Archive for May 8th, 2012

Steve Herrod envisions a world where we create entire data centers using nothing but software. His dream isn’t unexpected. Steve Herrod is the chief technology officer at VMWare. For more than a decade, VMware has helped the world’s businesses move their computing applications onto virtual servers, machines that exist only as software, and now, Herrod and company are working to expand the world of virtual computing, so that applications run atop not only virtual servers but completely virtual networks.




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How A/B testing, the practice of performing real-time experiments on a site?s live traffic, came to rule the web. And why it’s seeping into ever-greater swaths of modern life.




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Google’s daily brainteaser helps hone your search skills.




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Follow The Daily Ticker on Facebook! Pretty much anything is legal in Nevada, so it’s no surprise that the state has become the first in the nation to issue a license to Google (GOOG)to operate its self-driving cars. These cars, you will recall, have been under development for years. And now they have passed a [...]

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Apple’s (AAPL) stock has pulled back sharply in recent weeks, falling ~10% from a high of $645 to $570. This is in part due to the spectacular moonshot the stock enjoyed during the fall and winter, when it blasted from $400 to nearly $650. Apple’s stock has often sold off after moves like this, and [...]

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Follow The Daily Ticker on Facebook! The revival of the U.S. auto industry is a huge economic story and a major issue for the Presidential campaign, especially in the Midwest. On Monday, presumptive Republican candidate Mitt Romney was in the ultimate swing state, Ohio, and spoke directly to the issue of the auto industry’s revival. [...]

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Follow The Daily Ticker on Facebook! The U.S. economy is better off than it was in 2008, although you wouldn’t know it from what you hear on television. It’s a misperception that Dan Gross, co-host of The Daily Ticker and economics editor at Yahoo! Finance, aims to correct in his seventh book, “Better, Stronger, Faster.” [...]

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Follow The Daily Ticker on Facebook! The presidential election is well under way but as President Barack Obama tries to position himself as the defender of the middle-class who will protect the 99% against corporate malfeasance and too big to fail banks, he may find himself in a precarious position. His record does not necessarily [...]

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imageSearch advertising is generally thought to be more powerful than display advertising because when a user searches for something they often have an intent to buy it. Social networks (along with email and other communications services) are amongst the worst places for display advertising on this measure as most users are there to talk with their friends and are not thinking about buying anything. As a result advertisers are only willing to buy ads on these sites at low rates and the general thrust in the industry, led by Facebook, has been to drive up these rates by targeting the ads based on data about the users, and even make them more effective by using information from people’s friends in the ads.

LinkedIn, however, is a little different. As the Financial Times pointed out this morning:

users come to the LinkedIn site with an eye to completing a transaction. They are potential sellers of a good (their professional services) for which buyers (employers) may pay a lot of money.

i.e. they come with intent.

That is why LinkedIn’s first quarter results were so strong. Revenues at $189m were up 101% on the year ago quarter, and net income net income was up 138% at $5m (that’s still low in percentage terms).

I’ve said before I think that sites which leverage social to help us do the things we already do more efficiently will be interesting investments over the next year or two. I stand by that, but would now hold LinkedIn up as an example of a company which has already had success and which fits that investment thesis. I am also refining the thesis to note that some community sites are strong on intent to purchase, which will likely result in superior monetisation.



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