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Dylan Love/Business Insider
GOOG Off With Markets
Markets are edging lower as spiking bond yields in Spain and other European worries offset unemployment benefits falling to their lowest level in 7 months. Shares of GOOG are off as well. 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 (see below); and progress in other newer initiatives (location-based services, mapping, gaming, daily deals, etc.). The stock trades at approximately 12.4x Enterprise Value / EBIT.Google Activating 550K Phones Per Day, Same As What They Reported In July (Business Insider)
Google has activated more than 200 million Android-powered devices and it activated 100 million Android-powered devices just six months ago in May. That’s a half a million devices per day which is in-line with what the company announced on their earnings call in July. While impressive, should investors worry that growth is stalling? Are Android activations flat lining? Or is Google just sandbagging its results?
Google Launches Music Service, Social Could Be the Key (ComputerWorld)
After months of speculation and anticipation, Google’s online music store is live. The service includes deals with three major music companies and allows users to buy music, and upload and store up to 20,000 songs for free. What could give Google Music a big boost is the fact that Google immediately integrated the service with its fledgling social networking, Google+. Google will allow any artist to create an artist page and upload and sell music through the store. That’s a huge switch from how iTunes and other stores do it.
Google Wallet Partners With The Gap In Time For The Holidays (Gap Inc.)
Gap Inc. (Gap, Old Navy and Banana Republic) is the latest retailer to add Google Wallet to its stores, allowing shoppers to pay for purchases with a tap of their phones in 65 locations in the Bay Area. Additionally, through the end of February the company will offer 15% off when shoppers use Google Wallet at those stores. While Google Wallet is still in its infancy, securing a major partner in the retail world could give the mobile payments platform a boost in the consumer market.
The Tablet Market Continues To Explode Tripling In Size This Year Alone (PC World)
Juniper Research released a report Tablets, Viva La Evolution! which estimated that tablet shipments will increase from 17.6 million tablets in 2010 to 55.2 million this year (this is shipments, not units sold). The company predicts that the tablet market will explode over the next five years, with shipments reaching 253 million units in 2016. That’s more than 4x what they are today. Additionally, 67 million e-reader devices will be sold in 2016, as compared to 25 million this calendar year.