) plunged last week, as it was impacted by weakness in emerging
markets, while Yahoo continued to appreciate.
Cisco Has Emerging-Market Headache
Cisco's first-quarter results disappointed and its
second-quarter guidance disappointed further. The company
previously warned that the government's spying was impacting
revenues in China and in the last quarter, the problem became
Brazil, which protested loudly to Snowden's revelations,
stating that it may require national data to be stored within the
nation, also cut orders on Cisco. Russia also turned more
conservative. Back in the U.S., there were increased
uncertainties related to the government shutdown that hurt its
business. Still, this was one of its stronger markets.
With revenue growth missing expectations and Cisco's
commitment to R&D spending, which is very necessary
considering the competitive landscape, it's not surprising that
Despite the challenges to revenue growth that led to a very
disappointing revenue guidance, Cisco expects to generate a
flattish gross margin and slightly stronger operating margin in
the next quarter.
Google's YouTube Could Grab TV Ad Dollars
) may have taken an important step toward diverting ad dollars
from TV. The company has thus far kept
) and other rating agencies at bay, offering its own rating
system to advertisers. Of course, advertisers prefer an
independent source that would also enable comparison with
competing platforms. As a result, some advertisers hesitated to
transfer spending to the YouTube platform.
Google has announced that not only Nielsen, but also comScore
would be able to tag its site and collect research data. The
inclusion of Nielsen is particularly important because it already
has a system in place to track the effectiveness of TV ads. So it
is in a good position to provide comparative analysis to both
Google and the advertisers. Moreover, many advertisers already
have an account with Nielsen, which makes the whole arrangement
Therefore, this could be the next big thing for YouTube
monetization. If the analysis shows that it is more effective
than TV, there is likely to be a flow of ad dollars to the
Yahoo Steps Up Video Monetization Efforts
Even as Google steps up its efforts to improve monetization of
) is taking steps to monetize its own video offerings. The only
difference being, YouTube is a well-established video platform,
while Yahoo's video content remains a fledgling effort. Still,
the company recently built up its offerings and we expect further
partnerships with media companies.
For now, Yahoo appears to have struck a winning deal with
Starcom, which is an advertising agency with clients like
) and Hallmark. The agreement is to combine Yahoo and Starcom's
consumer data (both personal and the content they like to view)
in order to deliver highly targeted video ads.
Last 6 Months
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A Second Source for Apple Chips
) has identified Globalfoundries, which formed as a spin-off from
Advanced Micro Devices
) to make chips for its iPhones and iPads. Samsung will assist
according to Albany Times Union, but none of the companies'
representatives confirmed the story.
New iPad Mini from Apple
: Apple did not make a big deal out of the refreshed iPad Mini,
which started selling last week. The lack of publicity for the
first mini with retina display is thought to have been the result
of significant supply shortage.
Facebook Joins GSMA
) has joined the GSM Association of mobile partners to further
its ambitions about taking Internet connectivity to the world.
Earlier this year, it founded Internet.org for the purpose.
Facebook has a high penetration rate in the U.S. and other parts
of the connected world, but its future growth will no doubt
depend on the proliferation of the Internet, so this is the
direction the company is moving.
Facebook could be serious about SnapChat
Yahoo Auctioning Domain Names
: Some of Yahoo's premium domain names have not really been doing
that well, so the company is going to make a few million
offloading them. The list includes sandwich.com, av.com, and
Google Now is Updated
: Google Now has added some features: it now includes a news
update card, Waze traffic updates, in-store pickups (telling you
when you package is ready) and real time rugby scores.
Google Scores Major Win in Book Dispute
: Google's win against the Authors guild could mean that the
company will now be able to continue scanning books to create the
world's largest digital library. The question before the judge
was whether Google's provision of scanned excerpts to prospective
buyers could be construed as fair use under copyright law. The
judge found Google's actions justified, particularly since they
helped sales for publishers and others.
: Microsoft will host its annual meeting on Nov 19 and Intel its
Investor Day on Nov 21.
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