Tech Stock Analysts: CES Only The Beginning

The Consumer Electronics Show in Las Vegas is a showcase for glamorous new products, but two veteran tech analysts are looking elsewhere for investments.

"There's not a lot of exciting products out here," Mark Mowrey, senior analyst for Al Frank Asset Management, told CNBC. "It's a year for evolution, not revolution, here at CES."

He's very cautious about the prospects for the entire tech sector, but he's not without a measure of optimism.

"If the economy slows, the consumer side of the business is going to get hit, and that's a substantial portion of revenue," he said. "On the enterprise side, we think there will be continued slow and steady growth."

Dinosaur Securities research director David Garrity believes the slumping economy is moving attention away from hardware to services and software.

"If you do want to focus on a hardware name, you take something like Nokia, where you've got smart phones and you're basically looking at consumers trying to find a way to improve their own productivity," he told CNBC.

Garrity is reluctant to compare the current situation to the notorious tech meltdown of 2001.

"2001, you had Y2K, which basically brought a number of years' demand forward; there was over-investment at that point in time," he recalled.

"We've not had a similar event at this point in time, and I would say you have secular things that are unfolding as far as technology is concerned which are continuing to drive demand in the course of 2008."