GOOG

  • Posted: 15 July 2011 03:07 AM

    GOOG reported an impressive quarter for revenue and earnings growth and shares were rewarded with a 12.62% rise AH after falling 1.73% in the Thursday’s NYSE session. I expect Apple to rise in sympathy on Friday.

    Google’s results indicate the overall economy is showing growth and the willingness of advertisers to return to the market. Google’s CEO said during the call Android activations are currently at the rate of 550k per day. I’m now looking for data on how the activations are translating into revenue for Google and Android developers. Any leads?

         
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    Posted: 15 July 2011 03:30 AM #1

    WS remains “spellbound” by Google, so even things like mid-high 30s% YOY revs/earnings growth are celebrated by huge AH jumps.  On the other hand, AAPL actually has a shot of making an all-time high next Tuesday, which is more than GOOG can say.

    I’m divided by Google’s results.  It’s a good sign for tech, which also helps reassure the markets, but Google’s success leads to a perception of it competing better against Apple whether that’s true or not.  Of course, Google’s YOY growth wouldn’t give anyone reasonable the impression of explosive growth coming at the expense of Apple, but you know how given the press ‘n pundits are to spinning things.

    I wish someone would clarify what an activation is once and for all.  How about a license?  Estimated units with Android sold by third parties?

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  • Posted: 15 July 2011 04:05 AM #2

    Mav - 15 July 2011 06:30 AM

    I wish someone would clarify what an activation is once and for all.  How about a license?  Estimated units with Android sold by third parties?

    I agree. Someone mentioned a while ago that Android would be in everything from tablets to phones to photo frames. Are Google now getting manufacturers to activate their photo frames in the factory? Just wondering.

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    Posted: 15 July 2011 05:29 AM #3

    Actually, Google actuaries acts out activations as actomysin actuators accentuate the actinoids.  Google axed actors and actresses wiith actinomycosis after accurately accounting for android activations.  The Book of Acts advises to not confuse ardent activism with attentuated actism.  To rephrase, Google is thinking of telling us what activation means in their own good time.

         
  • Posted: 15 July 2011 05:31 AM #4

    Do the activation numbers, and the download numbers give a hint as to the characteristics of a typical Android user?

         
  • Posted: 15 July 2011 07:23 AM #5

    The Massive Mystery In Google’s Finances

    It appears revenues from Google’s own sites is growing much faster than formerly. Does this indicate that ad revenue from Google’s services installed on Android is growing fast? e.g. Googlemail.

    Read the comments for some explanations.

    [ Edited: 15 July 2011 07:26 AM by sleepygeek ]      
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    Posted: 15 July 2011 07:40 AM #6

    rattyuk - 15 July 2011 07:05 AM
    Mav - 15 July 2011 06:30 AM

    I wish someone would clarify what an activation is once and for all.  How about a license?  Estimated units with Android sold by third parties?

    I agree. Someone mentioned a while ago that Android would be in everything from tablets to phones to photo frames. Are Google now getting manufacturers to activate their photo frames in the factory? Just wondering.

    My exercise treadmill is “running Android” with a custom interface that allows my sessions to be tracked and compiled via the internet.

    So, essentially such “activations” could be, everything from programmable machine tools, to toasters.

    And praytell just WHAT DOES *ACTIVATIONS* actually MEAN? How does Google track those, and it is about time that someone important nailed them down on this one.

    It fries me, the double standards. With AAPL, everything is put under a microscope and twisted this way and that. Other companies, like Amazon, can for YEARS claim that the Kindles were “the best selling product they had” .... and NOT ONCE, never ever, disclose actual sales NUMBERS, prices, or profits tied to this claim.

    Yet, AMZN gets a P/E over 80, while missing 3 out of the last 5 quarters street estimates, but our AAPL blows it out, discloses sales by product line, and has a growth rate 3X that of AMZN for a P/E of 15-17?

    Can I have permission to WHINE a little here?

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  • Posted: 15 July 2011 08:19 AM #7

    TanToday - 15 July 2011 10:40 AM

    Yet, AMZN gets a P/E over 80, while missing 3 out of the last 5 quarters street estimates, but our AAPL blows it out, discloses sales by product line, and has a growth rate 3X that of AMZN for a P/E of 15-17?

    Can I have permission to WHINE a little here?

    Actually, Amazon’s P/E is currently over 90. See, that will make you feel better. raspberry

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  • Posted: 15 July 2011 09:27 AM #8

    Mav - 15 July 2011 06:30 AM

    It’s a good sign for tech, which also helps reassure the markets, but Google’s success leads to a perception of it competing better against Apple whether that’s true or not.  Of course, Google’s YOY growth wouldn’t give anyone reasonable the impression of explosive growth coming at the expense of Apple, but you know how given the press ‘n pundits are to spinning things.

    Google is an ad company. Good sign for advertising more so than overall tech. I always laugh when I see other tech companies go up (or down) in sympathy with Google earnings results.

         
  • Posted: 15 July 2011 09:31 AM #9

    Did Google talk about Android installed base or dev costs?

         
  • Posted: 15 July 2011 10:55 AM #10

    iphoned - 15 July 2011 12:31 PM

    Did Google talk about Android installed base or dev costs?

    They never do.

    And BTW, if a $10 license fee is imposed on each Android phone, and Google picks up the tab, at 550,000 phones a day that is TWO BILLION dollars a year.

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    Posted: 15 July 2011 11:31 AM #11

    Perhaps we are missing the bigger picture.  Google makes money from search.  As the smartphone mobile market grows, so does the expansion of search out side of the traditional PC market.  Add to that tablets and you can see how google benefits.

    The larger the iOS ecosystem is, the more google benefits.  Studies have shown that highest percentage of web and internet use is on iOS devices vs Android.  So it should not surprise everyone that google is doing better.

    People are still on the web much more then they are on apps.  That is why apps don’t make money for many except a few developers.  Google does not need many apps to sell droid phones.  They sell because people want smart phones to get on the web.

    Until someone figures out how to improve search and the advertising model google is using, they will cont. to do well.

         
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    Posted: 15 July 2011 02:41 PM #12

    Here’s the CC transcript: http://seekingalpha.com/article/279555-google-s-ceo-discusses-q2-2011-results-earnings-call-transcript

    Absolutely no mention of revenue attached to Android or even Mobile (which includes iOS). They harped repeatedly about activations and basically ignored Mobile revenue questions.

         
  • Posted: 15 July 2011 03:27 PM #13

    omacvi - 15 July 2011 02:31 PM

    Perhaps we are missing the bigger picture.  Google makes money from search.  As the smartphone mobile market grows, so does the expansion of search out side of the traditional PC market.  Add to that tablets and you can see how google benefits.

    The larger the iOS ecosystem is, the more google benefits.  Studies have shown that highest percentage of web and internet use is on iOS devices vs Android.  So it should not surprise everyone that google is doing better.

    People are still on the web much more then they are on apps.  That is why apps don’t make money for many except a few developers.  Google does not need many apps to sell droid phones.  They sell because people want smart phones to get on the web.

    Until someone figures out how to improve search and the advertising model google is using, they will cont. to do well.

    Maybe I have shot myself in the foot, but my primary search engine is Bing just because.  Google doesn’t get my advertising dollars (mostly because I avoid internet ads).

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    Posted: 15 July 2011 03:46 PM #14

    Gregg Thurman - 15 July 2011 06:27 PM

    Maybe I have shot myself in the foot, but my primary search engine is Bing just because.  Google doesn’t get my advertising dollars (mostly because I avoid internet ads).

    I tried Bing as the primary search engine on my MBP for a week, but it wasn’t cutting it. Google, despite problems with junk results, is still the best for me.

    OTH, Bing on my iOS devices works just fine. Perhaps it’s because I don’t search as often on those devices. Whatever the reason, Bing remains the default search engine on my iPad and iPod touch.

    I also ignore search ads. They rarely provide useful purchasing info for me.

         
  • Posted: 15 July 2011 04:10 PM #15

    GOOG’s pop encourages me, especially if Apple has resolved its iPad product problems, because of AAPL’s historic pop percentage (average).

    For the past 5 years inclusive AAPL has popped an average of 7.86% from day of earnings to day after earnings.  Taking July pops only the average is 8.55%.

    AAPL doesn’t stop there.  From the day after earnings plus 2 daysAAPL goes up another 2.79% (on average).

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