"Tech Trends to Watch in 2023: AR Headsets, AI, Chip Wars, Crypto Regulations, and LinkedIn's Cringe Factor"

"Tech Trends to Watch in 2023: AR Headsets, AI, Chip Wars, Crypto Regulations, and LinkedIn's Cringe Factor"

Introduction:
The year 2023 promises to bring significant advancements and changes in the tech industry. From the highly anticipated launch of Apple's augmented reality (AR) headset to the challenges faced by advertising giants like Google and Facebook, there are several key trends to keep an eye on. Additionally, the ongoing chip wars between the U.S. and China, the need for better regulations in the crypto industry, and the cringe factor on LinkedIn are all topics that will shape the tech landscape in the coming year.

AR Headsets: The Next Computing Platform
Augmented reality (AR) has long been touted as the future of computing. However, despite its pervasiveness, AR still feels relatively insignificant. With Apple's entry into the AR hardware market, there is a possibility of a sharp uptick in venture funding for companies in the sector. While the expected high price point may limit mass-market adoption initially, the presence of a dedicated hardware manufacturer like Apple could make a meaningful difference in AR's adoption.

AI Hype Cycle and Defensibility Challenges
The AI hype cycle shows no signs of slowing down in 2023. The impending reveal of GPT-4 and the speed of innovation will further fuel the frenzy. However, investors in generative AI companies face a fundamental question regarding defensibility. Many companies in the sector rely on publicly available AI models, leaving them vulnerable to competition. While they may lack technological advantages, these companies often rely on distribution advantages and network effects for defensibility.

Challenging the Advertising Giants
2023 could be the year when advertising giants like Google and Facebook face more aggressive challenges. AI is opening up new possibilities in the search design space, while the combined frailty of social media's giants leaves room for emerging competitors. Startups like BeReal, Mastodon, Poparazzi, and others are gaining traction and attracting users who are willing to jump ship. The challenge for these startups lies in converting their novelty into an enduring user base as advertising becomes less economically and socially attractive.

The Geopolitical Importance of Semiconductors
The ongoing chip wars between the U.S. and China will continue to unfold in 2023. The U.S. has made aggressive moves to curtail China's access to high-end semiconductors, prompting speculation on how China will ensure access to critical technology. One possibility is that China focuses on producing lower-end chips and effectively undercuts Western providers in that segment. This could create leverage for China, even with American-allied businesses purchasing low-end chips from them.

Crypto at a Turning Point
The crypto industry is at a turning point in 2023. The collapse of FTX, Terra, and other companies has exposed the extent of fraud, speculation, and unethical behavior in the sector. The industry badly needs regulation to ensure the safety of customer funds and foster widespread adoption. Finding the right legislation is challenging, as doing too little or too much both carry risks. International policies may play a significant role in shaping the future of crypto.

The Cringe Factor on LinkedIn
LinkedIn, often seen as a professional social network, has gained a reputation for being cringe-worthy. This cringe factor can be attributed to several factors. Canadian sociologist Erving Goffman's theory of individuals wearing masks in everyday life can explain the predictable and inauthentic content on LinkedIn. The platform's focus on engagement activities like humble bragging and faux thought leadership contributes to the cringe. Furthermore, the dominance of HR managers and recruiters on LinkedIn creates a platform where humble bragging and faux gurus thrive.

Conclusion:
As we move into 2023, it is essential to keep a close eye on these tech trends. Three actionable pieces of advice emerge from these trends:

1. For entrepreneurs and investors: Explore opportunities in the AR sector, as Apple's entry into the market could create a significant uptick in venture funding and adoption.

2. For AI companies: Focus on building defensibility beyond publicly available AI models. Distribution advantages, network effects, and other forms of defensibility will be crucial for long-term success.

3. For the crypto industry: Advocate for better regulations that strike a balance between safety and innovation. International collaboration on policies can have a significant impact on the industry's future.

By staying informed and understanding these trends, individuals and businesses can navigate the ever-changing tech landscape more effectively.