lt cap,

We all know that it's not just 'back end IT' jobs that tech is taking away the need for. In automobile (or name an appropriate source) construction, robots are much better than humans. A manager and one worker-bee vs. a slew of welders - that's already happening. It begs the question - what can humans do that robots (in some form) can't? I've thought and written about that as a great economic disrupter to come. But I hadn't thought about it as a possible stock play: Just as bandwidth demands will only increase, so will the need for robots and IOT devices. It made me wonder: Who builds such robots? Who will be a 'winner' in this inevitable expansion? (And I'm not talking 'Roomba' robots - altho controlling/programming your thermostat, lights, dinner cooking?, from afar will become the norm.)

It makes me wonder: Is it possible to pick a 'winner'? Or is the money to be made elsewhere - in the chips that will control robots, or the medical devices that will give you a mechanical arm to replace the one you lost, with better functionality, but will cost an arm (and a leg.) I'd be interested if anyone knows who the leading 'robot builders' are. Is there an entryway into that area, or is it too diverse, or too unclear at this point? I've not heard a 'pitch' by an analyst on this subject, altho there probably have been such 'picks'.

On ATVI - their CC is Feb 11th - Down 2% today. someone - credit suisse - raised their pt to 41 from 40 today. I recall Jester thinking that ~$40 was fair value. Is this a good play for earnings?

The Robotic segment is not something I have ever thought about, so my knowledge is zilch. Your point is IMO spot on, it is a segment that has been limited to the Industrial Market (i.e. manufacturing).  But it is now gaining steam in a whole lot of different segments. It will eventually be huge.  As you well point out, IoT will be a big enabler as has been GPS for self-driving cars, which essentially are mobile robots.  The drone industry has also benefited from GPS and can also be viewed as a place where robotics will continue to play a big part, ditto for medical (i.e. robotic surgeries).  It will be huge, but there is also the consideration of:  How soon, is this an investment that is ready to take off or will it be a decade or two before it happens in such a scale?

In the meantime, the question of where is it making an impact and driving profits in an existing market segment today?

lt cap,

Your points are well taken - who has already established a profitable business using robotcs? Northtrop-Gruman, I'd guess. I do wish I knew more. On companies that *may* become profitable, I wouldn't dismiss the idea quite yet - the 'new' cybersecurity firms have huge multiples in the expectation that that sector can do nothing but grow. My analogy to biotech includes the idea that some of those companies' fortunes were decided on a very rapid basis - fail a clinical trial, and you get beaten bloody - pass it, or get it approved by the FDA for some 'miracle drug' (or get taken out by a larger established co.) and you double overnight. I know robotics will not be like that, but there must literally be some things - physical or computer related - that are 'killer apps'. Imagine if Germany had had gun emplacements that could fire with pinpoint accuracy 200 rounds/sec. D-day would've beena slaughter. Any country that doesn't chase that prize is at a severe disadvantage. 

ATVI appears to have just gone 'on sale' - down 3.5% to $34.70. Options, anyone?