11:22 AM
The takeaway from Google’s satisfactory/meets expectations third-quarter financial results,
full as it was of details about traffic acquisition cost bumps and
amortization expenses, was actually about the unification of products,
according investor statement. “We are closing
in on our goal of a beautiful, simple, and intuitive experience
regardless of your device.”
On today’s quarterly call with analysts, the news of note was Page’s announcement that he will be making himself even rarer.
“For years, everyone talked about the multiscreen world. Now it’s
arrived, but on a scale few imagined,” says Page. He mentions phones,
computers, the home, watches, on Google Glass. (Oh boy, watch mention
only a few sentences in. That’ll get people stoked.
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Google's stock has been on a tear as of late, rising more than 30
percent this summer before hitting a record $774.38 earlier this month.
That prompted a host of analysts to raise their price targets for the
stock, led by Citi's Mark Mahaney, who issued the stock could hit $850.
The stock has appreciated thanks to strong growth in spending on
search advertisements, the introduction of paid product listings inside
Google Product Search, and streamlined operations at Google-owned
Motorola Mobility. The company has eliminated 4,000 jobs at Motorola,
closed a third of its 94 offices worldwide, and is rumored to be
exploring the sale of Motorola Home, which makes set-top cable boxes,
for up to $3 billion.
On the mobile front, the company faces questions about whether its
Android
software will become a significantly larger portion of Google's
revenues. The company has said it expects to generate $2.5 billion from
Android this year -- a small fraction of its overall revenues,
particularly given that it is the most-used mobile operating system on
Earth. An analysis projected that Google would generate only 2.5 percent of the revenue of Apple's iPhone this year.
More pressingly, Google faces significant pressure from regulators
on antitrust and privacy issues. Reuters reported last week that a
majority of commissioners at the U.S. Federal Trade Commission favored bringing an antitrust lawsuit against Google,
likely based on charges that the company's search algorithms feature
its own results more prominently than those of its rivals.
Meanwhile, data-privacy watchdogs representing the European Union this week ordered
or risk fines or other legal action. France's Commission Nationale de
l'Informatique, representing the EU's 27 national data regulators, made
12 recommendations to Google to bring its policies in line with European
law. (Google, for its part, said its policies already comply with the
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