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GOOG Down As Market Slips
Stocks opened lower after reports that more people are applying for unemployment benefits. Shares of GOOG, trading sideways, are mostly down. Upcoming catalysts include fourth quarter financial results on Thursday, January 20 4:30 p.m. ET; continued Android momentum in smartphones and tablets; strengthening its presence in China; updated software, adoption and media partners for Google TV; and progress in other newer initiatives (location-based services, mapping, gaming, etc.). The stock trades at approximately 16x Enterprise Value / EBIT, inexpensive relative to historical trading levels and the broader Internet group.Watch The Smartphone Subscriber Market Share Reverse In Apple’s favour (eWeek)
Verizon has more than 93 million wireless customers, but how many are itching for an iPhone? Empirical data suggests a lot. So Android, who in November passed Apple iOS in U.S. existing subscriber smartphone market share, is in for a turnabout-is-fair-play scenario. The reversal of this trend is about to begin. Is that a disaster for Android? No, but it could be seriously detrimental to Verizon’s Droid unit shipments if nothing else, which are estimated at 10 million. If Verizon sells 10 million iPhones in 2011 (the conservative estimate) it will surely cannibalise Droid sales on Verizon.
The Verizon iPhone Will Suck The Wind Out Of Android Growth (All Things Digital)
Charlie Wolf at Needham and Co. knows that the installed base of smartphone users is a small percentage of the installed based of total mobile phone users in the U.S. He says that “where the iPhone will have a dramatic impact is on the brand choices of feature phone users migrating to smartphones going forward. The iPhone will suck the wind out of Android’s growth on Verizon.” Verizon’s original motivation for embracing Android was to offer its subscribers an iPhone-equivalent. Now that it’s able to offer them the real thing, Wolf feels they’ll likely opt for it over competing Android devices.
80% Of Verizon Android Users Won’t Switch To The iPhone According To Survey (AndroidGuys)
Scott Webster at AndroidGuys asked his readers, will you leave your Android phone for the iPhone now that it is on a different network? Here are the results (as of last night):
- Yes, immediately: 4.98%
- Not a chance: 79.14%
- Not the iPhone 4, but maybe the next one: 9.13%
- The jury is still out: 5.04%
- Other: 1.72%
Granted, this is from a website called AndroidGuys, but the overwhelming response was not a snowballs chance in hell.
Android Market Had Highest Growth In U.S. Apps Ahead Of Apple Last Year (Businessweek)
Google’s Android Market, BlackBerry App World and Nokia‘s Store added smartphone software faster than Apple’s App Store in the U.S. last year, according to research Firm Distimo. The Android Market had the highest growth rate of 6x, reaching 130,000 applications. BlackBerry’s store more than tripled while Apple’s iPhone app offerings doubled.
Google Buys eBook Company To Help Google eBook Offering (TechCrunch)
Google acquired eBook Technologies in a move aimed at delivering richer reading experiences on tablets, electronic readers and other portable devices. Financial terms were not disclosed. The deal comes just over one month after Google launched Google eBooks, its long-anticipated digital book selling enterprise. No doubt this acquisition will help bolster that business.
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