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    The technology trends that will transform our
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    Published: 22:00 GMT, 5 January 2013 | Updated: 08:30 GMT, 8 February
    2013













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    This Christmas, tablet computers went mainstream.

    No more are they an easy way to spot spoilt teenagers, preening early adopters and desperate parents who would pay ANYTHING
    for a gadget that could silence their squalling brood with tranquillising doses of Spongebob and Angry Birds Star Wars.


    In fact, it's predicted that 7in tablets will account for one-third of the tablet market
    this year, as sub-£200 machines tempt non-nerds into the exciting new techno-wonderland of looking up things on the
    internet while watching TV.



    Apple's iPad Mini is expected to rule the roost, despite Google and Amazon nipping at its heels

    Apple's iPad Mini is expected to rule the roost, despite Google and Amazon nipping at its
    heels, and - please stop reading if you got one this Christmas - an updated model with
    a sharper Retina screen could well arrive as soon as this spring...


    So what other techno tricks does 2013 have in store for us?

    Here are four trends to look out for.



    OUR HOMES WILL BE APP-CONTROLLED



    Nest's app-controlled thermostat will bring app control to heating

    Sadly, this year will not see the arrival of camp robots who shimmer through our home with Martinis...
    but the ‘home of the future' will be a step closer, as lighting, door locks
    and heating are controlled by apps.

    Nest's app-controlled thermostat - designed by one of the creators of the iPod - will bring
    app control to heating, while lighting will be controlled by Philips and Belkin systems.


    Lockitron will let us all lock and open our front doors with the click of an app...




    WE ALL STOP TEXTING



    Apps offer cheaper, more flexible ways to stay in touch

    Texting has permanently altered the English language over the past 20 years, dictating the 140-character length of Twitter messages, and making
    even sane adults fluent in gibberish.

    But the rise of apps such as WhatsApp and Facebook Messenger will see the SMS message begin a slow process of dying off next year, as apps offer cheaper, more flexible ways
    to stay in touch.



    OUR PHONES WILL BE INDESTRUCTIBLE



    Good news for everyone bar those in the phone-insurance
    industry - our phones could become indestructible this year.



    Samsung has repeatedly dangled the idea of flexible phone screens, and is widely expected to show off models at tech expo CES this week.



    Good news for everyone bar those in the phone-insurance industry - our phones
    could become indestructible this year



    The point is not that you can bend your phone like a Highland Toffee
    bar, but that the phone's screen won't shatter.

    An end to people talking on phones with spider-webs
    of broken glass on screen? We can but hope.



    WE ALL STOP BUYING MUSIC AND FILMS

    Cheap, subscription-based services will start to bite into pay-per-download
    services

    This year will mark the moment I have to stop explaining what Spotify is every time I mention it in public -
    or at least, I fervently hope so, as I tend to bore people about it at every opportunity.


    Cheap, subscription-based services such as Spotify (you pay £10 a month, get 17
    million songs to access wherever you are) and Netflix (£6 a month,
    and you'll never need to buy a DVD again), will start to bite into pay-per-download services.



    And slowly but surely, the idea of actually owning music and films will begin to seem a rather quaint, 20th-century idea.

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    By Lewis Krauskopf

    NEW YORK, July 13 (Reuters) - Shares of U.S. healthcare companies are
    gaining favor as investors bank on their ability to weather rocky economic times and the stocks look more reasonably valued than other defensive sectors.


    Healthcare has been the top-performing S&P 500 sector over the past month, rising nearly 3% while the broader market has fallen modestly.
    The group has fallen 8.7% so far this year, less severe than the nearly 20% drop for
    the benchmark S&P 500 overall.

    Strategists at Goldman Sachs, Morgan Stanley and BofA Global Research
    are among those favoring the healthcare sector, given that the companies' businesses are expected to hold up better than others should the economy
    face a downturn.

    "We feel like it is one of the last opportunities to play defense at a reasonable price," said Walter Todd, chief
    investment officer at Greenwood Capital in South Carolina.

    Greenwood is overweight healthcare stocks in its large-cap portfolios including shares of
    Johnson & Johnson, Thermo Fisher Scientific and Pfizer Inc.



    How healthcare companies are performing will become more clear in the coming days as second-quarter
    reports roll in, starting on Friday with UnitedHealth
    Group Inc, the largest U.S. healthcare company by
    market value.

    Earnings in the healthcare sector - which includes large drugmakers,
    medical equipment companies, health insurers and biotech firms - have outperformed
    in recent recessionary periods. That makes them an attractive target for investors looking
    for assets that can weather a potential downturn, as
    recession worries grow amid aggressive monetary policy tightening from the Federal Reserve.


    For example, while overall S&P 500 earnings fell for nine straight quarters during the Great Recession in 2007-2009, the healthcare sector posted earnings growth in those periods, according to
    Refinitiv IBES data.

    Over the last 25 years, earnings per share for the sector have increased nearly 10% annually compared with 6.6%
    annual growth for the S&P 500, while producing "much more consistent annual growth relative to the broader market," according to Eric Potoker, U.S.
    healthcare equity strategist in the CIO office of UBS Global Wealth
    Management.

    "If they have healthcare needs, that is usually one of the last places that people will ration," Potoker said.


    Healthcare also remains relatively more attractive than other so-called defensive
    stocks based on standard valuation metrics.

    Healthcare is trading at 15.7 times forward earnings estimates against its long-term price-to-earnings
    average of 17.5 times, according to Refinitiv Datastream.
    That represents a 10% discount.

    Meanwhile, other defensive sectors are trading at
    premiums relative to their historical valuations - with utilities
    at a premium of over 30% and consumer staples at a 12% premium.


    Unlike healthcare stocks, utilities and staples, at 19.4 times and 20.1 times, respectively,
    are also trading above the 16.1 times P/E ratio of the
    overall S&P 500.

    "We find other traditionally defensive sectors, including utilities and staples, to be expensive relative to the broader market," Tony DeSpirito,
    chief investment officer of U.S. fundamental equities at BlackRock, said
    in his third-quarter equity outlook in which he described "an underappreciated opportunity in healthcare stocks."

    To be sure, should investors become more upbeat about the economy, that could
    lead them to leave behind healthcare shares for more cyclically sensitive stocks such
    as financials or industrials.

    Healthcare also for years has faced persistent investor concerns about regulatory changes, particularly related to potential U.S.

    action to rein in prescription drug prices,
    which has created a cloud over the stocks.



    In the coming months, Democrats in U.S. Congress could try to pass
    a drug-pricing bill, and "biopharma stocks could be volatile if legislation progresses," analysts at
    SVB Securities said in a note.

    (Reporting by Lewis Krauskopf in New York Editing by Ira
    Iosebashvili and Matthew Lewis)

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