focus

Mark Zuckerberg Just Said Several Important Things… (FB)

Source: http://www.businessinsider.com/mark-zuckerberg-search-and-mobile-2012-9

Mark Zuckerberg

In Mark Zuckerberg’s interview at Disrupt yesterday, he said several things that Facebook investors should find encouraging.

Most importantly, he suggested that:

  • Facebook’s mobile opportunity is much bigger than people think
  • Facebook is going to go into the search business
  • Everyone is now “underestimating” Facebook

One of the big concerns about Facebook is that, as its users migrate to mobile, the company’s ability to monetize the users will drop precipitously, thus clobbering Facebook’s revenue. Zuckerberg said explicitly, for the first time, that he thinks Facebook will ultimately make money money per user on mobile than it makes on the desktop. If this proves true–and, importantly, if it happens because mobile revenue per user soars instead of desktop revenue collapsing–Facebook’s revenue growth should soon reaccelerate and then stay strong for years.

Zuckerberg also said that search is a huge opportunity for the company and that Facebook is “uniquely positioned” to go after it. A few weeks ago, we suggested that Facebook could quickly generate an incremental $3 billion of revenue if it jumped into the search business. If Facebook really does aggressively go after the search opportunity, therefore, this could create a major new growth engine.

Lastly, Zuckerberg made several comments about how everyone is now “underestimating” Facebook. Reading between the lines, this is encouraging both for the near-term and the long-term. With respect to the near-term, Zuckerberg knows exactly how Facebook is doing this quarter, and we suspect he would have been very hesitant to use the word “underestimating” i! f Facebo ok were likely to blow the quarter. Longer term, the word choice suggests that Facebook thinks investors are, in fact, underestimating Facebook’s revenue potential.

Now, of course, none of this changes the fact that Facebook’s stock is still expensive (~30X next year’s estimated earnings), which means the market is counting on revenue reaccelerating this quarter and remaining strong for the next several quarters. And none of it changes the concern that, in October and November, employee lock-up releases will likely lead to additional insider selling–possibly a lot of it.

But it does suggest that a new bull story for Facebook could start to emerge.

SEE ALSO: Dear Facebook Employees: Here’s The Truth About Your Stock Price

Here’s what a few smart Wall Street analysts had to say about Zuckerberg’s remarks:

BEN SCHACHTER, MACQUERIE:

  • We thought his comments regarding search over the longer-term were the most noteworthy of the presentation and will drive more discussion about a potential search revenue stream for FB while reigniting some concern about increased competition for GOOG

    1) FB’s long-term focus: Nothing new here, but FB is clearly focused on the long-term and creating value over nexthree-fiveyears.

 
    2) Mobile – Clearly wanted to publically highlight his belief that mobile is fundamentally good for FB. He discussed a number of interesting notions:
        - mobile is absolutely the key and focus for the company
        – on mobile they see more engagement and time spent per user versus desktop, mobile users more likely to be DAU’s and twice as likely to use it six out of seven days a week.
        - over time, he believes that they can make more money per mobile time spent than desktop
        - new iOS app already seeing much improved engagement
        - over time, thinks that mobile monetization is more tv-like than desktop.
        – mobile ads performing better than desktop already and new product on the way, highlighted a few times that mobile is a “huge opportunity”
        - have made mistakes on mobile. Most notably, too early a focus on HTML 5 as opposed to native apps. Correcting that now, though he did note that currently more time spent on mobile web FB than on apps.
        - talked about recent product for mobile app installs. (developers/publishers pay for an install) – not a full public launch, but testing. – intersection of platform and distribution…
 
    4) Search - Perhaps the most notable comments of the presentation were in regards to search and their long-term view that FB has unique assets to help answer questions.
        – already doing 1 billion search queries per day (and not even trying).
        – most searches are to find other people, but many! also fo r pages/brands and apps.
        - stated that search represents a “big opportunity” and that search is one obvious thing they could do in the future.
        - there is already a team working on search, but wouldn’t say how big or clarify if it is doing anything beyond the current search functionality. However, we thought his search comments were the most interesting of the presentation and that he clearly thinks that FB and its social graph are uniquely positioned to improve search in the future.    
 
    5) FB phone/hardwareStrongly stated that a FB phone is the wrong strategy and wouldnt move the needle. Wants to be on all phones…
 
    7) FB’s mission - Reiterated the long term mission is to connect everyone on the planet and make the world more open and connected. Stated that making money goes hand in hand with this mission and that they need to do both in order to do either.
 
    8) Company morale – When asked about company morale, stated that stock price doesn’t help, but focused on the fact that FB has always been controversial and that there is cyclicality in terms of how people think about FB. Right now seems to be on the downside, but he likes that, as he thinks it is when people underestimate the company.
        – When they are underestimated, it gives them latitude to take big bets.

DOUG ANMUTH, BARCLAYS

  • Positive comments on Mobile. Zuckerberg indicated that ! Facebook and its mobile potential are being underestimated. Mobile users are spending more time per person on Facebook than desktop users and are 2x as likely to use Facebook in 6 of the past 7 days (L6/7). We also believe mobile DAUs are likely higher than web DAUs. In terms of mobile monetization, Zuckerberg indicated that Facebook can make more money from a mobile user per time spent than a desktop user, and that mobile ads in their early days are already performing better than ads on the right rail of the desktop. As published in our recent Facebook report from 9/4/12, we estimate Facebook’s mobile ad revenue could be more than $200M this year and above $900M in 2013 driven by higher CTRs and CPMs. Our analysis also suggests mobile ad revenue/user/month could ultimately be higher than on the web as higher engagement and pricing offset the lower number of impressions per visit. See page 2 for our proprietary model, which segments Facebook’s ad business into Mobile SS, Web SS, and Web Marketplace.

  • Search on Facebook’s radar. Facebook currently generates ~1B search queries a day—the majority attributed to people search, but also a meaningful portion related to brand pages and apps. In late August Facebook launched Sponsored Results—ads displayed in the search dropdown bar—to capitalize on this opportunity. However, Zuckerberg indicated that Facebook could do more with search in terms of providing users with direct answers to their questions, likely based on information derived from the social graph. This is likely more headline risk for Google than a real, near-term fundamental concern, but the two companies could ultimately overlap more in search down the line.

BOB PECK, CO-RISE

1) He’s working on Open Graph – this is very impt as it is the! revenue optty I’ve cited (subscription services, app center, gaming).  This is a big part of the potential revenues / upside
 
2) Search is impt and they are working on it.  Once again, this can be very lucrative if done correctly. New revs.
 
3) the reason they are behind on mobile was a wrong bet on technology.  They bet heavily on Html5 and it was a mistake, their mobile apps can be better when native (ie integrated with apple / android)
4) he’s very focused on mobile and realizes how impt it is.  Interestingly, he thinks it monetizes better than desktop.  
 
5) no phone – and I agree with his view they don’t need one
6) he alluded to a model where developers pay for app install as part of app center – once again, impt new revs
7) Instagram – he explained how  buying it sped up development of its platform and improved user experience
 
8) lastly, he seemed more poised than usually and that isn’t easy given the stock performance
 
9) also, I like the continued focus on the long term (much like Jeff Bezos of amzn)
 
10) I was disappointed that there was no discussion about the insider selling….

Please follow SAI on Twitter and Facebook.

Join the conversation about this story »



Create Your Own Bokeh Camera KitThis DIY lens hood and cap, dubbed the Circle of Confusion Shape Modifier, is similar to a previous one we’ve featured before, except this one lets you change out the “slides” or bokeh shapes easily—so you’re not stuck with just one shape. The tutorial at DIYphotography is very detailed: It tells you how to set up the grid in Photoshop or Gimp, create the squares and cutouts, and assemble it all together.

Check out the original article and the reader comments for a discussion of the techniques used to create the effects in the photos, such as setting your camera to the lowest aperture value. Enjoy making dazzling, beautiful photos!

DIY: Circle of Confusion Shape Modifier | DIY Photography

Tags: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

Wednesday, February 22nd, 2012 Uncategorized No Comments

ComScore report finds drastic shift from web-based to mobile email among younger users in past year

Source: http://www.engadget.com/2012/02/11/comscore-report-finds-drastic-shift-from-web-based-to-mobile-ema/

ComScore released its annual US Digital Future in Focus report this week, offering a year-end wrap of many of the trends its tracked throughout the past year and a look towards the next. One of the more telling stats concerns email use among those in their teens and twenties. According to the report, web-based email use among 12-17 year olds dropped 31 percent in the past year, while use among those 18 to 24 saw an even bigger drop of 34 percent. Some of that can no doubt be attributed to Facebook and other email alternatives, but a big factor is the growth of email use on mobile devices; both of those age groups saw double-digit growth in that respect, with mobile email use jumping 32 percent among 18 to 24 year olds.

In terms of sheer growth in the past couple of years, though, there’s not much that matches the trajectory of tablets (obviously aided by one in particular). ComScore notes that that US tablet sales over the past two years have topped 40 million, a figure that it took smartphones as a category a full seven years to reach. Another area that saw some considerable growth in 2011 is digital downloads and subscriptions (including e-books), which jumped 26 percent compared to the previous year, leading all other areas of e-commerce. The full report and some videos of the highlights can be found at the source link below.

Continue reading ComScore report finds drastic shift from web-based to mobile email among younger users in past year

ComScore r! eport fi nds drastic shift from web-based to mobile email among younger users in past year originally appeared on Engadget on Sat, 11 Feb 2012 13:12:00 EDT. Please see our terms for use of feeds.

Permalink @NiemanLab (Twitter)  |  sourceComScore  | Email this | Comments

Tags: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

Sunday, February 12th, 2012 news No Comments

Kenko Tokina 400mm lens for Micro Four Thirds and Sony NEX hits Japan tomorrow

Source: http://www.engadget.com/2012/02/02/kenko-tokina-400mm-lens-for-micro-four-thirds-and-sony-nex/

Looking for a zoom booster to flesh out your NEX or MFT kit? Then take a highly magnified gander at Kenko Tokina’s 400mm f/8 mirror lens, which now comes with both E- and T-mounts to complement the manufacturer’s existing SLR-compatible range. So long as you don’t mind the light-sapping aperture and manual focus, you’ll be able pick one up in Japan tomorrow for a price that should soon become apparent. Just bear in mind that other new MFT options from Tamron and Astrodesign are likely on their way too.

[Thanks, Tibor]

Kenko Tokina 400mm lens for Micro Four Thirds and Sony NEX hits Japan tomorrow originally appeared on Engadget on Thu, 02 Feb 2012 12:54:00 EDT. Please see our terms for use of feeds.

Permalink PhotographyBlog  |  sourceKe! nko Toki na (Japanese)  | Email this | Comments

Tags: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

Thursday, February 2nd, 2012 news No Comments

AMD reveals its 2012-2013 roadmap, promises 28nm chips across the board by 2013

Source: http://www.engadget.com/2012/02/02/amd-2012-2013-roadmap-APUs-galore/

AMD pulls back the kimono, reveals impending 2013 APU invasion
Ready for a bevy of more exotic-sounding codenames from AMD? Well, have a seat, as the maker of everyone’s favorite APUs just revealed its roadmap extending through 2013. And folks, it’s quite the doozy. But before we delve into its technical intricacies (which you’ll find tucked after the break), we’ll begin with some general takeaways. Per CEO Rory Read, 2012 and 2013 are “all about execution,” with the company girding itself for the the next “inflection point” where it’ll excel. The key to this strategy, as he describes it, is to continue marching towards a full-SoC design that will cover a host of devices running the gamut from mainstream laptops to tablets and so-called Ultrathins, the company’s forthcoming answer to Intel’s Ultrabook onslaught.

During its announcement, timed to coincide with AMD’s annual financial analyst day, the company also stressed its unique position wedged between Chipzilla and makers of ARM chips. Ask Read and he’ll tell you that’s a key advantage f! or AMD, that its CPU and GPU IP will bring more value through a better overall experience in the market. That’s a strategy less obsessed with raw specs and sheer speed and more focused on a holistic package. Senior VP Lisa Su said AMD will aggressively enter the tablet arena this year in a big way, reiterating that AMD-based Windows 8 slates are indeed en route, though she stopped short of giving an ETA. Finally, the company’s renewing its focus in the server market, as it seeks to cut a larger slice of the cloud computing pie. That’s AMD’s 2012 / 2013 plans in a nutshell, but if you’re the kind of person who likes a few technical specifics (and who doesn’t, really?) meet us after the break for a peek at what’s in store.

Continue reading AMD reveals its 2012-2013 roadmap, promises 28nm chips across the board by 2013

AMD reveals its 2012-2013 roadmap, promises 28nm chips across the board by 2013 originally appeared on Engadget on Thu, 02 Feb 2012 14:54:00 EDT. Please see our terms for use of feeds.

Permalink   |   | Email this | Comments

Tags: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

Thursday, February 2nd, 2012 news No Comments

NYC opening its first public high school dedicated to software engineering

Source: http://www.engadget.com/2012/01/17/nyc-opening-its-first-pubic-high-school-dedicated-to-software-en/

NYC Department of Education

There are plenty of specialized public high schools in New York City and in September of 2012 that roster of educational institutions will grow by one more when the Academy for Software Engineering opens its doors. The school will greet its first class of incoming freshman at the beginning of the next school year and become the first NYC public school dedicated to pumping out programers. Beyond filling our desperate need for more engineers the school will be special in several respects. For one, it will be a “limited, unscreened” institution, which means grades and attendance records are not considered for admission — only interest. Secondly, this isn’t a vocational school that simply teaches kids to live and breathe in C++ and JavaScript. While the focus will be on software engineering, it will be accompanied by traditional college preparation academic classes. Check out the source and more coverage links for a few more details.

NYC opening its first public high school dedicated to software engineering originally appeared on Engadget on Tue, 17 Jan 2012 04:44:00 EDT. Please see our terms for use of feeds.

Permalink   |  sourceJoel on Software  | www.enga dget.com/forward/20149661/” title=”Send this entry to a friend via email”>Email this | Comments


drag2share – drag and drop RSS news items on your email contacts to share (click SEE DEMO)

Tags: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

Tuesday, January 17th, 2012 news No Comments

Monster and Beats Electronics discontinue partnership, audiophiles rejoice

Source: http://www.engadget.com/2012/01/12/monster-and-beats-electronics-discontinue-partnership-/

Color us surprised, but word on the street is that Monster and Beats By Dr. Dre are soon going to be a thing of the past. After years of pumping out fashion-forward, bass and treble pumping headphones that (debatably) changed the landscape of personal audio products — and spawned a slew of imitators — both companies have reportedly decided not to renew their five-year contract. Businessweek notes that two sources have confirmed that disagreements over “revenue share” and “who deserved the most credit for the line’s success” stemmed the decision between the companies — not surprisingly, Beats Electronics wanted more of both.

In the the followup, Monster will pump eight new headphone lineups featuring due out this year, Monster is also noted to have brought in 60% of its own revenue from Beats by Dre, and now plans to shift its focus on older demographics, such as executive types, which the brand never exactly catered to. Notably, Businessweek also states that Beats Electronics will retain to the rights to the headphone’s iconic design, sound-signature and branding. Considering Beats’ partnerships reign far with companies like HP and HTC, things probably won’t be all doom and gloom for the company — but the amount of time left to pick up your very own JustBeats likely just got slim. Hit up the source link below for more details.

Monster and Beats Electronics discontinue partnership, audiophiles rejoice originally appeared on Engadget on Thu, 12 Jan 2012 20:04:00 EDT. Please see our terms for use of feeds.

Permalink The Verge  |  sourceBusinessweek  ! | < a href="http://www.engadget.com/forward/20147750/" title="Send this entry to a friend via email">Email this | Comments


drag2share – drag and drop RSS news items on your email contacts to share (click SEE DEMO)

Tags: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

Friday, January 13th, 2012 news No Comments

The Owner Of Flash Sales Site Rue La La Is Laying Off A Big Chunk Of Its Staff

Source: http://www.businessinsider.com/the-owner-of-flash-sales-site-rue-la-la-is-losing-up-to-half-its-staff-2012-1


rue la la

UPDATE: Rue La La has reached out to us to update the story with some additional information.

Rue La La just laid off 11 percent of its 500-person staff, according to the company.

The Boston Business Journal first reported the layoffs.

Site owner Retail Convergence is also shutting down SmartBargains.com, a discount shopping site, according to the report.

Some employees were offered other positions in the company, and everyone was offered some kind of severance package, a source close to the company told us.

“It was a mess upstairs. People were crying all over the place,” one unnamed employee told the Boston Business Journal. 

Rue La La operator Retail Convergence raised about $25 million from General Catalyst Partners and Breakaway Partners before being acquired by a company called GSI Commerce for $350 million, reports The Boston Business Journal.

eBay then bought GSI Commerce in 2009, and Rue La La got $500 million in debt and equity financing as part of the deal, according to the report. Retail Convergence, the owner of Rue La La and SmartBargains.com was spun out as part of that deal.

Here’s the full statement from Rue La La:

Since launching in 2008, Rue La La has transformed online shopping and has become a leader in the “private sale” shopping space.  In a continued effort to revolutionize off-price shopping, we have made the strategic decision to double down on our core business.  This heightened focus on our core includes the restructuring of our Rue Local business by outsourcing our sales force and consolidating SmartBargains.com into Rue La La. SmartBargains.com was originally launched 1999.  These moves unfortunately resulted in the elimination of some staff positions.  Rue La La has continued to see dramatic growth with nearly $300MM in sales in 2011 and similar growth planned for 2012 and beyond.

Please follow SAI on Twitter and Facebook.

Join the conversation about this story »

See Also:




drag2share – drag and drop RSS news items on your email contacts to share (click SEE DEMO)

Tags: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

Thursday, January 12th, 2012 news No Comments

There’s Only One Way To Make A Ton Of Money And Be Happy Selling Your Start Up

Source: http://www.businessinsider.com/theres-only-one-way-to-male-a-ton-of-money-selling-your-start-up-2012-1


Venture Capital Ad

There is a common belief that venture capital has become a necessity to get start-ups off the ground.

The seemingly endless flow of funds is very appealing to the up-and-coming company looking to sling-shot themselves to instant growth.

While VC funding can give an important vote of confidence and is absolutely necessary for large infrastructure projects, there’s another side to VC funding— it can actually become a huge hindrance. As I’ve discussed before, skipping venture capital can leave your company with the freedom to grow in a sustainable way, creating more value for all stakeholders.

This means when you do sell – as my company AdoTube did recently— you are able to reap all the rewards of selling a healthy profitable company while being a big part of its future. Read below for the 5 reasons why skipping the VC can leave you with more money and probably more importantly a better company legacy.

1.       VCs just want their return

Venture capitalists have a portfolio of investments consisting of multiple start-ups, and therefore only care about average portfolio results. On the other hand, founders have all their eggs in one basket. Not only is this company their brainchild, but it is also their savings on the line. While founders are interested in the eventual payout, providing a product or service that consumers are excited about can be even more important. This focus on the long-term can lead to a greater eventual pay-out as well as a better company legacy.

2.       It’s easy to waste VC money, diminishing overall value

It is easy to overspend when it is not your money. When a small company comes across millions of venture capital, a lot of that cash can get thrown out with the bath water. Keeping the company small and growing it with your own sweat, blood and hard earned cash can lead you to be thriftier in your decisions. When AdoTube started, we made sure every purchase would earn us back revenue, otherwise why waste the money? Ultimately, this allowed us more value for our investment and helped us get a better return.

3.       VCs go big or go bust

Multiple rounds of VC can put founders in a situation where the company either becomes extremely successful or goes bust. Venture Capitalists’ are looking for the big payday, and if the instant pay-out is not immediately apparent, the company can come to a screeching halt. Founders, on the other hand, can take their time building the company up growing it organically. Without venture capitalists looking for their end return, there is still a lot of middle ground available to time a company’s growth spurt with the market.

4.       VCs don’t care about company culture

VCs aren’t incentivized to make deals that are best for the company and the founders. They are incentivized to sell for the most money. The problem is that while every founder dreams of retiring to the Caribbean after they sell, the reality is that their role with the company is often far from over. Founders are often needed to stay on board to steer transitions or integrations are also often the best person to run the newly acquired company. Culture is paramount in making sure all of this happens smoothly and benefits everyone.

5.       VCs don’t know what’s best for the company

Venture Capitalists don’t understand your business like you do. They study revenues and look for synergies with other companies. VCs can even value companies differently depending on how they might merge with another. Valuing a company based on this can take away from the goals of founders, forcing companies to work more like a widget factory than a company. A simple sale could also mean the instant death of your company, destroying all the value that you created (just talk with the guys at Foursquare). While the VCs walk away with a pay-day the company that you spent years creating is gone in an instant.

Please follow War Room on Twitter and Facebook.

Join the conversation about this story »

See Also:




drag2share – drag and drop RSS news items on your email contacts to share (click SEE DEMO)

Tags: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

Thursday, January 12th, 2012 news No Comments

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.

Augustine Fou portrait
http://twitter.com/acfou
Send Tips: tips@go-digital.net
Digital Strategy Consulting
Dr. Augustine Fou LinkedIn Bio
Digital Marketing Slideshares
The Grand Unified Theory of Marketing