When Verizon Communications Inc. (NYSE: VZ) opened up Apple Inc. (Nasdaq: AAPL) iPhone sales to the phone carrier's existing customers two weeks ago, it sold more iPhones in the first two hours of preorders than it did of any other phone on a launch day. Some analysts estimate there have already been 500,000 total presales.
The sale continued last Thursday, when Apple and Verizon Wireless stores opened their doors at 7 a.m. to allow eager customers to pick up the latest iPhone, as the king of the smartphone market continues to reign.
This zooming interest in the iPhone shows smartphones are no longer just a luxury item for wealthy consumers, or a business tool for busy execs. Social networks, texting and anywhere/anytime access to the Internet have transformed them into a "must-have" device for mainstream consumers.
And smartphones are leaving the PC in the dust.
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U.S. Consumers' Love-Hate Relationship With the Mobile Computing Era
Hot Stocks: Windows Phone 7 Will Give Microsoft a Boost
Microsoft Corp. (Nasdaq: MSFT) has unveiled a lineup of smartphones that use its revamped Windows Phone 7 mobile-operating system in its boldest move yet to return to prominence in the mobile business.
The new operating system, which it spent two years developing, is the software giant's latest assault on the crowded smartphone market, where it has struggled to gain a foothold.
Microsoft's earlier mobile software was based on the design and interface of Windows desktop operating system. Although those phones showed early promise, the system's growth slowed dramatically as the company was upstaged by competitors like Apple Inc.'s (Nasdaq: AAPL) iPhone and Google Inc.'s (Nasdaq: GOOG) Android software.
The new operating system, which it spent two years developing, is the software giant's latest assault on the crowded smartphone market, where it has struggled to gain a foothold.
Microsoft's earlier mobile software was based on the design and interface of Windows desktop operating system. Although those phones showed early promise, the system's growth slowed dramatically as the company was upstaged by competitors like Apple Inc.'s (Nasdaq: AAPL) iPhone and Google Inc.'s (Nasdaq: GOOG) Android software.
Buy, Sell or Hold: Intel Corp. (Nasdaq: INTC) Offers the Security and Profit Potential that Few Other Investments Can
It's not easy to find a safe investment these days. The rulebook has been thrown out and mercantilism reigns supreme between nation states. The world is experiencing significant and rapid changes in currency exchange rates, as policymakers around the world take a beggar thy neighbor approach toward economic security.
There are very few multi-national companies that are not being seriously impacted by these changes.
However, there is one company that should be a safe beacon in these stormy market conditions: Intel Corp. (Nasdaq: INTC).
There are very few multi-national companies that are not being seriously impacted by these changes.
However, there is one company that should be a safe beacon in these stormy market conditions: Intel Corp. (Nasdaq: INTC).
Intel Corp. Invests $8 Billion to Lead the Next Generation of the Semiconductor Industry
Intel Corp. (Nasdaq: INTC) announced Tuesday that it would invest up to $8 billion in U.S. manufacturing with the goal of keeping its position as a semiconductor industry trailblazer and beat rivals in creating the next generation of silicon chips.
The world's biggest chipmaker will build a new factory in Oregon and upgrade four existing plants in Arizona and Oregon. The move emphasizes Intel's position as the biggest manufacturer of microprocessors and its ability to keep up with the semiconductor world's rapid and expensive pace.
The upgraded Intel plants will produce the company's most technologically advanced chips and support its move to 22-nanometer production. This next generation of chip production reduces the line widths on circuits, which lowers costs and improves capability. Currently chips are made with a 32-nanometer process.
The world's biggest chipmaker will build a new factory in Oregon and upgrade four existing plants in Arizona and Oregon. The move emphasizes Intel's position as the biggest manufacturer of microprocessors and its ability to keep up with the semiconductor world's rapid and expensive pace.
The upgraded Intel plants will produce the company's most technologically advanced chips and support its move to 22-nanometer production. This next generation of chip production reduces the line widths on circuits, which lowers costs and improves capability. Currently chips are made with a 32-nanometer process.
Hot Stocks: Adobe Systems Inc. Drives Investors Away With Weak Forecast and Disappointing Growth Outlook
Adobe Systems Inc. (Nasdaq: ADBE) stock yesterday (Wednesday) plunged the most in eight years after forecasting a disappointing fourth quarter, triggering a slew of analyst downgrades and recommendations for investors to move to Adobe's tech rivals.
The software maker fell as much as 21% Wednesday, at one point hitting a new 52-week low of $25.81. It closed at $26.67, a 19.03% drop.
The company on Tuesday announced that it's predicting a flatter fourth quarter than investors and analysts had hoped due to fewer than expected sales of its core Creative Suite 5 software. The CS5 package includes popular Photoshop, Illustrator and Dreamweaver programs. The stock had already slipped 10% so far this year before Wednesday's trading.
The software maker fell as much as 21% Wednesday, at one point hitting a new 52-week low of $25.81. It closed at $26.67, a 19.03% drop.
The company on Tuesday announced that it's predicting a flatter fourth quarter than investors and analysts had hoped due to fewer than expected sales of its core Creative Suite 5 software. The CS5 package includes popular Photoshop, Illustrator and Dreamweaver programs. The stock had already slipped 10% so far this year before Wednesday's trading.
Will Other Tech Companies Follow Cisco's Lead by Paying Out Dividends?
When Cisco Systems Inc. (Nasdaq: CSCO) last week announced that it would institute the first dividend in company history, it raised hopes among investors that hi-tech companies would finally begin to loosen the strings on their hefty cash holdings.
But will other tech giants really follow suit and institute dividends of their own?
Cisco Chief Executive Officer John Chambers announced the payout last Tuesday, saying the networking giant would reward shareholders with a dividend likely to yield between 1% and 2%. The exact amount will be determined in the coming months while the company considers developments on the tax front and broader market conditions.
But will other tech giants really follow suit and institute dividends of their own?
Cisco Chief Executive Officer John Chambers announced the payout last Tuesday, saying the networking giant would reward shareholders with a dividend likely to yield between 1% and 2%. The exact amount will be determined in the coming months while the company considers developments on the tax front and broader market conditions.
Buy, Sell or Hold: Hewlett-Packard Co. (NYSE: HPQ) - It's Time to Sell This High-Tech Stalwart
Now's not the time to own Hewlett-Packard Co. (NYSE: HPQ). Long one of the bluest of blue chips in the U.S. high-tech sector, H-P has been in the spotlight and under the gun since its early August ouster of Chief Executive Officer Mark Hurd. And while Hurd's unceremonious resignation following an internal sexual harassment investigation […]
Nokia Needs More Than New CEO Stephen Elop to Reverse Its Steep Market Decline
Nokia Corp. (NYSE ADR: NOK) on Friday announced it was replacing its chief executive with Microsoft Corp.'s (Nasdaq: MSFT) Stephen Elop, in an effort to reverse its steep decline in the U.S. smartphone market.
The world's largest mobile phone maker said Chief Executive Officer Olli-Pekka Kallasvuo will step down and Elop, head of Microsoft's business software unit, will take the reins Sept. 21. The move represents a drastic shift for Nokia, which until Canadian Elop had never hired a non-Finnish executive for the top spot. But the company needs a strategy and management overhaul to compete in the profitable future of smartphones.
The move should appease Nokia's frustrated investors who have watched its market value slip 70% in the past three years as Apple Inc.'s (Nasdaq: AAPL) iPhone, Research in Motion Ltd.'s (Nasdaq: RIMM) BlackBerry, and phones using Google Inc.'s (Nasdaq: GOOG) Android platform stole the smartphone spotlight.
The world's largest mobile phone maker said Chief Executive Officer Olli-Pekka Kallasvuo will step down and Elop, head of Microsoft's business software unit, will take the reins Sept. 21. The move represents a drastic shift for Nokia, which until Canadian Elop had never hired a non-Finnish executive for the top spot. But the company needs a strategy and management overhaul to compete in the profitable future of smartphones.
The move should appease Nokia's frustrated investors who have watched its market value slip 70% in the past three years as Apple Inc.'s (Nasdaq: AAPL) iPhone, Research in Motion Ltd.'s (Nasdaq: RIMM) BlackBerry, and phones using Google Inc.'s (Nasdaq: GOOG) Android platform stole the smartphone spotlight.
Brick-and-Mortar Retailers Moving Business Online as Foot Traffic Declines
U.S. retailers this year geared up for the annual back-to-school shopping season, the parents and children didn't fill the streets and shopping malls - they stayed inside, and online, cruising for bargains on the Internet.
Overall sales this August were up only slightly from last year, failing to give stores the boost they needed after a sluggish summer.
A report from MasterCard's SpendingPulse released yesterday (Wednesday) showed that consumers gave a slight bump to children's clothing and consumer electronics with their back-to-school shopping, but pulled back in other areas of merchandise which cut into sales gains.
But among uneven retail numbers this year exists a bright spot that has been growing for years, and is leading companies to overhaul their traditional business models: the online retail market.
Overall sales this August were up only slightly from last year, failing to give stores the boost they needed after a sluggish summer.
A report from MasterCard's SpendingPulse released yesterday (Wednesday) showed that consumers gave a slight bump to children's clothing and consumer electronics with their back-to-school shopping, but pulled back in other areas of merchandise which cut into sales gains.
But among uneven retail numbers this year exists a bright spot that has been growing for years, and is leading companies to overhaul their traditional business models: the online retail market.
Buy, Sell or Hold: AT&T Inc. (NYSE: T) Offers a Stable Dividend With Room to Grow
Last week we recommended BCE Inc. (NYSE: BCE) as a way to stabilize your portfolio amid market volatility. We chose a superb company that's a leader in Canada's telecommunications field and has a consistent history of generating ample cashflow. This cashflow allows the company to keep increasing its safe, high dividends and to repurchase shares.
Now, don't get me wrong - I'm not pushing you into a defensive investment cocoon. I still love the opportunity to make huge profits from the advent of new technologies that are revolutionizing both computing and communications in a way not thought possible only a few years ago. Assuming you have measured your risk appetite and incorporated many high-potential return opportunities in your portfolio, adding low-Beta, dividend-rich winners such as last week's and today's (Monday) will improve your portfolio diversification, reduce volatility and add some serious income.
Today's stable dividend winner is in the skyrocketing world of mobile computing. Powerful smartphones are giving us brand new capabilities, which greatly improve productivity. And the growing variety and availability of cloud computing services are already impressive. From mobile e-mail to mobile web-browsing and even mobile video and geo-location-based services, there's a myriad of applications now available to consumers. These services are only possible thanks to large technological improvements and investments in wireless networks.
Now, don't get me wrong - I'm not pushing you into a defensive investment cocoon. I still love the opportunity to make huge profits from the advent of new technologies that are revolutionizing both computing and communications in a way not thought possible only a few years ago. Assuming you have measured your risk appetite and incorporated many high-potential return opportunities in your portfolio, adding low-Beta, dividend-rich winners such as last week's and today's (Monday) will improve your portfolio diversification, reduce volatility and add some serious income.
Today's stable dividend winner is in the skyrocketing world of mobile computing. Powerful smartphones are giving us brand new capabilities, which greatly improve productivity. And the growing variety and availability of cloud computing services are already impressive. From mobile e-mail to mobile web-browsing and even mobile video and geo-location-based services, there's a myriad of applications now available to consumers. These services are only possible thanks to large technological improvements and investments in wireless networks.
HP, Dell Land In Pricey Bidding War as Tech Sector M&A Heats Up
A rare technology sector bidding war raged on late Tuesday as data storage company 3Par Inc. (NYSE: PAR) announced it would start merger talks with Hewlett-Packard Co. (NYSE: HPQ), pressuring rival Dell Inc. (Nasdaq: DELL) to make another bid to win the key growth opportunity into enterprise storage business.
In a Securities and Exchange Commission (SEC) filing late Tuesday, 3Par wrote that HP's $1.6 billion offer was "reasonably likely" to win support from its board. HP announced the $24 per share bid Monday, topping Dell's Aug. 16 offer of $1.15 billion, or $18 a share, by 33%.
The steep price increase comes at a time when tech companies are vying to acquire businesses that broaden their product offerings, and tech powerhouses are quickly snatching up quality companies.
In a Securities and Exchange Commission (SEC) filing late Tuesday, 3Par wrote that HP's $1.6 billion offer was "reasonably likely" to win support from its board. HP announced the $24 per share bid Monday, topping Dell's Aug. 16 offer of $1.15 billion, or $18 a share, by 33%.
The steep price increase comes at a time when tech companies are vying to acquire businesses that broaden their product offerings, and tech powerhouses are quickly snatching up quality companies.
Google-Verizon Deal Could Spell the End of "Net Neutrality"
A proposed agreement between Google Inc. (Nasdaq: GOOG) and Verizon Communications Inc. (NYSE: VZ) could spell the end of "net neutrality," and have smartphone users seeing red instead of their favorite videos.
The arrangement, which has yet to be unveiled, would allow Verizon to charge content providers more to give their services priority on its network, the Financial Times reported, citing people familiar with the plan.
News of the agreement spread like a virus on Thursday, when the Federal Communications Commission (FCC) called off industry-wide talks, saying it had failed to reach an agreement on a "robust framework to preserve the openness and freedom of the Internet."
The arrangement, which has yet to be unveiled, would allow Verizon to charge content providers more to give their services priority on its network, the Financial Times reported, citing people familiar with the plan.
News of the agreement spread like a virus on Thursday, when the Federal Communications Commission (FCC) called off industry-wide talks, saying it had failed to reach an agreement on a "robust framework to preserve the openness and freedom of the Internet."
Google's Android an iPhone Killer?
The struggle for dominance in the smartphone market is heating up and Google Inc.'s (NASDAQ: GOOG) Android operating system for handsets appears to be winning the war against Apple Inc.'s (Nasdaq: AAPL) iPhone system.
When Apple debuted the iPhone 4 on June 24 it broke sales records. In the first three days, the company sold 1.7 million devices in the United States, the United Kingdom, Japan, France and Germany, the most for any version of its top-selling product.
But the popular device has been plagued by misfortune - including the suicide of a Chinese worker, lost prototypes, reception problems, and an inauspicious introduction to the press and public when Chief Executive Steve Jobs could not get the phone to connect to the Internet.
When Apple debuted the iPhone 4 on June 24 it broke sales records. In the first three days, the company sold 1.7 million devices in the United States, the United Kingdom, Japan, France and Germany, the most for any version of its top-selling product.
But the popular device has been plagued by misfortune - including the suicide of a Chinese worker, lost prototypes, reception problems, and an inauspicious introduction to the press and public when Chief Executive Steve Jobs could not get the phone to connect to the Internet.
Google Hangs On To China, but It's Too Late to Make up Profit Losses
Google Inc. (Nasdaq: GOOG) announced Friday that China renewed its Internet license to operate a Web site, but the previous months of tension have already damaged Google's chance at mainland profitability.
Google's chief legal officer David Drummond posted the announcement on the company's blog Friday morning.
"We are very pleased that the government has renewed our ICP license," Drummond wrote, referring to Internet content provider license. "And we look forward to continuing to provide Web search and local products to our users in China."
The license renewal should dissipate - at least, temporarily - months of tension that started earlier this year when Google claimed China was the source of cyber attacks on its databases and user e-mail accounts. Then the company said it would stop censoring search results in compliance with China's government regulations. China prohibits Internet users from accessing offensive and politically controversial material.
Google's chief legal officer David Drummond posted the announcement on the company's blog Friday morning.
"We are very pleased that the government has renewed our ICP license," Drummond wrote, referring to Internet content provider license. "And we look forward to continuing to provide Web search and local products to our users in China."
The license renewal should dissipate - at least, temporarily - months of tension that started earlier this year when Google claimed China was the source of cyber attacks on its databases and user e-mail accounts. Then the company said it would stop censoring search results in compliance with China's government regulations. China prohibits Internet users from accessing offensive and politically controversial material.
Money Morning Midyear Forecast: Three Reasons Technology Companies Will Continue to Coast through 2010
Technology companies had a blowout first half marked by strong earnings and successful product rollouts. But the second half of 2010 could be even bigger, because a flurry of merger and acquisition activity, corporate IT splurges, and high consumer demand - particularly in emerging markets - have set the stage for a serious haul.
"We're going to have much stronger results in the second half [of 2010] than anyone's expecting," Mark Stahlman, a partner at research firm TMT Strategies, told CNBC.
Business was booming back in 2007, but technology companies froze when businesses and consumers were engulfed by the financial crisis. Global tech spending dropped 4.2% in 2009, but is already bouncing back in 2010.
"We're going to have much stronger results in the second half [of 2010] than anyone's expecting," Mark Stahlman, a partner at research firm TMT Strategies, told CNBC.
Business was booming back in 2007, but technology companies froze when businesses and consumers were engulfed by the financial crisis. Global tech spending dropped 4.2% in 2009, but is already bouncing back in 2010.