Nvidia Rumored To Be Readying X86 Chip Release
Wednesday, August 20th, 2008Read more of this story at Slashdot.
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Despite Yahoo's ostensibly deft maneuverings this week, analysts suggest that being swallowed by Microsoft is the most likely fate for Yahoo.
Just yesterday, Yahoo said it is testing Google search ads, a deal some interpreted as the latest move on Yahoo’s part to avoid a hostile takeover by Microsoft.
Now, news outlets large and small are reporting that Yahoo is in talks with AOL to discuss a merger of sorts that many see as yet another avoidance tactic.
Ah, but the plot thickens once again, as Microsoft, too, is in discussions with a potential partner: News Corp. might band with the software giant in its acquisition bid.
A story by the Associated Press, Ahead of the bell: Yahoo's options, on Yahoo's Finance page no less, quotes from a note that Citi Investment Research analyst Mark S. Mahaney sent to clients: "Yahoo's maneuvers 'clearly signal' its 'determination to explore all strategic options versus accepting Microsoft's $31-per-share bid.'"
Mahaney goes on to say that a Microsoft buyout is "the most likely outcome," though it will probably happen at a higher price than the current $42 billion proposal.
Either way, for Yahoo to be in irons, as the sailing expression goes, and forced to choose between Google and Microsoft is anything but ideal.
Benjamin J. Romano of The Seattle Times posts another analyst's opinion in this blog entry:
Christa Quarles, an analyst with Thomas Weisel Partners, broke out the Homer in her latest assessment of the deal, also reported by the AP. "Choosing between Microsoft and Google must seem like sailing between Scylla and Charybdis for Yahoo," Quarles said in a note to clients. "Though given independence seems to be the overarching goal, tacking toward Google may be the better short-term solution."
Despite Yahoo's ostensibly deft maneuverings this week, analysts suggest that being swallowed by Microsoft is the most likely fate for Yahoo.
Just yesterday, Yahoo said it is testing Google search ads, a deal some interpreted as the latest move on Yahoo’s part to avoid a hostile takeover by Microsoft.
Now, news outlets large and small are reporting that Yahoo is in talks with AOL to discuss a merger of sorts that many see as yet another avoidance tactic.
Ah, but the plot thickens once again, as Microsoft, too, is in discussions with a potential partner: News Corp. might band with the software giant in its acquisition bid.
A story by the Associated Press, Ahead of the bell: Yahoo's options, on Yahoo's Finance page no less, quotes from a note that Citi Investment Research analyst Mark S. Mahaney sent to clients: "Yahoo's maneuvers 'clearly signal' its 'determination to explore all strategic options versus accepting Microsoft's $31-per-share bid.'"
Mahaney goes on to say that a Microsoft buyout is "the most likely outcome," though it will probably happen at a higher price than the current $42 billion proposal.
Either way, for Yahoo to be in irons, as the sailing expression goes, and forced to choose between Google and Microsoft is anything but ideal.
Benjamin J. Romano of The Seattle Times posts another analyst's opinion in this blog entry:
Christa Quarles, an analyst with Thomas Weisel Partners, broke out the Homer in her latest assessment of the deal, also reported by the AP. "Choosing between Microsoft and Google must seem like sailing between Scylla and Charybdis for Yahoo," Quarles said in a note to clients. "Though given independence seems to be the overarching goal, tacking toward Google may be the better short-term solution."
The situation is not that dire just yet, but signs are beginning to emerge that Silicon Valley is not immune to the difficulties affecting the U.S. economy. And whereas Valley VC's once tended to primarily act locally, they're now eyeing global markets.
"During the first three months of the year, only five companies backed by venture capital investors went public on Wall Street, the National Venture Capital Association said last week. That is down from 31 in the fourth quarter of last year, and is roughly the same level as at the nadir of the dot-com bust," The New York Times reports in Economy has become a drag on Silicon Valley.
The Times story continues that, "there was also a sharp falloff in the acquisition of start-up companies by bigger corporations. Microsoft is making noise with its effort to take over Yahoo, but elsewhere things are quieting down. There were only 56 acquisitions in the first three months of the year, down from 83 in the fourth quarter."
Indeed, Silicon Valley won't always be the center of the technology universe, at least according to Rebecca Fannin, author of Silicon Dragon: How China is Winning the Tech Race.
Fannin, in this Q&A with Forbes, explains that, "it's going to be years before it becomes very pronounced, but China is slowly emerging as the next Silicon Valley. If you look at venture capital money flowing in, it's a phenomenal rate."
Fannin's work, by the by, is part of a cadre of new books examining China as an emerging powerhouse, eight of which The Guardian reviewed in Here be dragons.
The situation is not that dire just yet, but signs are beginning to emerge that Silicon Valley is not immune to the difficulties affecting the U.S. economy. And whereas Valley VC's once tended to primarily act locally, they're now eyeing global markets.
"During the first three months of the year, only five companies backed by venture capital investors went public on Wall Street, the National Venture Capital Association said last week. That is down from 31 in the fourth quarter of last year, and is roughly the same level as at the nadir of the dot-com bust," The New York Times reports in Economy has become a drag on Silicon Valley.
The Times story continues that, "there was also a sharp falloff in the acquisition of start-up companies by bigger corporations. Microsoft is making noise with its effort to take over Yahoo, but elsewhere things are quieting down. There were only 56 acquisitions in the first three months of the year, down from 83 in the fourth quarter."
Indeed, Silicon Valley won't always be the center of the technology universe, at least according to Rebecca Fannin, author of Silicon Dragon: How China is Winning the Tech Race.
Fannin, in this Q&A with Forbes, explains that, "it's going to be years before it becomes very pronounced, but China is slowly emerging as the next Silicon Valley. If you look at venture capital money flowing in, it's a phenomenal rate."
Fannin's work, by the by, is part of a cadre of new books examining China as an emerging commerce powerhouse, eight of which The Guardian reviewed in Here be dragons.
Read more of this story at Slashdot.
A recently released study of trades undertaken in an internal predictive market in place at Google surfaced a quantifiable can-do spirit among the company's employees.
Analyzing the predictive market trading behavior of 1,463 participating Google employees from April 2005 to September 2007, Justin Wolfers and Eric Zitzewitz, economists at Wharton and Darmouth, respectively, along with Google economic analyst Bo Cowgill, found that "internal markets overpriced securities tied to optimistic outcomes by 10 percentage points."
Meaning, in essence, that participating Google employees were, on the whole, willing to pay a 10 percent premium to place a bet on success.
[ PDF download: "Using Prediction Markets to Track Information Flows: Evidence From Google" ]
Part of a larger trend attempting to glean insight from the wisdom of crowds, predictive markets allow participants to perform trading-style transactions on the outcome of various short- and long-range conjectures. Participants are given tokens -- in Google's case, "Goobles" -- to place bets. The flow of this currency is believe to provide a credible prediction engine for future events -- more accurate, some believe, than knowledge gleaned from polls and surveys. Much of this accuracy is attributed to the assurance of vested participation in the form of financial compensation for individual participants' predictive accuracy -- for Google, this took the form of a $10,000 prize budget pool per quarter.
[ For a deeper look at predictive markets and crowdsourcing, see "Mob wisdom means business" ]
Google's market, which the authors believe is the largest such company market in operation, has been up and running for four years. Similar markets are under way at Abbott Labs, Arcelor Mittal, Best Buy, Chrysler, Corning, EA, Eli Lilly, Frito Lay, GE, HP, Intel, InterContinental Hotels, Masterfoods, Microsoft, Motorola, Nokia, Pfizer, Qualcomm, Siemens, and TNT, according to the authors of the report.
Conjectures ran the gamut, from demand forecasting (number of Gmail users at the end of a particular quarter), performance (Google Talk quality rating), company news, industry news, decision markets (will users of feature A use feature B more), to plain-old fun (how many rotten tomatoes will Star Wars III get?).
In all, 270 such "markets" were opened at Google, each with between two and five bet outcomes.
Participants in the Google market, who were more likely to be programmers at the Mountain View campus, exhibited a bias toward outcomes linked to a positive outcome for Google. Moreover, the economists found a measurable correlation between bullish predictive market behavior the day after Google's actual stock price experienced a better-than-average boost.
According to the economists, such optimism is akin to what is known as the "entrepreneur's curse," in which "firms are started by those most overly optimistic about their prospects." Such optimism, the authors conjecture, is desirable for leaders and employees in such environments, as it generates motivation, leads to risk-taking, and "makes employees cheaper to compensate with stock options."
Optimism, according to the study, was correlated most prominantly with more recent hires, as experienced employees tended to be less likely to overspend on optimistic outcomes.
Also of note from the study was a correlation of like-mindedness with physical proximity, as strong correlations in trading were found among employees with 10 to 20 feet of one another in a shared office setting, suggesting that being on the same page means being in the same environs.
Moreover, trading correlations were also found among employees sharing the same "three-levels-below-SVP" manager, which at Google, usually means working on the same broad set of products, according to the authors of the report.
Analysis of holdings and trading activities is used to determine how an organization processes information.
Interestingly, the authors did not find friendship to be a strong correlation factor in Google's predictive market. Apparently, work-farm architecture and workforce organization have a demonstrable effect on siloing information.
Organizations looking to foster cross-departmental collaboration, take note.