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Showing posts with label tech. Show all posts
Showing posts with label tech. Show all posts
Saturday, October 19, 2013
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By Unknown in , , , , , ,
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English: Google Logo officially released on Ma...
 (Photo credit: Wikipedia)
Google is set to release its Q3 2013 earnings on Thursday, October 17. While the company continues to innovate and introduce new products and services, the revenue growth in its core ads is slowing down.

This has forced the company to look at other revenue streams to sustain growth. Apart from launching Chromcast during the quarter, the company also launched Motorola’s Moto-X phone. With these new launches Google is aiming to not only improve online ad revenues, but also rake in more dollars by selling devices. In this earnings announcement, we will continue to closely monitor the growth in Google’s core search ads business. Additionally, we will keep an eye on the Motorola division for signs of growth.
Google’s Device Strategy To Boost Online PC Ads Revenues
Google derives most of its value from advertising where it competes primarily with Microsoft, Yahoo and Facebook. According to our estimates, standard PC search ads account for over 30% of Google’s overall value and 60% of its revenues. However, the recent trend in earnings indicates that the growth in online PC ads revenues is slowing down. Additionally, the company’s market share of the U.S. search marketplace has been stagnant at 67%, according to latest data by com Score.

However, standard PC search continues to be the cash cow for Google. The company is exploring new avenues to boost market share in the PC search ads division. In order to maintain its dominance in PC search, Google is tying up with original equipment manufacturers (OEMs) such as HP, Acer and Toshiba to launch the next generation of Chromebook. This is an important development as the Chromebook will route all search queries through Google by default, and Google can improve its market share if Chromebook sales increase. With a dominant market share, we expect advertisers will continue to earmark more funds for search ads on Google. We expect that revenues from PC search ads will continue to grow due to a rise in the number of searches and resulting paid clicks. However, revenue per search for PCs is declining as advertisers are increasingly routing their budget spend towards mobile devices. In this earnings announcement, we continue to closely monitor the RPS metric for better understanding of this trend.


Mobile Ads To Drive Revenue Growth


We currently estimate that mobile search ads contribute approximately a third of the firm’s value. According to our estimates, the company’s mobile revenues more than doubled in 2012 to around $5.2 billion from $2.5 billion in 2011. Gartner has predicted that worldwide mobile ad revenue will exceed $11 billion in 2013, and that the growth rate for ad revenue will exceed 400% during 2011-2016. Even though mobile search ads are expected to only generate 17% of the company’s total revenues in 2013, we expect this figure to reach to almost 30% by 2016.

Google continues to bolster its search capabilities on the mobile platform by increasing support for mobile devices that run Android OS. Currently, there are over 900 million Android devices worldwide, and its share in the smartphone OS market is on the rise. The market share grew to 80% of total shipments during the second quarter, up from 69% last year. In our opinion, the smartphone market is key for Google’s mobile revenue growth over the long term because more users will access Internet via mobile devices. During this earnings announcement, we will focus on Google’s mobile advertising run rate and growth in Android platform usage.

YouTube Revenues In Focus


In a previous note, we argued that Google is systematically targeting TV ad dollars with the launch of new services and devices such as Chromcast for YouTube. Considering the explosive growth in online video ads spent, we expect YouTube to be a key contributor to Google’s revenue growth going forward. We expect that the unique user count for YouTube will rise during the quarter due to increasing popularity of this platform. Also, it will be interesting to see to what extent the new partnerships that Google has forged with prominent media studios have increased YouTube’s monetization.


Motorola Mobility Sales


The Motorola Mobility division continues to post operational losses since its acquisition by Google last year. Although Google sold most of Motorola’s non-core mobile business, it has re-introduced Motorola in the mainstream mobile market with the launch of Moto X smartphone. We will be looking out for the sales number of Motorola’s new offering during the quarter. Additionally, we want to know Google’s strategy to stem losses at this division.
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Friday, October 18, 2013
Moto X Has Yet To Stem The Losses At Motorola

By Unknown in , , , ,
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KnowledgeHutt.blogspot.com


The Moto X smartphone; image via Motorola

Moto X, the first flagship released by Motorola since Google swallowed it last year for $12 billion, still has a ways to go to prove its financial worth to the company.

Sales were up by a third at Google’s smartphone division to $1.18 billion, but it still posted an operating loss of $248 million in the third quarter. That’s wider than the $192 million deficit it posted this time last year, but better than its $342 million loss in the second quarter.


That made it easier for Google Chief Executive Larry Page to ask investors for patience on Motorola, where it was “still early days.” He added on Google’s third-quarter earnings call that management were “working to build out marketing and distribution.”Fortunately parent company Google can afford to give Motorola and the Moto X some time to eke out some market share. Google’s overall profits jumped by 36% to $2.97 billion and the company’s shares soared to surpass a record $1,000 on Friday — they were up almost 13% to $1,003 in early afternoon trading in New York.

At its launch, Motorola’s CEO Dennis Woodsidetold Forbes that the Moto X was bringing Motorola back to its “roots in innovation.” The device boasts a Motomaker website which lets people customize colors and materials (wood is coming later this year) for the phone’s casing, as well as an always-on microphone that allows users to wake the phone up without touching it, utilizing the digital personal assistant Google Now.

Researchers at ABI went as far as saying recently that thanks to an efficient use of power and the use of two separate processors, its curved form factor and impressive screen resolution, the Moto X was more innovative than Apple's AAPL +0.87% latest iPhone.

Yet Apple still managed to overshadow the Moto X when it was released across five major U.S. carriers on Sept. 10, announcing its iPhone 5S and 5C on the same day.

There have favorable reviews, but mixed signals about demand for the Moto X ever since. Chief Executive Woodside told Reuters last month that Motorola was shipping 100,000 of the devices, weekly, from its manufacturing plant near Dallas, Texas.

That’s a relatively modest number, but Woodside said the phones were also being sold at a profit. Motorola is basing all manufacturing of the Moto X in the United States, even though the cost of labor of doing so is estimated to bethree times higher than in China.
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Apple looking forward To Bolster Siri, Find Out ?

By Unknown in , ,
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  After Reportedly Buying Cue, A Personal Assistant App, Apple May Bolster Siri
KnowledgeHutt.Blogspot.com                                                         CUE Service has been shut Down 
Apple AAPL +0.75% seems serious about developing the technology that powers its personal assistant Siri, having reportedly bought Cue, a personal assistant app for the iPhone that processes contacts, e-mail and files to present a daily agenda. It’s bought the company for more than $35 million, according to reports in TechCrunch and Apple Insider this morning. Cue’s co-founder and CEO told Forbes in August that while Cue had worked for the last three years creating its data-organizing software, it was “hard” to design an interface that consumers could understand and use easily.

Cue had previously received more than $4.7 million in funding investors including Sequoia Capital and more recently Index Ventures. DropBox was one of the interested suitors in Cue, according to TechCrunch. Cue’s CEO could not be reached for more details by phone, though a message on his sitesays the service has shut down. Premium users will receive a pro-rated refund and all data and personal information has been “permanently deleted,” it said.


Apple often doesn’t confirm its acquisitions and is only saying that, “Apple buys smaller technology companies from time to time, and we generally do not discuss our purpose or plans.”

For Siri, Apple currently uses a combination of its own software and voice recognition technology from Nuance, via a licensing deal thought by analysts to be worth $40-60 million a year. Earlier this year it emerged that Apple had established a research center in Boston where its staff were working on Siri. It is unclear if Apple’s long-term intentions are to eventually run Siri independent of Nuance’s technology, similar to the way it developed its own Maps application so that the iPhone could stop using Google GOOG +13.31% Maps as a default navigation app.

The purchase of Cue suggests that Apple certainly wants to differentiate its personal assistant offering from other competitors, in particular Google Now, an app for Android phones that’s also a central feature of the new Moto X phone. The device can be “woken up” with voice commands directed to Google Now, without needing to touch the device.

Cue used to be called Greplin but changed its name to Cue in June 2012. The company’s CEO and co-founder Daniel Gross told me in August that there were a number of challenges in cross pollinating data between different sources such as calendars and email, and apps like Evernote and LinkedIn LNKD +3.76%. Gross said he had been working for the last three years on building software that could securely cross-reference and present personal data on a smartphone, most recently with 14 engineers.

Ironically, he was also skeptical of becoming a white-label vendor, so that other technology companies could use Cue’s software under their own brand names.

“People ask why don’t we white label what we do and let someone solve the interface problem,” he said. “My opinion is the goal and mission of company is to be a brand people live and breath every day and hopefully love and appreciate and find useful.” Perhaps that opinion was bound to change when Apple came knocking.
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Tracking Watch For Kids Also Makes Calls Through AT&T

By Unknown in ,
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KnowledgeHutt.blogspot.com

Samsung’s latest, clever TV spot shows a series of retro characters like Captain Kirk, Dick Tracy and the blonde-haired Penny from Inspector Gadget talking into their watches. Moments later, a gleaming Galaxy Gear smart watch rotates into view, reminding us that “the next big thing is here” – a watch-phone device that is no longer the domain of science fiction but hitting stores soon.

But could a smart watch be “smarter” if it didn’t have to be tethered to a smart phone? The Gear only becomes wireless when it’s connected to another Samsung smartphone by bluetooth. Enter a relatively unknown company called Filip Technologies which early next year will launch the first ever smart watch embedded with its own SIM card for making voice calls. It won’t do email, calendars or third-party apps, but it’s the first smart watch approved to make voice calls by the FCC .

Necessity being the mother of invention, the FiLIP needed a SIM of its own because most parents won’t give their children a smartphone for tethering until they’re around 13, and the watch is meant to keep track of children from as young as four. It was invented by Sten Kirkbak and named after his son Filip, who for 30 heart-stopping minutes went missing in a restaurant in Norway when he was three years old. When Kirkbak later tried Googling a location-tracking device his son could wear in future, he couldn’t find one, and decided to make it himself.

So far the FiLIP has been trialled on around 50 children, and the company signed a deal with AT&T earlier this year after starting discussions with the carrier in 2012. AT&T will be the device’s exclusive carrier for the next three years. Filip Technologies’ CEO, Jonathan Peachey, is still in talks with AT&T about pricing plans, but buying the device will be just like buying a smartphone through a carrier. You’ll pay an upfront fee and a certain amount each month for the voice and data, though Peachey insists the plan will be “affordable.”

What’s intriguing about the FiLIP is that while it’s been designed for kids and thus limited to calling five designated telephone numbers, its strides as the first smart watch with a calling SIM may open the possibility for adults to want one too. With its embedded SIM, it’s not a device that you could swap temporarily from a smartphone, but anyone who needs a basic phone for making calls and sending messages might find it useful in certain circumstances.

At this point it’s hard to know either way until the device comes to market. Critics have slammed the Samsung Gear as being an ugly, battery-draining device that will not be particularly useful for consumers. The Pebble has had some success as a smart watch — shipping more than 100,000 devices — that that can show e-mail, texts and Twitter notifications, but users report that constantly looking at a watch can appear just a as rude in a meeting as checking your phone, as it hints that you are bored and don’t want to be there.

Meanwhile new speculation about the forthcoming iWatch from Apple suggests Cupertino wants the watch to be a hub for the connected home. Cantor Fitzgerald analyst Brian White says that after talking to suppliers in China and Taiwan, be believes the iWatch will be “much more than an extension of your iPhone but… a multipurpose gateway to in allowing consumers to control their home (ie. heating/cooling, lights, audio, video, etc.)”
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Tuesday, October 1, 2013
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By Unknown in , ,
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Hello There, Welcome to my Blog.
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