The technology sector has been on a volatile ride of late, driven in large part by the fortunes of some household names. Franklin Equity Group’s Jonathan Curtis believes the sector offers attractive long-term potential. In this article, he champions the contribution of lesser known names and explores the opportunities presented by the rollout of fifth-generation (5G) technology.

A few big names, notably the so-called “FAANGs” (Facebook, Apple, Amazon, Netflix and Alphabet’s Google), tend to dominate many investors’ perception of the technology sector.

However, there’s more to the technology sector than just those few giants. While we are excited about many developments impacting larger companies, we also have our eyes on some lesser-known companies that are playing an integral role in the delivery of digital transformation.

We’re on the lookout for companies that are integrating new technology, changing their culture and challenging the status quo.

Digital Disruptors Force Legacy Businesses to Adapt

Increasingly, we’re seeing companies across a range of industries turn to artificial intelligence and machine learning solutions in their quest to remain competitive, such as voice recognition apps like Siri or Alexa, or the Netflix recommendation engine. We think that dynamic presents interesting investment opportunities.

Digital transformation is helping a wider array of companies amend existing business processes or create new ones. As investors within the tech space, we are keen to identify digitally minded businesses outside the information technology sector that have embraced new technology at a faster rate than their peers. That being said, we also think certain companies involved in the commercialization of fifth-generation (5G) broadband cellular network technology could represent some potential opportunities in the longer term.