well? For one, he thinks today’s mattress retail environment is filled with scams. Customers often walk out with more expensive mattresses and tons of add-ons they didn’t want. But beyond that, Sleep Number, the last revolutionary mattress company, has been one of the decade’s best-performing stocks.”

Automation will lead to a worker strike in 2020

In its report “Predictions 2020,” Forrester Research forecast a worker strike for at least one Fortune 500 company sparked by concerns about rising automation.
“2020 marks a significant year for the future of employment,” the research firm said. “Automation will change the composition of the job market and raise global economic issues of income distribution and wage stagnation.”
Forrester said automation will replace 1.06 million jobs from cubicle, coordinator, and function-specific knowledge worker personas in 2020. This will be partially offset by an increase of 331,500 jobs that require “require intuition, empathy, and physical and mental agility.”
“Anti-automation backlash will cause a PR nightmare for at least one Fortune 500 company,” Forrester said. “Folding automation into the enterprise will not be without backlash: Unsurprisingly, employees are wary of automation. Very few firms have invested in prepping employees for the future of work — what it means to be working with, alongside, and potentially for automation. We expect a major strike will cause a PR nightmare for at least one Fortune 500 company.”

Photo: ABB robot working in a warehouse. (ABB)