Kiplinger

10 Tech Stocks That Will Rule the Cloud

The current decade may end up being remembered as the "Cloud Decade."

The cloud is essentially a massive infrastructure of computers around the world that are used to power processes more efficiently and store a far greater amount of information than one mere computer can. The data centers that power the cloud are sprawling structures with computer and networking gear. They are capable of handling enormous workloads, but they also need enormous workloads to be run profitably and lift the tech stocks supporting them.

Many of the companies that are dominating the cloud at present bet on building the cloud early, and in many cases wagered most if not everything they had. It was too rich an investment at the time for giant firms such as AT&T (T) and International Business Machines (IBM), which were more focused on today's profits and dividends than tomorrow's dividends. But some of those that made the bet were richly rewarded - American capitalism at its finest. These tech stocks, considered "cloud czars," represent more than $3.5 trillion in market value today.

But "czars" aren't the only companies making money off the cloud. There are numerous cloud users that haven't developed infrastructure, but still have manipulated the technology to its full potential. These software and content companies still made a gamble, though, committing to putting all their assets in the cloud and selling services rather than products. Now, they dominate many markets.

Tech stocks involved on both sides of

You're reading a preview, sign up to read more.

More from Kiplinger

Kiplinger3 min readSociety
3 Reasons to Consider Making Changes During Medicare Open Enrollment
Every fall, Medicare health and drug plan providers publish information on changes that will take effect the following year. As a result, people on Medicare have the opportunity to make the following types of changes to their plans during the open en
Kiplinger11 min read
The 25 Best Mutual Funds of All Time
If you're seeking out the best mutual funds, keep your wits about you. Mutual funds have a mind-numbing selection of ways to claim bragging rights. "Best five-year record." "Best three-year record for value funds." "Best 10-year record for growth fun
Kiplinger4 min read
Retiring At 30: How To Sensibly Handle An Early Fortune
In August 2019, Indianapolis Colts' superstar Andrew Luck announced his retirement at the ripe age of 29. He cited the injuries that have stolen his love for the game and the widely known health risks of professional football as his reasons for early