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I invested countless hours and thousands of dollars putting together a state-of-the art home theater at our house here in Silicon Valley.
It's so good, in fact, that family members and friends tell my wife and me that it's actually better than going out to the movies.
Just last year, I upgraded the theater space with a new 60-inch plasma technology high-definition TV (HDTV). Watching Blu-ray DVDs on this monitor makes the movies we watch seem so realistic that you duck during explosions and want to reach out and touch the actors that are right there before you.
So, imagine my frustration when I recently learned that the largest and most expensive "appliance" in my home is about to become obsolete.
And the odds are pretty doggone good that you're facing the same dour realization …
But the news isn't all bad.
Every change, you see, brings new opportunities…
And today I'm going to tell you about a great one – small-cap firm that offers us a killer way to profit from the $3 billion shift to this new type of high-tech TV set …
The One Bet You Should Never Make
It wasn't all that long ago that pundits were lamenting the end of the U.S. TV manufacturing industry – concluding that the shift of production to cheaper labor markets abroad was emblematic of a low-margin business that was no longer worthy of investor attention.
But a single catalyst has changed that once-disconsolate outlook.
And that catalyst was a breakthrough in display technology. Gone were the hulking and costly cathode-ray-tube (CRT) based TV screens that had reached their outer boundaries for improvement. In were new thin-screen formats that allowed for bigger TVs and incredibly crisp images. The HDTVs – like the one in my home theater – were so good that they appeared impossible to beat.
But one thing I've learned during my years out here in this bastion of innovation is to never – and I mean never – bet against technology.
It turns out an entirely new generation of HDTV sets have started to hit the market. The technical term for these new marvels is ultra-high-def TV. But industry insiders refer to the technology as UHDTV.
Simply stated, the images on UHDTV sets are as much as four times sharper than today's most sophisticated television monitors.
In practical terms, this means you can get a much-bigger-screen TV with larger-than-life images.
Here's why: The information on your TV screen is composed of lots of small digital dots called "pixels." If you have a digital camera you already know how important pixel count is – the higher the pixel count, the greater the image sharpness, or "resolution."
As makers added more pixels to the monitors, the images got sharper. And that allowed manufacturers to make bigger and bigger TV sets – without having to worry about the images getting blurry, washed out or otherwise distorted.
As incredible as it sounds, UHDTV is about to take your living room TV to an entirely new level.
Today's best televisions sport roughly two million pixels. But the first generation of UHDTV sets has roughly eight million.
This new UHDTV threshold – known to industry experts as "4K" technology – is a true breakthrough in high-def TV viewing.
It means that in just a few short years, my "state-of-the-art" high-def set will appear about as sophisticated as a color TV from the 1960s.
This technology basically has turned 3D TVs into a nothing more than a fad. Consider that at the Consumer Electronics Show last January, essentially no media covered 3D sets. But they were all raving about the potential for UHDTVs
Indeed, the main thing holding this market back right now is price. But that will soon change…
About the Author
Michael A. Robinson is a 36-year Silicon Valley veteran and one of the top technology financial analysts working today. That's because, as a consultant, senior adviser, and board member for Silicon Valley venture capital firms, Michael enjoys privileged access to pioneering CEOs, scientists, and high-profile players. And he brings this entire world of Silicon Valley "insiders" right to you...
- He was one of five people involved in early meetings for the $160 billion "cloud" computing phenomenon.
- He was there as Lee Iacocca and Roger Smith, the CEOs of Chrysler and GM, led the robotics revolution that saved the U.S. automotive industry.
- As cyber-security was becoming a focus of national security, Michael was with Dave DeWalt, the CEO of McAfee, right before Intel acquired his company for $7.8 billion.
This all means the entire world is constantly seeking Michael's insight.
In addition to being a regular guest and panelist on CNBC and Fox Business, he is also a Pulitzer Prize-nominated writer and reporter. His first book Overdrawn: The Bailout of American Savings warned people about the coming financial collapse - years before the word "bailout" became a household word.
Silicon Valley defense publications vie for his analysis. He's worked for Defense Media Network and Signal Magazine, as well as The New York Times, American Enterprise, and The Wall Street Journal.
Michael is 100% independent and receives absolutely no compensation from companies he writes about. His ideas are completely his own.
So, it probably goes without saying that you won't ever be left in the dark about breaking innovations, ahead-of-their-time technologies, and breakout companies on the cusp of changing the world once you join this world.