Computer Hardware

Google looks to books revenue

21 Aug 2006

But instead Google is forging ahead, recently cutting a fresh deal to scan the University of California s 34 million library books. With litigation stacking up against it, Google might easily have dropped plans to make millions of library books searchable on the internet.

Google pays to play

8 Aug 2006

This extravagant deal is reminiscent of internet mania. But escape clauses and the prospect of real revenues make this deal look sound. The internet search giant will pay News Corp $900m to replace Yahoo on the MySpace website.

Google assembles TV network for internet age

7 Aug 2006

Millions of computer users turn to Google and Yahoo daily for fast answers to queries. But future revenues will not come just from search. Recent deals with MTV and XM Satellite Radio show that Google's vast network of affiliated web sites provides a competitive advantage.

Google reports standout Q2

21 Jul 2006

Investor worries that Google's performance would mirror Yahoo's disappointing results proved wrong. Instead, Google posted healthy growth in revenue and profits from search both in the US and internationally.

Tech slump has further to run

14 Jul 2006

Now tech s saviour consumer demand is showing signs of strain. Hopes that spending by companies would pick up this year have been dashed, hitting tech valuations.

Gates should reflect on splitting Microsoft

16 Jun 2006

Impending retirement offers Bill Gates a chance to think about the best way to preserve his legacy. Microsoft is now a complex beast even with his talent, Gates found the group difficult to control. It may be time to split it up.

Ebay turns screw on newspapers

13 Jun 2006

These ads will extend Ebay s auction reach, hurting newspaper classified revenues. The online auctioneer plans an ad system aimed at thousands of affiliated websites.

Sergey Brin goes to Washington

7 Jun 2006

The Google cofounder added his weight to the raging debate over whether telcos can charge tech firms for heavy use of the web. The billionaire s rare and impromptu visit to Capitol Hill illustrates just how much is at stake for Google in this fight.

Google goes after spreadsheet junkies

6 Jun 2006

But Google s release today of a new, webbased spreadsheet product doesn t threaten Microsoft s dominant Excel just yet. While the hype focuses on that threat, this is really just another clever brand extension and hypegenerator from Google.

Myspace holds the cards in search negotiations

23 May 2006

The teen networking site may have rapidly become one of the web s most popular, but it hasn t figured out an effective way of cashing in. Teaming up with Google or Microsoft for search could do so and increasing competition between the two benefits Myspace.

Microsoft better off without MSN

28 Apr 2006

Stuffed inside the conglomerate, MSN has made little headway against more focused rivals like Google despite massive investment. Until MSN is set free or sold to Yahoo it will divert cashflows to investors and never live up to its potential.

Tech has-beens spring to life

20 Jan 2006

Motorola, Apple, HewlettPackard, and AMD were all recently regarded as the walking dead by the market but no longer. Quicker product cycles and the growing importance of design means faster and greater market shifts in technology.

Oracle leads tech to leverage-land

13 Jan 2006

The software giant has taken its first steps into the world of indebtedness. Other tech companies with stable cash flows should follow suit. But they also need to deal with their stockpiles of cash. This should foster further M&A in the tech sector.

Dell proves it’s going ex-growth

1 Nov 2005

The computer group s goal of doubling sales to $80bn by 2008 looks more misguided than ever after its latest profit warning. Dell needs to stop focusing on sales growth, and start trying to raise margins in its PC business.

Apple slapped by options expensing

12 Oct 2005

The US tech group s quarterly earnings almost tripled, yet investors sold off the stock sharply. The problem is that option expensing will take a bite out of Apple s earnings starting next quarter. Investors may finally be cottoning on.

KKR and Silver Lake buy Agilent unit for $2.7bn

15 Aug 2005

The private equity firms chose an unlikely target in the US tech group's semiconductor operation. It's a volatile and lowmargin business. Improving returns won t be easy. And KKR s tech experience is limited. Silver Lake s greater skill in this area will be vital to success.

Intel raid spells trouble for the group’s margins

13 Jul 2005

EU officials have combed the chip giant s offices for evidence of alleged abuse of monopoly power. Intel s dominance is driven more by marketing than technology multiple antitrust investigations may end this lucrative strategy.

Alcatel issues positive profit warning

12 Jul 2005

Second quarter sales growth at the telecom equipment company was double the highend of management projections. Management has done a good job of selling kit. And Alcatel s profits are more highly leveraged to sales growth than rival equipment makers.

Marconi debacle ironic in wake of Rover

1 May 2005

The UK government desperately tried to stop the car group collapsing during the election. But has done nothing for the telecoms company. This wouldn t have happened elsewhere in Europe. But Britain s reluctance in most cases to prop up losers is a source of competitive edge.

Japanese icon gives top job to non-Japanese

7 Mar 2005

In promoting Sir Howard Stringer, the electronics group has taken a leaf out of Nissan s book. Having a gaijin in charge did the carmaker no harm. The move shows Sony is ready to be radical. But Sony needs to be, given its problems.