It Ain’t Over Until It’s Over

Charles Darwin was a trailblazer in many different ways…

But it is his theory of Darwinism – that species evolve and survive through natural selection – is the feather in his proverbial cap.

The layman has broken it down to one four-word sentence – “survival of the fittest” – as some like to call it, “the law of the jungle”…

Except this is wrong.

It’s not the strongest that survives – but the species that can best adapt to the stresses of its environment that go on to survive – definitely not the strongest…

Because if that were true – humans would be one of the lowest species on the totem pole – as there are literally hundreds if not THOUSANDS of other animals that are stronger, faster and bigger than man.

However, it’s our intellect and our ability to survive that has not only made us the most dominate species on the planet – but the most successful as well – as most times, the only other predators humans think about are other humans.

I say all this because business is a lot like the jungle – it’s not the strongest that survives – but the most adaptable…

And one public company is doing its best to adapt to the environment more than others – and it could put money in your pocket when all is said and done.

Like most analysts and experts…

I really like to pay attention as to what some of the big boys on Wall Street are doing to adapt to a pandemic-shaped world that continues to move towards a more digital future.

Many of the companies that have built empires are literally on the brink of collapse due to their inability to stay ahead of the curve…
Remember companies like Xerox (XRX) and General Electric (GE) – these companies were once Blue Chippers that didn’t have a worry in the world…

However, in 2021 – these companies are all but obsolete – as they didn’t move with the times – they didn’t adapt to the forming digital world fast enough and are all but dead and buried.

Now, that may be a weird thing to say about companies worth BILLIONS – but they’re on the bottom rung of the ladder and are hanging on for dear life – and their fingers are slipping.

Darwinism told them – adapt to survive – and they didn’t listen…

But you know who did?

Microsoft (MSFT).

Microsoft, still the biggest name in home electronics and software – knows that what it does and who it is a as a company isn’t enough to continue to be a major player in the future…

So, it’s diversifying in order to ensure a brighter future.

What’s their latest move?

Well, Microsoft just announced that it is buying a company called Nuance Communications (NUAN) for a knee-wobbling $16 billion smackaroos…

Which clocks in as Microsoft’s 2nd biggest acquisition in the history of the company – falling only behind the acquisition of business social media company, LinkedIn, which it bought for $26 billion back in 2016.

For those that have never heard of Nuance Communications before – just know that it is one of the leading outfits that specializes in artificial intelligence (AI) – which has been used in its wildly popular voice-to-text software that a lot of people are using these days: Dragon NaturallySpeaking.

Now, if you’re like me, you probably don’t see $16 billion in a voice texting program – but you’re not looking at the big picture.

The real value in Nuance’s AI technology is a bit more, well, nuanced – as their biggest revenue generator is in providing speech transcription tools for the healthcare industry…

And its health care speech-to-text capability that can transcribe doctor’s visits, customer service calls and voice mails – that really makes it shine.

We’ve all seen how crappy doctors handwriting is – it has its own genre of jokes formed around this widely believed theory…

However, health data accuracy is paramount – because it could actually mean the difference between living and dying for some – so, with Nuance at the front of the pack of this potentially life-saving technology, Microsoft sees a LOT more than just $16 billion.  

Microsoft plans on utilizing Nuance’s AI software in its healthcare cloud products division, which was launched last year.

In a post on Twitter, CEO Satya Nadella wrote: “AI is technology’s most important priority, and healthcare is its most urgent application. Together with Nuance, we will put advanced AI solutions into the hands of professionals to drive better decision-making and create more meaningful connections.

Some people expected to see a sell off on this news – as they didn’t think the general public would understand just what this acquisition means for Microsoft…

But the stock stayed strong – which is amazing when you think about just how big this buyout was – and the current state of investor faith in the markets right now.

This could mean some BIG things for Microsoft’s future profits…

Which is why you may want to consider picking up some MSFT for yourself if you can.

While “buy and hold” really isn’t GorillaTrades’ style – sometimes it has to be done.

While we’d rather be the “get in and get out fast and successful” guys – we don’t’ always get the chance. However, when we do – it’s incredible…

If you’d like to see just how successful the GT system can be – consider becoming a member today – we’d love to have you.

However, we totally respect if you’d rather do your own thing – just know that we’re always here if you need us.

Till next time…

As we look ahead into the next century, leaders will be those who empower others.” – Bill Gates