How big is mobile? Really big. This slide from analyst Chetan Sharma shows that mobile is the most pervasive technology ever invented.
As you can see, mobile has deeper penetration than electricity and safe drinking water.
Look at how, moving left to right, the red bars extend away from the gray bars.
Know what that means?
It means, in the words of the Distimo analyst who put together the chart, that “the average number of shares per users are increasing.”
That’s profound: The app isn’t just getting more popular, it is becoming a more important part of its users’ lives.
Two bits of news came out yesterday that illustrate how far ahead Microsoft is in the battle for the living room.
First, Microsoft announced it had sold 1.7 million Xboxes in November. That includes 1 million in the week of Thanksgiving.
The firm says that sales of those devices will reach 12 million in 2011, with Apple TV shipping 4 million.
In other words, Microsoft sold more Xboxes in a single week than Apple sells in an average quarter. And Apple is the market leader in that “connected TV players” space. At least when you ignore game consoles.
This isn’t to pick on Apple. It’s simply to point out that Microsoft’s “Trojan horse” strategy with the Xbox has worked amazingly well.
And this was absolutely part of Microsoft’s strategy from the beginning — way back in 2005 before the Xbox 360 launched, Microsoft executives were talking about trying to expand the market beyond hardcore video gamers and turn it into a more general-purpose entertainment device. But Microsoft always knew it had to make a top-notch game console first to get the installed base, then add entertainment features over time.
It’s been doing that, quietly, for more than five years now and has sold almost 60 million Xboxes in the process. With the addition of a whole bunch of TV and other video content last week, the strategy has finally reached full fruition.
Apple, Google, and other connected TV companies could still have a chance if they team up with TV makers so the software is built into your new television set. But any company who hopes to compete with the Xbox by selling an add-on box that DOESN’T play games is in a deep state of denial.
- Microsoft Sold 1.7 Million Xbox 360 Consoles LAST MONTH
- Microsoft Wants TV Execs To Come Make Shows For Xbox
- THE MICROSOFT INVESTOR: Microsoft With Xbox Will Dominate Apple TV
Apple’s price to earnings ratio is at a relatively paltry 14 right now, and it’s driving Apple bulls crazy.
The chart below, which shows Apple’s shrinking PE, from Apple analyst Andy Zaky has been passed around for the last week. (At the time Apple’s PE was 13.3.)
What’s wrong with this chart?
Zaky explains: “Now even though Apple’s growth has far and outpaced the growth of Oracle (16.35 P/E), Amazon (96.15 P/E), Google (19.19 P/E), Cisco (15.11), Qualcomm Inc. (20.62), Amgen, Inc (13.53), Comcast (15.11 P/E), IBM (13.95 P/E), Chevron (13.50), Johnson & Johnson (14.94 P/E), Procter & Gamble (15.49 P/E), and AT&T (13.91 P/E), the stock trades at a far lower valuation relative to these top holdings on the NASDAQ-100 and S&P 500. Some of these companies have actually contracted in 2011. Yet, the market values the earnings out of these companies on the order of 4-5 times more in some cases than they value the earnings out of Apple.”
Of course, there’s more than one way to value a stock. If you value it based on trailing free cash flow, it’s arguably priced fairly, says our Henry Blodget.
- CHART OF THE DAY: Watch Out Apple, Here Comes The Android Market
- Apple Just Had Its ‘Best November Ever,’ Says Ticonderoga
- The Steve Jobs Biography Is The Best Selling Book Of The Year For Amazon
Dr. Augustine Fou is Digital Consigliere to marketing executives, advising them on digital strategy and Unified Marketing(tm). Dr Fou has over 17 years of in-the-trenches, hands-on experience, which enables him to provide objective, in-depth assessments of their current marketing programs and recommendations for improving business impact and ROI using digital insights.
Collaborators – Digital Profs
- Netflix vs Blockbuster - Perfect example of an industry replaced by a more efficient version of itself
- Marketing Costs Normalized to CPM Basis for Comparison
- The Grand Unified Theory of Marketing(tm) - Digital String Theory
- Social Logins in Q4: Google Gains on Facebook; LinkedIn Takes B2B Lead
- HP Mini 311 Nvidia ION Netbook Hackintosh'ed
- Are You Paying for Bots? Why, YES!
- drag2share: Amazon
- Samsung 52 inch HDTV $9.99 at BestBuy - purchase receipt below (6:21a eastern time August 12, 2009)
- Facebook advertising metrics and benchmarks
- Brand Advertisers: Escaping an Ecosystem of Digital Advertising Fraud
- #SESNY: Toward a Performance Mindset for All Advertising
- Tips for Marketers Selecting a Digital Agency
- Context Is Not King or Queen; It's Just Necessary
- 2013 New Year's Digital Marketing Resolutions
- The Good, Bad, and Ugly of Online Campaign Ratings and eGRPs
- Why You Should Banish the Net Promoter Score Immediately
- Digital Strategy To-MAY-to vs. To-MAH-to
- The Agency-Client Relationship is Forever Changed
- Targeting vs. Privacy - Who Will Win?
- January 2015 (75)
- December 2014 (69)
- November 2014 (98)
- October 2014 (150)
- September 2014 (109)
- August 2014 (44)
- July 2014 (92)
- June 2014 (118)
- May 2014 (173)
- April 2014 (130)
- March 2014 (247)
- February 2014 (167)
- January 2014 (222)
- December 2013 (167)
- November 2013 (111)
- October 2013 (116)
- September 2013 (214)
- August 2013 (210)
- July 2013 (200)
- June 2013 (87)
- May 2013 (87)
- April 2013 (70)
- March 2013 (114)
- February 2013 (89)
- January 2013 (136)
- December 2012 (96)
- November 2012 (130)
- October 2012 (147)
- September 2012 (93)
- August 2012 (93)
- July 2012 (112)
- June 2012 (71)
- May 2012 (82)
- April 2012 (80)
- March 2012 (122)
- February 2012 (114)
- January 2012 (129)
- December 2011 (60)
- November 2011 (54)
- October 2011 (29)
- September 2011 (17)
- August 2011 (30)
- July 2011 (18)
- June 2011 (19)
- May 2011 (23)
- April 2011 (23)
- March 2011 (52)
- February 2011 (69)
- January 2011 (108)
- December 2010 (82)
- November 2010 (67)
- October 2010 (68)
- September 2010 (44)
- August 2010 (101)
- July 2010 (61)
- June 2010 (28)
- May 2010 (28)
- April 2010 (26)
- March 2010 (33)
- February 2010 (21)
- January 2010 (13)
- December 2009 (4)
- November 2009 (2)
- October 2009 (14)
- September 2009 (6)
- August 2009 (19)
- July 2009 (34)
- June 2009 (11)
- May 2009 (4)
- April 2009 (6)
- March 2009 (13)
- February 2009 (32)
- January 2009 (25)
- December 2008 (1)
- October 2008 (1)
- June 2008 (1)
- November 2007 (1)