Tech Business: IBM Wins Concessions from EU, First Solar Gets Slammed
PayPal (NASDAQ:EBAY) is taking on Groupon (NASDAQ:GRPN) and LivingSocial with plans to enter the market for online daily-deals. It’s a market which could potentially more than double in size by 2015 to $4.2B. PayPal plans to target its 103M customers with coupons tailored to their buying habits and mobile-phone locations.
IBM’s (NYSE:IBM) concessions have been accepted by EU regulators to end an antitrust investigation and avert a possible fine; which could have reached a maximum of 10% of the company’s global turnover. The EU had accused IBM of abusing its dominant position in relation to its mainframe maintenance services.
Investing Insights: 3 DJIA Stocks Up in a Down Market.
Broadcom (NASDAQ:BRCM) is guiding for its Q4 revenue to be at the high end of a prior guidance range of $1.7B-$1.8B, ahead of today’s Analyst Day. Broadcom is also lifting its gross margin guidance. Analysts will likely press Broadcom on whether its strength was broad-based, or as is the case with other chipmakers centered around wireless chips.
It’s shaping up to be an ugly day for solar stocks, as the guidance cut delivered by top module vendor First Solar (NASDAQ:FSLR) raises new fears about the ability of industry players to survive the current downturn without wiping out equity holders – especially since First Solar, with its relatively high margins, has been seen as one of the stronger names.
Amazon (NASDAQ:AMZN) is reportedly in talks with Sony (NYSE:SNE), Warner Bros (NYSE:TWX) and other movie studios to rejoin UltraViolet, their service that lets consumers store films online and play them on any device. Amazon would be enabled by a deal to increase content for the Kindle Fire and help the studios speed adoption of UltraViolet.
Focus Media (NASDAQ:FMCN) continues its efforts to counter Muddy Waters’ fraud allegations, releasing survey data from global marketing research firm Ipsos that finds the number of displays in Focus Media’s ad network to be roughly in-line with the company’s stated figures. Muddy Waters is likely to be skeptical of the survey data’s validity.
YouTube (NASDAQ:GOOG) is simply in a league of its own: comScore estimates Google’s video sites (mainly YouTube) accounted for 43.8% of the 201.4M web video views that happened worldwide in October. The #2 site, China’s Youku.com (NYSE:YOKU), accounted for just 2.3%, while Facebook accounted for 1.3%. Barclays believes YouTube is on track to generate $1.6B in 2011 revenue.
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