AOL's Ad Turnaround Still Isn't Here Yet

But Wall Street wasn’t expecting Tim Armstrong to say otherwise.

Why the Music Business Needs a New iTunes–Or Something: Universal Music Sales, Profits Drop Again

As Apple gears up for its music-themed event, a reminder of how the music business is actually doing: Not too well. At least if you use the world’s biggest music company as a proxy.

Blockbuster Lays an Egg

Blockbuster shares are down sharply today after reporting another disappointing quarter. While Q4 revenue met Street expectations, adjusted EBITDA came in at the low end of the pre-announced range. The company continues to mull restructuring options, plans further store closings, and has cut capital spending to “maintenance levels.”

Dude Web Site Publisher Breaks Into Games (Heh heh. Heh heh.)

Break Media, which specializes in Web video and Web sites aimed at young men, is getting into yet another crowded marketplace: Social Web games. CEO Keith Richman explains.

Palm Disappoints

The second-quarter loss Palm reported Thursday afternoon was narrower than the one it reported last year, but still fell far short of what Wall Street had been expecting. The company did manage to ship a total of 783,000 smartphone units during the quarter, though, a five percent decrease from last quarter but a year-over-year increase of 41 percent.
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Sprint Undervalued by as Much as 50 Percent? Keep Dreaming…

If Sprint, as Barron’s recently claimed, deserves more respect on Wall Street, it’s not going to find it at Pali Research, which clearly does not see the same 50 percent upside potential in the company’s shares. In a note to investors this morning, Pali analyst Walter Piecyk says he’s not buying predictions about Sprint returning to growth in 2010.
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UGO, Hearst’s Dudes/Gaming Site, Needs a New CEO

UGO, the dude-centric videogame site that Hearst bought for $100 million two years ago, needs a new CEO. J Moses, who co-founded the company in 1998, left in June, as did Michael McCracken, his longtime COO. The company is currently being run by Hearst Interactive president Ken Bronfin.
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Facebook’s Zuckerberg: $10 Billion Is a “Fair” Valuation

Looking for lots of specifics about the $200 million at $10 billion valuation deal that Facebook and Digital Sky Technologies just announced? Then you have come to the wrong conference call, my friend. But for what it’s worth, Facebook CEO Mark Zuckerberg did sound fairly upbeat and confident during his chat with reporters Tuesday morning–the way you’d expect someone who just cashed a check for a couple hundred million to sound. The big picture: Even though Facebook’s official valuation has slid from $15 billion (November 2007, when Microsoft invested) to $10 billion, Zuckerberg is OK with that, arguing that 1) that deal was done at the peak of the market, and 2) it was never really a financial deal, but a way for Microsoft to partner up with Facebook.

Apple Pre-Game Roundup: Gabelli Downgrades, RBC Ups Target; Kaufman Raises Ests; Citi Sees Huge Margin Beat

With Apple due to report earnings after the close Wednesday for its fiscal second quarter ended March 30, the Street is in full-scale jockeying-for-position mode. The general sense is that the company will beat its guidance easily, while likely issuing a conservative forecast for the June quarter.

Virgin Mobile Q2 Sub Losses Not as Bad as Forecast

Virgin Mobile (VM) posted Q2 revenue this afternoon of $317.4 million and profits of 7 cents a share, better than the Street consensus of $314 million and 2 cents. The company posted net service revenue of $291.4 million, in line with its forecast of $285 million to $295 million.