Recap of a crazy day in the tech/mobile space (GOOG, BIDU, AAPL, RIMM, VZ, T)

By: ispeculatornew
Date posted: 06.30.2010 (4:00 am) | Write a Comment  (4 Comments)

      Post a Comment

No doubt, today was not a day for the faint of heart. In a day where bad news and horrible US confidence numbers , most of the market moved in one direction..down. It was a bloody day and there were no exceptions to that. The best way to prove it is simply by looking at the best performer among my dashboard for yesterday in the quick news, Shanda Interactive which lost 0,80% of its value.

But while most of the market was looking at the big world economic picture, the tech and mobile industry had a lot to take in.

1-Google moves back in an attempt to remain active in China

With Google now threatened to lose its license to operate in China, it confirmed it would stop forwarding its Chinese users to its Hong Kong, unfiltered website. This was seen as a major attempt to get back into a positive relationship with the Chinese government. Is it too late? Maybe not because Baidu (BIDU) had a dreadful day dropping almost 10% in the day. Why? Because it could lose what is almost a monopoly in the Chinese search space. The conclusion is still some time away but Google would not take such action if it did not think it could get back into China’s good grace.

Just take a look at these charts at 10AM or so…

2-Verizon confirmed as an Iphone carrier

As big of an impact as the Google news was, the impact of this one was much greater and affected many different companies. There had been rumors for years that Verizon would eventually carry the Iphone. It’s no secret that AT&T has not lived up to the expectations of millions of Iphone users who were frustrated but powerless as leaving the carrier also meant leaving their beloved Iphone, But it now seems confirmed that Apple’s exclusive deal with AT&T is about to end and Verizon will offer the device in January 2011!

That has a major impact both for the mobile phone carriers but also all of the other mobile phone companies. First off the carriers! You can imagine that the news was seen as very negative for AT&T (T) and very positive for Verizon (VZ). On the phone side of things, it would be seen as a positive for Apple (AAPL) and a negative for both Google (GOOG) and Research in Motion (RIMM). Both companies will now face increased competition from Apple as its users gain more choice.

Just take a look at these charts at 3PM or so…

3-Foursquare secures $20 million in additional funding

And finally Foursquare. The news out is that the social network secured funding that confirms that for now it will not be purchased by the likes of Facebook or Google. That would certainly have had a negative impact on Facebook if the stock was public. There is no doubt that Facebook would have preferred not facing competition from Foursquare but the price asked to do the deal must have been too high and not worth the investment.

If you liked this post, you can consider subscribing to our free newsletters here


  1. Comment by The Financial Blogger — June 30, 2010 @ 9:38 am

    I would be curious to hear what you think about the announcement of a Great Depression to come from Economic Nobel Prize Winner Paul Krugman.

    Can we really expect that or it is just another economist trying to get the spotlight?

  2. Comment by IS — June 30, 2010 @ 11:51 am

    @TFB – Well Paul Krugman has been very negative about the economy for a long time now, as have many others. I don’t know that we are headed for a depression (doubt it), but I agree that we are going to face major major problems (sovereign debt is probably the biggest)

  3. Comment by Craig — June 30, 2010 @ 1:22 pm

    sounds like a great day of opportunity to me!

    just because an economic freak tells you that the end of the world is near, it doesn’t mean that anything will happen!

  4. Comment by IS — July 1, 2010 @ 9:09 am

    @Craig – True…but things are certainly not going well. Moody’s doing more downgrades today…

RSS feed for comments on this post.

Sorry, the comment form is closed at this time.