Need Help?  

1-888-998-3548 or 646-214-7240

General Electric (GE) Breaks Out on New "Industrial Internet" Project

Jeffrey Moraes and John Darsie
Jun 18, 2013, 4:59 PM

General Electric (NYSE:GE) surged 2.36% today, breaking out to new highs on news of a new “Industrial Internet” initiative that has the potential to revolutionize the energy industry.


During this month’s D: All Things Digital conference, General Electric CEO Jeff Immelt spoke about a new massive expansion of this concept called the “Industrial Internet.” Immelt’s most frequent talking point was the potential cost savings that could be realized with this new concept, which would reduce waste and maximize the use of critical machines by using chips, sensors and other collected data.


GE is calling its project “Predictivity.”  The project will be carried out in partnership with Accenture and a company called Pivotal, which is a spinoff of VMWare (NYSE:VMW) and EMC Corp (NYSE:EMC) that is run by former Microsoft and VMWare executive Paul Maritz. The massive analytics-driven project will require massive data storage, and GE is partnering with with Amazon Web Services on that front.


Machine data continues to be a big topic, with this type of data growing at a rapid pace due to various sensors and real-time analytics technologies. This new “Industrial Internet” will be extensively more complex than our consumer internet, as everything from our alarm clocks to our coffee machines will be talking to each other through the web in an ongoing dialogue of analytical data.


“This marks the first time industrial companies will have a common architecture, combining intelligent machines, sensors and advanced analytics,” said GE in a press release.


The “Industrial Internet” is predicted to become a major business within the next 10 years, with Wikibon releasing a report predicting spending in the business will reach $514 billion by 2020. The amount of raw data that will need analyzing and processing is expected to grow exponentially.


This isn’t the first push GE has made into big data software, as the industry giant has recently invested over $100 million dollars in the aforementioned Pivotal, which is a Platform-as-a-service (PaaS) company. GE has also been actively working to expand its presence in tech-savvy Silicon Valley, opening up a new office called GE Ventures that has a commitment of $150 million annually from the parent company.


Pivotal CEO Maritz touched on the upcoming challenges the industry will face on creating a common platform by re-iterating, “This needs to be bigger than any one of us. The Industrial Internet should be like the Internet, this is an ecosystem play.”


GE’s stock remains in a healthy uptrend that has been in place since the market bottomed in March 2009. From those lows to today’s high, the stock price has more than quadrupled.  After re-testing a key support level around $15 in September 2011, GE has formed an even tighter uptrend that is now worth watching.  GE broke out to new highs on the daily chart today, and if investors start to digest the magnitude of today’s move, we could see the macro uptrend accelerate.



*DISCLOSURES: No relevant positions

Last Updated ( Tuesday, 18 June 2013 19:24 )
© 2012 T3 Live, LLC
  1. T3 LIVE, LLC is NOT a Broker Dealer. T3 LIVE, LLC engages in trader education and training. T3 LIVE, LLC offers a number of products and services, both electronically (over the internet through and in person. Through T3 TV, an online video network that is available through, T3 LIVE, LLC provides LIVE pre/post market and stock analysis. Through, T3 LIVE, LLC offers the "Virtual Trading Floor", a community through which independent traders (subscribers), as well as select T3 Trading Group, LLC Traders, observe a virtual trading floor environment (as described below) for educational purposes. T3 LIVE, LLC also offers web-based, interactive training courses on demand.
  2. Subscribers are able to see if traders are long or short and what symbols as part of best practices in regards to disclosure. Subscribers do not see trader' screens, trades or size of positions. T3 requires traders to disclose whether they are long or short and which stocks they are trading to ensure that the community is fully informed and that traders substantiate their opinions. This approach is modeled after the analyst disclosures that accompany commentary on particular stocks on CNBC or other financial news media (as per FINRA Rules 2210 and 2711).
  3. The seminars given by T3 LIVE, LLC are for educational purposes only. This information neither is, nor should be construed, as an offer, or a solicitation of an offer, to buy or sell securities. You shall be fully responsible for any investment decisions you make, and such decisions will be based solely on your evaluation of your financial circumstances, investment objectives, risk tolerance, and liquidity needs.
  4. This material is being provided to you for educational purposes only. No information presented constitutes a recommendation by T3 LIVE, LLC or its affiliates to buy, sell or hold any security, financial product or instrument discussed therein or to engage in any specific investment strategy. The content neither is, nor should be construed as, an offer, or a solicitation of an offer, to buy, sell, or hold any securities. You are fully responsible for any investment decisions you make. Such decisions should be based solely on your evaluation of your financial circumstances, investment objectives, risk tolerance and liquidity needs.
  5. The videos and blogs shown on T3 LIVE, LLC are for informational purposes only. The investment ideas and expressions of opinion may contain forward looking statements and should not be viewed as recommendations, personal investment advice or considered an offer to buy or sell securities. T3 LIVE, LLC statements and opinions are subject to change without notice and should be considered only as part of a diversified portfolio.
  6. T3 LIVE, LLC and T3 Trading Group, LLC are separate, but affiliated companies.
  7. T3 Trading Group, LLC is a Registered SEC Broker-Dealer and Member of the CBOE Stock Exchange (CBSX All trading conducted by contributors on Virtual Trading Floor is done through T3 Trading Group, LLC. For more information on T3 Trading Group, LLC please visit
  8. Global Trading Plus, LP (“GTP”) is the exclusive provider of T3 LIVE, LLC products in Europe, all the former Soviet Republics (dating back to 1991), and Israel. GTP is a separate company and has no common ownership with T3 LIVE, LLC, T3 Trading Group, LLC.