GOOG (NASDAQ:GOOG) Seesawing In A Down Market
Stocks are off in early trading as the ECB expressed caution over more bond purchases and Corzine doesn’t know where the missing money is. Shares of GOOG are trading sideways, currently sliding in the negative. Catalysts include continued Android momentum in the smartphone and tablet markets worldwide; Motorola acquisition approval and integration; regaining ground in China; any signs of life for Google TV (including Motorola); the roll-out of Google Music, social network Google+ and Google Wallet; and progress in other newer initiatives (location-based services, mapping, gaming, daily deals, etc.). The stock trades at approximately 12.7x Enterprise Value / EBIT.
Marissa Mayer, Vice President of Product Management at Google, revealed that Google has a different agenda with Android, its freely available operating system: driving usage of its own services. One example of how Android serves Google’s ultimate goals is mapping. Last week, Google introduced Google Maps for Mobile 6.0, which brings the ability to navigate indoors in some malls, stores, and airports. The first phones to get the ability? You guessed it.
Google Thinks That Its TV Offering Will Be In Majority Of TVs Next Year (SlashGear)
Chairman Eric Schmidt spoke recently about his big plans for Google TV, which he believes will be embedded in the majority of new television sets by the summer of 2012. The majority? More than 50%? By May 2012? That’s crazy talk says Matt Rosoff at Business Insider. The first version of Google TV was such a flop that Logitech saw more returns than sales in the first quarter of 2011.
Google To Add Display Advertising To Its Own Sites (Business Insider)
Someday, probably sooner rather than later, Google is going to start putting display advertising on its own sites. The company is looking for someone senior who can build an on-domain display advertising business. Meaning, there will be display ads in Google+, Gmail and maybe Google Reader. Ads are already in Gmail, but they are not display ads. While the added monetization is great for the search giant, it spells trouble for Yahoo!
Charts Of The Day: Apple vs. Android, Profits Versus Growth (Business Insider)
Take your pick of which you deem more important.
- Apple Owns The Profits: Apple alone captures 52% of the industry share of profits.
- Google Is Catching Up On Downloads: Google is now at a billion downloads per month.
Google Invests $100 Million In New Hong Kong Data Center (San Francisco Chronicle)
Google says it will spend $300 million on a new data center in Hong Kong that will be up and running by 2013 as it beefs up infrastructure to keep pace with rapidly rising Asian Internet use. That’s a good sign given the company’s recent falling out with China.
Heather Leonard is the Google analyst at Business Insider.