Alphabet Inc - Ordinary Shares - Class A

Google and Facebook

Preface
The world has moved from linear television, to desktop Internet to mobile Internet and now to mobile apps in a matter of just two decades. While every new sphere of technology sees dominating forces, never have we seen two companies so utterly in control of one piece. It takes an image to understand how dominant Alphabet Inc. (NASDAQ:GOOGL) and Facebook Inc. (NASDAQ:FB) have become.

ALPHABET AND FACEBOOK DOMINATING
Alphabet and Facebook are the two advertising giants. While Google comes in at nearly $30 billion in U.S. advertising and Facebook comes in at $8 billion, the entire rest of the population of companies comes in at $22 billion.

Facebook shows nearly 60% year-over-year growth while Alphabet's Google shows a remarkable 18% year-over-year growth on an enormous revenue base. While all these numbers are rather impressive, what we see in the next frontier of mobile apps is bordering on incredulous.

MOBILE APPS
In a recent article penned by Kyle Graden of Salesforce we get these insights:

“
A major reason that Facebook and Google lead in both digital advertising revenue and revenue growth is because they top the charts for mobile app users.

According to Nielsen, Facebook and Google combine to own all of the top eight mobile apps in 2015!

Because of the ubiquity of single sign on across these apps, with Facebook and Google you can target the same person across multiple devices, and these companies are both well-positioned to continue to dominate in an era of mobile-first consumers.

”

Now, here's the chart heard around the world:

While Netflix has the leadership position, it has no presence on the web as a stand-alone video provider. That world is dominated by Alphabet and Facebook. Here's a chart of the most popular web properties for video:

Not only do Facebook Inc. (NASDAQ:FB) and Alphabet Inc. (NASDAQ:GOOGL) own all eight of the top smartphone apps, each property is showing year-over-year growth. In fact, Facebook Messenger shows a massive 31% one-year growth.

These two tech giants are dominating in almost every aspect of the app world. Here's a great chart from Statista that charts the most popular video sites

THE REAL WINNER
While Alphabet and Facebook are the undisputed winners in all things mobile and smartphone app related, as well as video related, it turns out there is another winner that benefits no matter which of these two companies ends up with the crown jewel.

WHY THIS MATTERS
Behind the thematic transformations changing the world are technology companies powering the changes that win no matter which of the mega caps end up being the winner. It's these companies that we all want to know about -- the opportunities to find the 'next Apple' or 'next Google.' This is what CML Pro does. Our research sits side-by-side with Goldman Sachs, Morgan Stanley and the rest on professional terminals, but we are the anti-institution and break the information advantage the top .1% have.

Each company in our 'Top Picks' is the single winner in an exploding thematic shift like artificial intelligence, Internet of Things, drones, biotech and more. In fact, here are just two of the trends that will radically affect the future that we are ahead of:

The Internet of Things (IoT) market will be measured in trillions of dollars as of next year. CML Pro has named the top two companies that will benefit. Then there's cyber security:

Market correction or not, recession or not, the growth in this area is a near certainty, even if projections come down, this is happening. CML Pro has named the single best cyber security stock to benefit from this theme.

These are just two of the themes we have identified and this is just one of the fantastic reports CML Pro members get along with all the visual tools, the precious few thematic top picks for 2016, research dossiers and alerts. For a limited time we are offering CML Pro at a 90% discount for $10/mo. with a lifetime guaranteed rate. Join Us: Get the most advanced premium research delivered to your inbox along with access to visual tools and data that until now has only been made available to the top 1%.

Thanks for reading, friends. The author is long shares of Apple and Twitter.


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