Starting in 1996, Alexa Internet has been donating their crawl data to the Internet Archive. Flowing in every day, these data are added to the Wayback Machine after an embargo period.
We are all reading story after story about this relatively new company called Google Inc. (NASDAQ: GOOG), which now has a valuation exceeding $145 billion after closing today around $625, adding almost $10 from yesterday's all-time high. In the past year, I probably have done at least 20 stories myself, and the public fascination continues.
Google has very quickly built an empire that even the mighty Microsoft Corp.(NASDAQ: MSFT) is losing sleep over. Microsoft Chairman Steve Ballmer is tired of having to field questions about Google at what are supposed to be Microsoft meetings. However, despite all the good news, I think things are getting a tad pricey right now. But you still hear numbers literally being thrown into the media current by silly guys in need of attention (Henry Blodget) who have long been considered passé, most recently to the tune of Google achieving a $2,000 price tag. Of course, no time frame was associated with this prediction, so it is pretty much worthless gossip.
If Google was $2,000 per share, it would have a capitalization of $470 billion. For comparison, General Electric (NYSE: GE) is valued at $430 billion, and Exxon Mobil (NYSE: XOM) is valued at $516 billion, so it would be jockeying for position as the largest company in the world.
As it stands today, you could trade Google for all of Berkshire Hathaway (NYSE: BRK.A) -- valued at $135 billion -- and have money left over to buy all $9.8 billion worth of Intuitive Surgical (NASDAQ: ISRG), still leaving a few bucks for a lifetime of fine dining. This comes to mind because this is what I have actually done instead. The combination has destroyed Google in terms of stock appreciation. Nevertheless I am gaining appreciation for Google in many ways. I think the company has done, and is doing, many smart things. Many of its adventures have not borne fruit yet, but it has carved out a HUGE swath of the internet that will not be rivaled anytime soon, and it is still growing. Does this growth and these investments (expenditures) justify the price today? The answer to that question in my opinion is no, not today. I think Google will pull back again after its October 18th earnings report.
Passing through a store check-out line is no longer a simple matter of handing the clerk some cash and waiting for your change. Nowadays, the process involves an array of technical devices for identification, scanning, printing, data transmission and security evaluation. There is a Greenville, South Carolina firm that knows all the equipment and distributes systems to some 18,000 resellers.
ScanSource (NASDAQ: SCSC) is a distributor of specialty technical products for automatic identification/data capture, point of sale, and communications applications. It provides such devices as bar code scanners, receipt/label printers, PC-based terminals, pole displays, call center equipment and electronic security products. The firm sells equipment from such manufacturers as Cisco Systems (NASDAQ: CSCO), IBM (NYSE: IBM) and Microsoft (NASDAQ: MSFT).
ScanSource got the Street's attention earlier in the week, when it guided fiscal Q1 revenues to $546-$554 million. That range was up from prior guidance of $525-$545 million and topped the consensus Street estimate of $535.5 million. SCSC shares popped on the news and have begun defining a bullish "flag" consolidation pattern. Stocks frequently exit flags moving in the same direction they were traveling when they entered them. In this case, that would be to the upside.
Brokers recommend the issue with one "strong buy," one "buy," four "holds" and one "sell." Analysts see a 17% average annual growth rate, through the next five years. The SCSC P/E ratio (19.78), PEG ratio (1.13), Price to Sales ratio (0.42), Price to Book ratio (2.56), Sales Growth rate (21.47%) and Revenue per Employee ($2.01M) compare favorably with industry, sector and S&P 500 averages. Institutions hold about 95% of the outstanding shares. The stock is one of those used to calculate the S&P 600 SmallCap Index. Over the past 52 weeks, it has traded between $25.22 and $34.14. A stop-loss of $27.75 looks good here. Note that the company is expected to report Q1 results on October 25, after the close.
Nintendo's stock was up again last night in Tokyo. No wonder. It is still beating Microsoft (NASDAQ: MSFT) and Sony (NYSE: SNE) with newer and better innovations in the game console business.
The latest gem from the Japanese gaming firm is the Wii Fit.
According to Reuters "the new game features a pressure-sensing mat called the "Wii Balance Board", which looks like a set of bathroom scales and can sense when a person moves and leans, enabling players to "head" virtual soccer balls and experience ski jumping on a TV screen." It can also be used for yoga and other exercises.
The poor people who make the Xbox 360 and PS3 must be scratching their heads. First, Nintendo beat them in units sales for next generation game sales. Now, the smaller company comes to market with a product that pushes the envelop of what a video game is and what it can do.
Perhaps the people at Microsoft and Sony are not interested in fitness.
Google, Inc. (NASDAQ: GOOG) likes to make the most complex thing you'll ever do into the most simplest task. Much of the planet knows how easy it is to use Google's market-leading search engine, but the talent and technology to make that possible would be mind-boggling to many of us.
If you've used a cellphone in the last year, you're probably aware of how complex that category has become. In standard fashion, cellphone makers and wireless carriers both are cramming more features into wireless phones these days as a way to recruit more customers. Long gone are the old differentiators like coverage area and minute packages, and in are MP3 players, streaming video and amazingly complex user interfaces for even the most basic of cellphones. Google wants to change that, and apparently it won't bother with yet another handset that would just get lost in the fray.
No, Google's simplistic approach, as it always has been, may be in the software that powers these devices instead of making the hardware itself. Right now, Microsoft Corp. (NASDAQ: MSFT) makes the Windows Mobile operating system for advanced wireless phones, but it's laden with overkill for most of us. Yes, we all want email and multimedia applications on our phones, but we can do without the complexity current solutions have to offer. If Google were to license or give away its mobile operating system technology to manufacturers and have a say in the design itself beyond the software -- and support the effort using in-phone advertising of some sort -- the world of cellphones could change for the better. If we thought the Apple, Inc. (NASDAQ: AAPL) iPhone was "revolutionary,'" then maybe the 'gPhone' could be one step beyond that.
Social media has been hot lately. This week, MSNBC.com, a joint venture between Microsoft Corp. (NASDAQ: MSFT) and General Electric (NYSE: GE), announced a deal to buy Newsvine (the price tag was not disclosed). The site allows people to comment and vote on news stories.
However, the business models are still in the formative stages -- and are mostly focused on advertising.
Yet, we are seeing some new approaches, as seen with ThisNext. The company operates a social media site that allows users to recommend, share, and discover products. It's called "shopcasting."
Microsoft Corp. (NASDAQ: MSFT) seems to be reversing itself a little lately, as evidenced by the latest move with one of its flagship products. That is, the world's largest software maker is not requiring the pesky "Windows Genuine Advantage" product authentication when customers of its web browser, Internet Explorer 7, are upgrading to the latest version of that software.
Usually, Microsoft is incredibly paranoid about verifying authenticity of its Windows operating system (not a stolen or hacked copy) and will only allow bug fixes and upgrades to Windows software installations that have been 'authenticated' using Microsoft's online verification system. Internet Explorer, the company's market share-leading web browser product, seems to be deviating from that past stance, however. Why would Microsoft stop forcing customers who are upgrading the Internet Explorer program on their PCs to verify if their Windows software is 100% legit?
Following a price cut in Europe, Sony Corporation (NYSE: SNE) will reduce the price of the PS3 in its home market of Japan as well. According to MarketWatch, the company will also "introduce a new scaled-down model from November, ahead of the holiday shopping season."
Why now? And, why not cut prices in the U.S. market?
After lagging Nintendo's Wii and Microsoft Coporation's (NASDAQ: MSFT) Xbox 360, Sony faces an opportunity and a major challenge. If it cannot address both, sales of the PS3 may remain stuck in third place behind its two rivals.
Nintendo has indicated that it cannot produce enough Wii game consoles to meet holiday demand. The Wii is popular because it is easy to use for casual gamers and is less expensive than its rivals. Sony has a chance to capitalize on Nintendo's mistake.
Microsoft has launched its Halo 3 video game. It sold $300 million worth of copies in the first week and is said to have helped double sales of Xbox 360. Sony can't afford to have the Xbox gather too much momentum as the big November/December sales season approaches.
Sony can cut prices in the important U.S. market now, or suffer the consequence of missing a chance to get back into the game.
The social web – which allows everybody to participate – got a boost this week. That is, MSNBC.com, a joint venture between Microsoft (NASDAQ: MSFT) and General Electric (NYSE: GE), agreed to buy Newsvine, a news site that allows for voting, comments and so on.
However, as the social web expands, it gets difficult to follow things. While a variety of services track blogs, there's not much in terms of following comments.
Well, that's what coComment is focused on. "Think of us as the Digg for comments," said Kristina Serafim, VP of Marketing at coComment, in a BloggingStocks interview.
And the site is growing. There are more than 550,000 users so far.
"User-generated comments about you or your company are likely to be fragmented across different sites, such as blogs, Yahoo (NASDAQ: YHOO), and so on," said Serafim. "But with coComment, we essentially put comments into a conversation."
Yes, the site is free, although coComment has plans for monetization. "There are display ads. Or, if users don't want them, they pay a fee for an ad-free environment. We also see opportunities for using the site as a large focus group."
And with the power of social media growing, I can see where companies will want to call on coComment for some help.
MSNBC.com, which is a joint venture (JV) between Microsoft (NASDAQ: MSFT) and GE (NYSE: GE), has been around for about 11 years. Interestingly enough, the JV hasn't struck any acquisitions – that is, until now.
MSNBC has agreed to buy social media site, Newsvine (the price tag was not disclosed).
In fact, Newsvine has only five employees and raised a mere $1.5 million in venture capital. Yet, the company certainly is efficient. After all, the growth has been strong and the website gets about 1 million unique visitors per month.
Then again, Newsvine leverages the power of its community. Users can vote and comment on articles, which creates lots of frequency and loyalty.
What's more, Newsvine will keep its identity, which is smart. It's often the case that a big organization can dampen innovation.
But, I'm sure we'll start seeing some cross pollination, such as placing Newsvine features on MSNBC.com.
And, if you want to check out other recent M&A transaction, click here.
Research in Motion Ltd. (NASDAQ: RIMM) has had a phenomenal year with another 12.83% gain Friday. Its two leaders, Jim Balsillie and Mike Lazaridis, plan to increase the amount they will pay to settle with an institutional shareholder, Ironworkers Ontario Pension Fund, over the company's former option-granting policies by $2.5 million each.
Whole Foods Market Inc. (NASDAQ: WFMI) finished its internal investigation into CEO John Mackey's anonymous online postings about the company and has affirmed its support on Friday.
Some analysts think the time has come for an Apple Inc. (NASDAQ: AAPL) stock split. Another analyst, Gene Munster of Piper Jaffray, has calculated the impact of the new OS X Leopard -- Apple's newly upgraded operating system to be released in three weeks -- on the company's revenue stream and expects it to add approximately $240 million to the Dec. 2007 quarter.
GlaxoSmithKline Plc (NYSE: GSK) has picked insider Andrew Witty, president of its European pharmaceuticals business, to replace Chief Executive Jean-Pierre Garnier after a long-standing succession issue at the drugmaker.
Microsoft (NASDAQ: MSFT) has launched the new Zune music player last week. The company is counting on the added social networking elements integrated into the broader service, especially the Zune Social element, to get a better response for the device. Microsoft has also named a new executive Friday to oversee its Zune media player.
Shortages of the ultra-popular Nintendo Wii game console may do what Microsoft (NASDAQ: MSFT) Xbox 360 and Sony (NYSE: SNE) PS3 have not been able to do in the competitive marketplace. They may give the two companies trying to catch the Wii a leg up for the holidays. Nintendo "said it cannot keep up with demand and that U.S. consumers should expect shortages this holiday season," according to The New York Post. The paper adds that "just last month the Wii became the best-selling console over Microsoft's popular XBox 360 and Sony's ailing PlayStation 3, pulling a virtual hat trick by making the Wii the must-have device in North America, Europe and Japan."
The news is bad for Nintendo shareholders by good for Microsoft and Sony. Microsoft has just launched is popular "Halo 3" game which has already hit sales of over $300 million. Early evidence shows that the game has helped double Xbox 360 sales in the early going. Sony has just dropped the price on the PS3 in Europe, and the industry believes that it will follow suit in the US.
Nintendo may have fallen into one of the great traps in consumer electronics--underestimating the popularity of its own product. If so, it is a major gaffe for the Japanese company. It is hard to imagine Apple (NASDAQ: AAPL) running low on iPods, iPhones, or Macs. But, then again, it may be better run than Nintendo is.
Owners of the Microsoft (NASDAQ: MSFT) Xbox 360 who have the Xbox Live internet connection can now download a free game called Yaris The game stars a car that has "a giant tentacle that reaches out of its roof to shoot enemies as it races through a futuristic tunnel, sometimes within inches of soaring fireballs," according toThe New York Times.
The odd thing about the game is that the Yaris is a real car, made by Toyota (NYSE: TM). The vehicle is inexpensive and aimed at young drivers. Toyota feels that instead of running traditional ads in video games, it is better to offer an entire game and give potential customers an experience instead of a marketing message.
The move seems like a good idea, but it may have two drawbacks. The first is that the video game world may get crowded with games from advertisers, especially if moves into the market by companies like Toyota work. A crowded market mean each product game is likely to get less "face time" with players and companies will have to spend more money to build better and better games and keep ahead of the competition.
The other issue is that much of the video game business has become based on violence and some of that involves cars and other vehicles. Take "Grand Theft Auto" as an example. Does Toyota want to associate itself with a media platform that uses cars are agents of heinous acts?
Nintendo's Wii has been the big success of the latest generation of video game consoles. Microsoft's (NASDAQ: MSFT) Xbox 360 is making up some ground with the success of Halo 3. As Doug McIntyre recently wrote, its first week sales of over $300 million could "pull the Xbox 360 out of the mud."
But where does all of this leave Sony Corp. (NYSE: SNE)? Probably nowhere good. With Wii already having established itself as the big winner and Microsoft making a late push toward success, Sony would appear to be the odd man out.
But BusinessWeek interviewed Kazuo Hirai, the marketing man in charge of the PlayStation 3, about how the company is looking to right the ship. He was predictably optimistic, saying that the company would be releasing a lot more games over the next few months, and really emphasizing the PS3 as a gaming system, whereas before, it was marketed as a sort of all in one entertainment system -- obviously that strategy didn't work.
So far the PlayStation 3 has created staggering losses for Sony, and a price-cut will probably be necessary if the machine has any chance. But whatever Sony does, it may be too late.
A freebie tool, TrialPay, is a new web tool created to serve the desires of customers to get free stuff, and companies wishing to push its product by giving away freebies. For example, if while browsing a participating retail site you found an MP4 player you'd like, but don't want to pay for, you can select Checkout by TrialPay, which might respond with an offer from an online music sales site offering to buy the MP4 for you if you buy X number of songs from them. You end up paying, for sure, but you might save a few bucks along the way.
Viral marketing, creating web content appealing enough that it inspires peer to peer recommendations, is a hot segment of web marketing. AA lists the 10 most prolific viral marketers, according to Competitrack -- Nike (NYSE: NKE), Anheuser-Busch (NYSE: BUD), Microsoft (NASDAQ: MSFT), Volkswagen, Axe, Apple (NASDAQ: AAPL), Coca-Cola (NYSE: KO), Adidas, PepsiCo (NYSE: PEP) and McDonald's (NYSE: MCD). Getting ready to move? Be prepared for an onslaught of pitches. AA finds that pre-movers are also big spenders, fixing up their houses, buying new furniture and appliances, and so on.
Microsoft Corp. (NASDAQ: MSFT) is known as a stifler of individual culture in many ways, and why would it not be? Most companies that are decades old, global, and are billion-dollar enterprises emerged from a shifty, risk-taking entrepreneurship to bureaucratic, slow-moving, corporate monstrosities with so many layers of management that they would make the world's largest sheet cake jealous. Unfortunately for Microsoft, that apparent corporate culture is not sitting well with Bungie Studios, the game studio that created the Halo game series and have made more gaming and entertainment money for Microsoft that all other efforts combined. Halo 3, the latest in the series, has made $300 million for the company -- and it's not even two weeks out of release yet.
Is Bungie really trying to split away from its large corporate parent? Bungie pulled away from its parent to develop Halo 3 and even blocked entrance into its studio by Microsoft employees as development ramped up. Is this a sign of a small company not wanting to be ruled by its corporate overlord. Yes, it is -- but the best product sometimes comes from non-interference from the top brass. It's when you let Harvard MBAs and other folks out of touch with the real world start mandating things that innate innovativeness becomes trampled upon.
This is precisely what Bungie developers probably recognized. But to go as far as stating they want out of the marriage with Microsoft? That's intriguing, to put it mildly. I agree with Dvorak here -- in contrast to Google, Inc. (NASDAQ: GOOG), which encourages innovation and non-meddling from its employee population -- and then lets those ideas become actual products -- Microsoft is acting like some anti-innovation dinosaur in this case from all appearances. The world could stand to let smaller divisions do what they do best without interference from the large, ill-equipped bureaucracy.
Interview with the head of Xerox's (XRX) Webster research lab
General Electric (GE) Q3 quarterly results preview
Foreclosures double again, another wave is coming
We are all reading story after story about this relatively new company called Google Inc. (NASDAQ: GOOG), which now has a valuation exceeding $145 billion after closing today around $625, adding almost $10 from yesterday's all-time high. In the past year, I probably have done at least 20 stories myself, and the public fascination continues.
was up from prior guidance of $525-$545 million and topped the consensus Street estimate of $535.5 million. SCSC shares popped on the news and have begun defining a bullish "flag" consolidation pattern. Stocks frequently exit flags moving in the same direction they were traveling when they entered them. In this case, that would be to the upside.
Social media has been hot lately. This week, MSNBC.com, a joint venture between 
Following a price cut in Europe, 
The social web – which allows everybody to participate – got a boost this week. That is, MSNBC.com, a joint venture between 
and 
. He also operates 
Before the bell: Futures lower after last week's rally, ahead of earnings season
