Google's shares have fallen 15% in the last three months while the S&P 500 has traded flat. This share price decline seems odd when contrasted with the spectacular success Google has been experiencing with its Android mobile OS. But there are good reasons Wall Street isn't impressed.
Google recently announced the launch of the Chromebook: a notebook PC loaded with its Chrome Web browser as a bare-bones operating system. This Web-based portable is a direct attack on Microsoft's core businesses: the Windows OS and the Office suite. But how much of a threat is it?
Personal computer sales fell 1.1% in the first quarter compared to the same period in 2010, according to industry research firm Gartner, but while its report lists a few possible reasons for the decline, none are compelling, and the drop is unlikely to presage a serious decline in PC sales.
The tablet market is expect to dominate PC sales for a number of years to come, but forecasts about consumer electronics products are often wrong. It was only two years ago that the industry and researchers expected netbooks would become the growth sector of the market. That turned out to be way off.
Intel's stock is up just 2% this year compared to the Nasdaq's 17% rise, and investors fret that the explosive growth of smartphones and tablets will crimp the market for the PC chips that produce the bulk of Intel's revenue. But the tech giant has a plan.
FusionOne, a top provider of backup and synchronization software for mobile devices, is being purchased by Synchronoss Technologies for $40 million. It's a great deal for Synchronoss -- not so good for the venture capital investors who poured $140 million into FusionOne.
Boob tube shipments are up and manufacturer revenues are expected to rise in the first quarter, reversing a six-month decline. But LCD makers are hardly raking it in as prices continue to slide every year.
