Let’s face it: Everyone in Silicon Valley — one way or another — fashions themselves as the next Steve Jobs.

And why not? Both the professional and even personal story of the legendary Apple CEO — which will be chronicled in November in a major book — are the stuff of tech legend and envy: Iconic, in charge, decisive, elegant, innovative, phoenix-like and visionary.

And, of course, more than just a little bit terrifying.

So why not Larry Page, too, and why not now?

One issue: By temperament and action — by which I mean genetically hyper-competitive and hammer-time aggressive — he’s been more like Microsoft’s Bill Gates, who has been the Yin to Jobs’ Yang in their deeply interconnected careers over the last decades.

As I wrote before Page took over again as Google’s CEO earlier this year:

After our first interview in 2001, my notes on the encounter had this one line underlined and in all caps:

LARRY PAGE=BILL GATES.

It was not meant as an insult, but I can tell you I never wrote such a note about Page’s co-founder, the jokey and affable Sergey Brin.

Even then, Gates had a fearsome reputation as a manically competitive exec, a cutting manner to those not as smart as he clearly is and a reputation as a very tough and often eviscerating boss. (And all that was also my experience whenever I was interviewing him.)

While much wonkier, friendlier and more of a sensitive new-aged male, Page, it seemed to me, had the exact same obvious drive and aggression as Gates.

The latest incarnation of that has been Page’s move — bold for now and we’ll-see later — to buy Motorola Mobility for $12.5 billion, which Google announced yesterday.

By all accounts, Page was the key driver of the deal inside Google, where he now reigns firmly.

Although neither Gates nor Jobs has used acquisitions much as a key weapon in their arsenals, the size and scope of the deal is pure Gates: A focused, overwhelming and competitor-scaring display of might that speaks of industry dominance and play-to-destroy aspirations, masking what is also very reactive.

If Page’s doubling down on mobile reminds you a bit of Gates’s “Internet Tidal Wave” memorandum in 1995, that’s because the move-now tone is the same.

And, also, in that it is more than just a little bit sneaky. Case in point: Google’s yammering on about the importance of Motorola’s patents in the deal. While the patent love is true and an important element, bolstering Google’s own weak portfolio, it’s also a bit of a feint by the search giant, which can simply never come out and say what it is actually up to.

Which is to be the dominant and overwhelming player in the mobile market that Google sees as critical to its future.

“The company obviously wants everyone to focus on the patents, but its ambitions are so much larger in mobile,” said one person close to the situation. “So it underplays as it overplays.”

Indeed, in the time I covered Google, it has always been my experience when the search giant insists stringently on one thing, Page and others are playing a more complex version of “Star Trek” three-dimensional chess.

As the New York Times’ DealBook noted correctly:

If there’s any question about Google’s motivation to own a handset maker rather than just a portfolio of patents, consider this: InterDigital, a licensing company that owns some 8,000 wireless patents and has another 10,000 patent applications being processed, has been up for auction. Many industry insiders were sure that if Google were serious about acquiring a portfolio of patents, InterDigital would be its target. The company’s market value is only about $3 billion and it doesn’t come with all the baggage of Motorola’s handset business.

That’s exactly right, because Page’s ambition is about Google playing a big part in the mobile market — which is humanity’s next critical platform in computing — for its interlocked ecosystem of Google products — from its flagship search to social networking via Google+ to Gmail to its latest Google Wallet initiative to Google Maps to Google Voice.

In other words, it’s a Google world and we all just live in it.

At the heart of it is a desire to make and completely control the object at the center of the virtuous circle: The mobile device, whether it be a smartphone, tablet or whatever doodad you might wear around your neck.

In fact, as I also remember from Google’s earliest days, Page did sport a lot of such contraptions back then, such as a communicator of some sort he once joyfully showed off to me that allowed him to reach Brin quickly. Later, it was a kind of pollution sensor that took its place.

My recollection from that time was that Page adored such objects, visibly inspired by the idea of digital devices that delivered a myriad of helpful and smart services to users as they moved around the world.

You know, like an Apple iPhone, the ground-breaking technical achievement that Jobs rendered unto the world less than a decade ago, changing everything.

With Android and Page’s firm backing, Google quickly and smartly jumped partway into that market with its powerful and fast-growing mobile operating system.

Now, like Jobs, I have no doubt Page wants to own and control the whole value chain to solidify what Google started several years ago and which is its best hope to vault into the next era of computing.

It’s a leap that Gates and Microsoft largely failed at, not for lack of trying — something else Page has to have taken note of.

So, perhaps by making things — maybe even beautiful things like Jobs — Page will transform himself from a Gates into a Jobs.

Or, more likely, a little bit of both.

Until that reckoning, here is a terrific video of Spock playing 3D chess with Captain James T. Kirk — and, yes, he does look freakishly like Page here:

Please see this disclosure related to me and Google.

Related posts

• Google: We’re Spending $12.5 Billion on Motorola to ‘Protect’ Android
• Motoogle: BOOM! The Mobile Business Just Got Completely Blown Up
• Google’s Motorola Deal Will Spur Antitrust Regulators to Action
• Watch Google Android Kingpin — and Motorola Acquirer — Andy Rubin Unplugged (Video)
• Defense Spending: Google Arms Itself With Moto Patents
• Is Google’s Motorola Deal the Break That Windows Phone Needed?
• Should Google Keep Motorola’s Patents and Sell Off the Hardware Business?
• Motorola Could Get Google Closer to Your Living Room — If the Cable Guys Play Along
• U.S. Carriers Silent on Motoroogle, but France Telecom Gives It a Thumbs Up
• Google-Motorola Deal Includes $2.5 Billion Reverse Termination Fee
• Google Can’t Say Hello To Hulu Now. (Can It?)
• More Google news
• More Android news
• More Motorola Mobility news

With the $12.5 billion purchase of Motorola Mobility, the iconic but struggling maker of mobile devices, Google has put a huge stake in the ground in this highly competitive market and thereby shaken up the entire ecosystem.

A lot of this is about patents, as Google CEO Larry Page said in his blog post about the megadeal this morning, and about acquiring a bigger portfolio that Google has long sought for its Android mobile operating system and has been unsuccessful at getting for itself, despite onerous efforts. Since Motorola has been in the mobile arena for so long, it has a large trove of important ones.

But the dramatic acquisition by Google is also a declaration that mobile is more important to it than the skein of alliances it has built for Android with phone makers worldwide, as part of its objective of making it the dominant mobile platform for smartphones and tablets globally.

While Google has been reaching out to other hardware partners to assure them, and has said they all will remain the same in Android-land, the large mobile manufacturers who have placed their trust in Google — especially Samsung or HTC — have to be wondering what to do now.

Make no mistake — they already resent Google from time to time, the way Compaq or Dell has resented Microsoft in the PC business.

But, since Google already showed favoritism to Motorola by letting them do the first Honeycomb tablet, the Xoom (although it didn’t do any good), that discomfort will only increase now.

While Google managed to get them into lockstep on today’s announcement, with a whole Web page titled “Quotes From Android Partners,” each of them using the exact same phrase “defending Android” in their quotes feels a little like they are victims of Stockholm syndrome.

Yes, we concur with everything the Borg tells us to! Defending! Android! We’re Droids too! (Calling Patty Hearst, stat!)

The impact on everyone — from Microsoft and its partner Nokia to Apple to Research In Motion and, also, to all the wireless carriers — will be felt immediately.

And, of course, by government regulators, who have watched warily as Google has marched into business after adjacent business to its core search one.

This deal — which will require approval — is sure to even further put all of Google’s businesses in the crosshairs of rivals, who will agitate for fervent investigations.

While Android has been conceived at Google and has an “autonomous unit” with the company — run by longtime mobile vet Andy Rubin — it has now entered a new and perhaps dangerous phase for all involved, including Google.

Because while such a union is not uncommon in the mobile business — Apple and RIM do software and hardware together and Google has released its own Nexus phone (made by others) — no one has done it via acquisition and in such a definitive way.

And what an acquisition it is. Or, perhaps more accurately, could be.

Please see this disclosure related to me and Google.

Related posts

• Google: We’re Spending $12.5 Billion on Motorola to ‘Protect’ Android
• Motoogle: BOOM! The Mobile Business Just Got Completely Blown Up
• Google’s Motorola Deal Will Spur Antitrust Regulators to Action
• Watch Google Android Kingpin — and Motorola Acquirer — Andy Rubin Unplugged (Video)
• Defense Spending: Google Arms Itself With Moto Patents
• Is Google’s Motorola Deal the Break That Windows Phone Needed?
• Should Google Keep Motorola’s Patents and Sell Off the Hardware Business?
• Motorola Could Get Google Closer to Your Living Room — If the Cable Guys Play Along
• U.S. Carriers Silent on Motoroogle, but France Telecom Gives It a Thumbs Up
• Google-Motorola Deal Includes $2.5 Billion Reverse Termination Fee
• Google Can’t Say Hello To Hulu Now. (Can It?)
• More Google news
• More Android news
• More Motorola Mobility news

(Image courtesy of the United States Department of Energy)

Don’t worry about it, Forbes chairman Steve Forbes tells his staff, via an internal memo which you can read below.

Before we go further: I worked at Forbes for 10 years; I still know lots of folks who work there. Now: The Fortune piece is useful because it details, via internal documents from banker J.P. Morgan, just how badly the bet that Elevation Partners placed on the magazine in 2006 has worked out.

The fact that Elevation (better known as either Roger McNamee’s private equity fund, or Bono’s private equity fund) bought a minority stake in the publisher at close to the market peak has been well known.

But the Fortune piece spells out just how badly timed it was: Elevation’s projections had Forbes generating close to $90 million in EBITDA in 2009; instead, the company had operating losses of $19.7 million. Last year the company went into default on a $90 million credit line.

Fortune also argues that the deal has been a disaster for the Forbes family, but I’m not sure that this is the case. After all, it allowed them to take more than $100 million out of the company while holding on to a majority stake. If they hadn’t done that five years ago, they certainly couldn’t do so today.

Regardless, Fortune does a good job of showing just how precarious life has been at Forbes for the past couple years — as it has been at every business magazine (just ask Portfolio and BusinessWeek) — and the publisher’s uncertain future. Elevation and Forbes have interlocking put and call options that kick in next month, and it will be interesting to see how long Elevation remains a minority owner.

—

Fortune Story on Forbes
Steve Forbes [XXX@forbes.com]
Sent: Thursday, July 28, 2011 9:43 AM
Today Fortune magazine published a story on Forbes with the clear intention of disrupting the business of its most formidable competitor.

Fortune was aware that this was highly confidential, private information and of no value to release to the public. Though the intention is to harm our business, it will not adversely impact Forbes because it highlights a very difficult time in the past when all the media industry was going through unprecedented upheaval.

Forbes has the finest team – you – in the media world today. Forbes is profitable and is successfully navigating these extraordinarily turbulent seas. The company continues to grow and thrive with powerful new strategies and talent.

We are attaching (below) a statement that will be sent later today to the media responding to this article.

Media Statement
Contact: Monie Begley Feurey
SVP Corporate Communications, Forbes Media
XXX@forbes.com

Forbes Media is profitable and in full compliance with all bank loan covenants.

In 2010, as part of a newly formulated strategy, Forbes sold Investopedia for cash realizing a profit on the sale of this investment. The decision to sell this non-core investment was taken
by the board of Forbes Media upon the recommendation of management.

In 2008, Steve Forbes and Tim Forbes, CEO and COO repectively, initiated a reorganization of the company, including the integration of its independent operating units, Forbes magazine and Forbes.com.

They also decided to expand the company management team, which led to the successful recruitment first of Lewis D’Vorkin as Chief Product Officer and then Mike Perlis as CEO of the integrated business.

The last decade has seen unprecedented upheaval across the media industry.Within that decade Forbes magazine, uniquely among its largest competitors, Fortune and Business Week, grew its total readership to record levels – 5.4 million in 2010 – and grew its share of advertising from 33% to 40%. The company also launched 16 local language editions, giving it the largest worldwide brand footprint among business publishers. At the same time, Forbes.com grew to one of the largest and most profitable business websites in the world, with, on average, 20 million monthly unique visitors.

Since 2010, the company has pursued its strategy of putting journalism at the center of social media. This strategy is at the cutting edge of media today, which is why it is garnering support from audiences and advertisers alike.

Elevation Partners are enthusiastic supporters of the direction of the company and have been full participants as these strategies have been developed.

Steve Forbes remains Editor in Chief and Chairman of Forbes Media. Tim Forbes is Chairman of Forbes Digital. The Forbes family remains the controlling shareholder of Forbes Media.

“In the U.S., AT&T and HTC are exclusively bringing this unique user experience to the market later this year,” an AT&T representative told Mobilized. However, the carrier said that full device plans have not been finalized.

AT&T has said it plans to offer at least a dozen Android devices this year as part of a major push to feature devices with Google’s operating system. Products announced so far include phones from Samsung and HTC, Motorola’s Xoom tablet and its Atrix smartphone, which can act as a laptop when plugged into a custom dock.

“It goes without saying this is part of our commitment to have the industry’s best Android portfolio this year,” the AT&T spokesman said.

HTC and AT&T aren’t the only ones at Mobile World Congress looking to harness the power of Facebook. INQ Mobile is showing off its cloud line of Android phones, which feature heavy Facebook integration, while Gemalto has a SIM card that features built-in Facebook support.

So many people have asked Napier about the possibility that Rackspace might be taken out, it’s not hard to detect that his answer is well rehearsed. Rackspace is not for sale, he says, and he won’t comment on any approaches by larger companies it may be fielding. But he clearly doesn’t mind the speculation.

The market certainly is working on the assumption that an acquisition is coming. I talked with Napier on Friday, the day after Rackspace reported quarterly earnings that grew 50 percent over the same period in 2009, which was enough to send Rackspace shares up by more than $3, or more than 8 percent, closing at $40.07–more than twice what it traded for a year ago.

Rackspace will be a giant all its own, Napier insists, before it gets taken out by one of the lumbering tech giants that might like to drop a few billion dollars to absorb it. Ask him Rackspace’s chances of being acquired in the next several months, and he insists the company is not for sale. It sure sounds like he means it, as the growth opportunity that lies before him is just so good. But it’s also clear that he enjoys being in the position of being asked.

It’s a nice sentiment, but organic growth is only going to get you so far. Rackspace will cross the billion-dollar mark in revenue for the first time this year, and it has only $105 million in cash, so the only acquisitions Rackspace can make without going into a debt are small ones like the one last week of Anso Labs that NewEnterprise reported exclusively. The smart money says we’ll get a chance to see how serious Napier is about remaining independent before the end of the year.

NewEnterprise: Let’s talk about your business against the backdrop of the industry you’re in. In the last few weeks we’ve seen both NaviSite and Terremark acquired by larger companies. Clearly there’s some consolidation going on in the Web hosting and cloud services hosting business.

Napier: There is a shift in technology market around cloud. The market is shifting from one where companies do things themselves to buying technology as a service. We think of it as a world that’s going from buying inputs to buying outputs. We think this is a nascent trend and we’re in the first game of a seven-game series. On a macro basis we see this as the biggest growth opportunity in technology. Our strategy is to win the most valuable segment, which we believe is going to be the service segment. So if you look at how the market is developing, you have players like Amazon that’s offering a do-it-yourself cloud. For people who want the lowest price, and can do the work themselves, Amazon is an incredible pick. What we’re focused on is trying to be a service leader. We want to serve companies that want to run a critical app and who want us to run it for them and take accountability for it so they can sleep well at night. Over the past six quarters or so we’ve found ourselves in a crazy good spot. The growth opportunity ahead of us is expanding.

Let’s talk about growth. You don’t have all much cash on the balance sheet, about $105 million or so. You can grow organically, or you can acquire. You’ve made some small acquisitions recently. Is that going to continue?

We are an organic growth company. We have been since inception. The acquisitions we’ve done have been about technology and talent to improve our portfolio and the way we serve customers. We will remain an organic growth company. There are, I think, really two kinds of companies. Those that can grow organically and those that can’t, and so they grow by acquisition. Some companies are good at growing through acquisition. We’re just not. We’re organic growth folks here, so we’re going to stick to that. But we’ll still buy technology, capabilities and talent that we think is critical. As to the consolidation that’s taking place in the industry, it’s a great validation of the growth opportunity. There are some legacy tech and telecom companies that are behind and are trying to buy their way into the game. There was a similar wave of consolidation eight years ago and a lot of our competitors got taken out.

So let me ask the question you’re getting a lot lately. I’ve had three conversations with different people who have each picked three different large technology companies they think should acquire Rackspace. Have you been approached by anyone?

We have a policy not to comment on anything like that all. What I will tell you is that we’re not for sale. We feel like we have a tiger by the tail. I’ve been lucky to be at the company for 11 years and I think the next 11 years look better than the last. We’re not building the company to flip it. We think the market opportunity is such that new giants are going to emerge, and we want to be one of those giants.

Absent a scenario that someone shows up with eight or 10 billion in cash to buy your company, what are your strategic priorities for the year?

There’s a couple. We are making big investments in our product and service portfolio. That’s one. And then number two, we think we have a chance to improve the fundamental economics of our business model. As we make these investments, we’ll add more services and capabilities on top of our basic compute service. This drives up the average revenue for our basic compute which creates better outcomes for our customers and increases our economics. It’s a virtuous cycle. Our average revenue per server has increased for six consecutive quarters.

What are your biggest costs, and what kind of gross margin do you tend to run?

I think of them as investments, but I know that’s just semantics. Our no. 1 investment is technology and the Rackers [employees] that serve our customers. So if you look at the cost of revenue line, a year ago it was 31.5 percent. As of the end of 2010 it was 31.1 percent. We made some improvement. But we’re more focused right now on developing customer loyalty than we are in driving efficiency. It’s early in the game, and anytime a market is going through a period of rapid growth like this, it’s all about winning as many loyal and profitable customers as we can. When the growth slows down someday we’ll focus more on improving efficiencies throughout the business. Even so, in 2010 we grew faster, increased our margin and and improved our return on capital. Those are all difficult things, and we pulled it off.

Whether he is walking the halls of Nokia’s headquarters in Espoo, Finland, or even just buying groceries at the market, Nokia’s chief executive is constantly flooded with suggestions for how the company should regain lost ground.

Elop recalled being at dinner just over a week ago and being approached by three young people who wanted to share their suggestions.

“The three of them couldn’t quite agree on what the right strategy was, but they clearly each had an opinion,” Elop said.

For his part, Elop has deeply considered three possibilities for its high-end smartphone business–sticking with plans to develop around MeeGo (a mobile version of Linux), shifting to Android or adopting Microsoft’s Windows Phone.

Without tipping his hand, Elop spoke with Mobilized last week about the pros and cons of the various options. The interview came before releasing his big “burning platform” memo and literally as the final decision was being made.

For Elop, it came down to which approach would offer enough differentiation and yet would also be part of an ecosystem that would be large enough to attract developers, advertisers, carriers and all the other partners.

“It’s not just differentiation but sustainable differentiation,” Elop said. He also said that as big as Nokia is, it can’t afford to go it alone.

It is also critically important to Elop that the company be more competitive in the United States. Although the company ships more phones worldwide than any other company, its presence in North America is basically nonexistent. And yet, he said, the U.S. is where the pace is set for the high end of the market.

“We need to be in the United States in one way, shape or form,” Elop said. “We have to have a viable way to reopen doors.”

So where did that leave the various options?

Although MeeGo left plenty of room for differentiation, that option would also mean trying to be unique at the same time, as the company would have to convince others to build on the platform.

“For it to be a valid ecosystem, that also implies other [phone makers]–our competitors–would be attracted to it as well,” Elop said. “That’s one of the things that give it critical mass and credibility.”

Although Elop didn’t say so in our interview, his comments in this week’s memo suggest that his confidence there was low.

“We thought MeeGo would be a platform for winning high-end smartphones,” Elop said in his memo to staff. “However, at this rate, by the end of 2011, we might have only one MeeGo product in the market.”

As for Android and Windows Phone, Elop said Nokia could offer a significant boost to either ecosystem.

“Android is growing very nicely; it has significant market share,” he said. “The combination of Android’s existing market share plus the market share that Nokia could bring to the Android ecosystem is a very large number and would signal a very substantial shift in the dynamics of the mobile operating system market.”

As for Redmond’s operating system, Elop said it is early days.

“Windows Phone is in its early formative stages in terms of getting customer traction and so forth. It’s a beautiful product and I say that as someone who is competing with it.”

However, that may not be the case much longer. While Elop was still leaving all doors open when he spoke with Mobilized a week ago, the options appear to have narrowed significantly in recent days. His memo on Tuesday appeared to rule out MeeGo as the best option, while a tweet from Google’s Vic Gundotra suggests Android is out and a tie-up with WIndows Phone is Elop’s final choice.

But, no matter what decision gets made at the high end, Elop said that the company probably needs a separate strategy at the low end of the market, where there is intense competition from Chinese phone makers building phones around low-cost chips from MediaTek.

Friday’s investor meeting will also address other aspects of the company, including its services strategy, its plans for its Navteq navigation unit and its plans to leverage its huge patent portfolio. The announcement also comes just ahead of the cell phone industry’s big trade show, Mobile World Congress, which gets going on Sunday in Barcelona.

Mobilized is here in London and will have live coverage of the meeting, which kicks off at 11 am local time. That’s 3 am PT, so set those alarm clocks early.

In fact, the only place to really find the Palm brand these days is at the Palm.com domain, which, while festooned with HP branding, still includes “Palm USA” in its page titles. Evidently this is what HP meant when it said the Palm brand would “move into the background.”

Judging from Wednesday’s event, the storied Palm brand isn’t even a sub-brand of HP. It’s just a handle for a particular division of the company, though HP insists it’s keeping it around.

“Our future strategy is to continue to build the HP brand in the marketplace,” a company spokesman told me. “Palm is a great brand that is synonymous with mobile innovation and we are delighted to have it in our portfolio of brands allowing us future options.”

That’s a nice enough thought, though it’s hard to see HP ever reviving the Palm brand in the future–not after it’s rebranded the company’s products as its own and announced plans to use them to build “the largest installed base of connected users in the world.” If it succeeds at that, will Palm really be a future branding option? Doubtful.

In that sense, Wednesday’s event wasn’t just a showcase for some slick new webOS hardware, but a eulogy to the pioneering company that made it possible, the company that created the market for handheld devices and shaped that first early vision of mobile computing….

Eh, Oldsmobile was a great brand too, I suppose.

CEO John Chambers said in a company statement that the quarter “played out as we expected” and that the company is “going through a period of transition as we move aggressively in the market with our architectural strategy….Simply put, we are owning our evolution and the next generation of industry leadership.”

That’s a change from the “air pockets” phrase Chambers used to describe the surprise downward in Cisco’s guidance when it last reported earnings in November, and the stock has yet to recover from the drop that resulted. More as I go through the numbers.

4:38 pm: Chambers: Our routing architecture is in the best shape in its history.

Chambers: We are in the middle of a major product transition with dramatically higher price performance advantages. With this in mind we did see our switching revenue decline 7 percent.

4:41 pm: Chambers: We are seeing pricing pressures on our Catalyst portfolio. This is where our competitors are targeting us and this is where we intend to own our evolution.

We are moving very aggressively to prevent any future erosion of our product share.

Services revenue increase 18 percent year over year.

International bookings are okay. Italy was the only country to see a fall.

Enterprise solid. Grew 10 percent year over year. Public sector grew 7 percent. U.S. public sector orders grew 9 percent. [He thinks orders will worsen in this sector in the coming quarters.]

Set-top business declined.

4:44 pm: Initial customer and industry feedback to Videoscape is being received well

4:45 pm: Chambers: There were a number of areas where we are pleased with our progress.

Guidance coming up.

4:47 pm: Q3 revenue 4 to 6 percent year over year.

Q4: 8-11 percent increase year over year.

4:48 pm: As I look, stock is now trading down nearly 4 percent after-hours.

Frank Calderoni, Cisco CFO is now on the call.

Calderoni: There are multiple product transitions in areas such as switching, which, although expected, are happening faster than expected.

4:56 pm: Cash and equivalents: $40.2 billion. Cash flow from operations: $2.6 billion

4:58 pm: Calderoni says Cisco would issue a dividend in fiscal 2011 with a yield in the 1 to 2 percent range.

4:58 pm: Shares now down about 6 percent.

More guidance coming up from Calderoni.

5:00 pm: Q3, we exepect revenue growth of 4 to 6 percent year on year.

That’s with one less week this year than last year.

Q3 we expect non-GAAP operation 23 to 24 percent

EPS 35 to 38 cents per share.

In Q4 we expect 8 to 11 percent growth in revenue year over year.

FY11 will be mid to lower end of 9 to 12 percent given in previous guidance.

5:03 pm: John Chambers is back on the call.

Enterprise orders growth good. Grew high 20 percent range.

Shares are down 9 percent on that “lower range” guidance for the full year.

We believe we are not losing market share with developed-world governments.

This growth will be severely challenged in the next several quarters, and will grow in the low single digit.

5:11 pm: We believe the growth in enterprise will balance out the challenges in government business.

5:12 pm: Decrease in gross margins was affected by several factors.

He says the company has started something called a working group to study the decline in gross margins. What does that mean?

5:17 pm: Shares are within sight of trading down 10 percent after hours.

5:18 pm: Chambers: I think we will look back on this period of time and wish we could have avoided it, but it will make us stronger.

Q&A about to start. Should be interesting.

5:20 pm: Chambers: Bookings were comfortably above the revenues. In terms of momentum in switching I would expect them to be positive.

5:39 pm: Chambers is now talking about tax policy. Echoing a point he’s made repeatedly about bringing cash that’s held overseas into the U.S. He think the taxes are too high.

5:39 pm: Cash in the U.S. is $3.1 billion versus total cash holdings of more than $40 billion. Calderoni is talking about the $3 billion debt offering. He said Cisco has about $3 billion in long term debt that’s coming due soon, and that the debt it’s issuing will carry a lower rate.

I’m going to close this early because I have to make another meeting. I’ll be posting more on Cisco earnings shortly.

As Oppenheimer analyst Yair Reiner said in a note raising his target price on the company’s shares to $425, “It’s no surprise when Apple tops expectations, but it’s fairly rare to see it trounce Street’s targets on almost every line. Bottom line: big as Apple is, it shows no sign of slowing, not with the Verizon iPhone launching in 2Q11 and China growth accelerating to 400% year-over-year.”

Piper Jaffray analyst Gene Munster raised his price target to $483 from $438, observing in a research note that this quarter was the first in three years in which Apple issued EPS guidance above Street consensus (10 percent ahead of the Street). “Apple’s vision for itself as a mobile device company has come to fruition,” he said. “[The company] guided the March quarter more aggressively than it typically guides the out quarter relative to the Street. We see this as sign that it is bullish on the prospect of the iPhone at Verizon.”

At Deutsche Bank, Chris Whitmore slapped a price target of $440 on AAPL. “Apple continues to show impressive growth despite its size and is well positioned to benefit from the confluence of three major product cycles, namely: iPad, Macs and iPhone,” he told clients. “These product cycles coupled with greater geographic expansion (Verizon iPhone, iPad 2, iPhone 5, China expansion, Carrier deals) increases our confidence in AAPL’s ability to continue to outperform.”

At Barclays, Ben Reitzes raised his target to $450 from $420 to account for higher unit sales across Apple’s product portfolio. His take on Q1: “This very strong quarterly report left no holes to punch in the fundamental story. We believe the above-consensus revenue and EPS guidance and new products to come bring potential for further upside. We continue to believe the company is in very capable hands with COO Tim Cook and the rest of the team.”

Raising his price target to $450 from $430, Goldman Sachs analyst Bill Shope said essentially the same thing. “While the news of Steve Jobs’ medical leave may continue to add some headwinds to the share price momentum in the near-term, we continue to believe improving underlying fundamentals and the strength of Apple’s overall management team will counter this uncertainty. In addition to the strength of the December quarter and the recent Verizon iPhone release, we believe the next-gen iPad launch and the June iPhone refresh will serve as critical catalysts in the first half of 2011.”

UBS analyst Maynard Um ratcheted his price target up to $465 from $415, predicting what “could be the largest pre-order & sales ever experienced by Verizon Wireless for the iPhone” and continued success for the iPad. Said Um, “Though there has been increasing concern with regard to ramping competition, we see Apple’s ecosystem and ease of use as offering a more compelling value proposition than its competitors today and expect its tablet market share to more closely match its iPod market share in the mp3 player market rather than its share in the more fragmented smartphone market.”

And, finally, there was Ticonderoga’s Brian White, who took a “F@&k Everything, We’re Doing Five Blades” approach and raised his target price to a staggering $550. That’s about 60 percent higher than the price Apple shares have been trading at recently, a target that if the company were to hit, would value it at $506.6 billion. Said White, “Despite Monday’s news regarding Steve Jobs’s medical leave of absence, we believe it will be difficult to keep Apple’s stock from reaching new highs given the much stronger than expected quarter and outlook reported by the company.”

Bullish, or another word with a lot of the same letters? Hard to say. But as you weigh that question, remember this: This is the 33rd consecutive quarter in which Apple has beaten estimates. And this time it beat them by $2 billion.

For data nerds everywhere, the pinnacle of numerical navel-gazing has, at least since 2005, been Nicholas Felton’s beautifully designed “Annual Reports” on the numbers behind his personal behavior.

He has meticulously recorded, quantified, analyzed and laid out all manner of data from his life in a series that riffs on the annual reports that businesses issue to their shareholders.

Instead of earnings and capital expenditure statements, Felton’s reports are full of numbers like cost-per-mile-run at the gym and how many hours he worked from home versus office.

And now, of course, there’s an app for that.

Daytum, the name under which Felton and his co-creator Ryan Case have released what is essentially a consumer-focused designers’ portfolio project, previously existed only as a Web app to help users track and organize the everyday data of their lives.

The Apple iPhone version, released on New Year’s Eve, puts the sans-serif-chic data collection interface into your pocket and out into the world, where life’s data actually happens.

So, what is it good for?

Felton and Case hope that the app, plus a forthcoming API to their Daytum Web application, will enable more people to see their own data in a new way.

The app is designed to help you begin tagging the pieces of data that you’d like to track.

There’s no automated input. Just tap the screen to create a category of data you are interested in tracking.

Add the category “Lunch” and then set up some recurring fields under lunch. “Sandwich,” for example.

Then, anytime you eat a sandwich, or anything else, for lunch, you can quickly mark it down.

The app allows you to add data points as they happen, even if you don’t have an Internet connection right then.

How else would you track how much money you give to subway musicians each month?

So, we ask again, what’s it good for?

Whether or not you ate a sandwich today, Felton admitted, is not all that interesting. He claims the data of life becomes more compelling in the aggregate.

Maybe you’d like to know how many miles you walked this month, or how your mood correlated with the weather, or if you or your partner changed more diapers this year.

It might not seem like groundbreaking stuff, but the data of a life starts to tell a story when laid out, clean and collected, in Felton’s various visualizations.

Felton said that data’s value comes on may levels.

“It helps you see and share all kinds of stuff about your life–it can be really interesting to people who know you,” he said.

Digitizing the human analog data of the world is certainly a growth area in tech.

Tools have emerged to find out when users are awake via their tweets, there has been major growth in mobile purchase tracking and patents are being awarded to companies that offer deals based on where a person goes.

If the renaissance of this arena is still years off, it might be the perfect time to try to get ahead of the curve and tap the brains of people who are already thinking like it’s 2015.

Felton has spent the last half-decade staring at and organizing his own data and, more recently, the data of others via Daytum.

I asked him what wisdom he might have gained from his unusual pursuit.

“People seem to record binary items really well–things like one drink, or watching one TV show,” he said. “Recording gets harder and less regular when it’s things without a set size or quantity, like when they ate a meal.”

When I asked if he felt suspicious of the businesses that were gathering his data, he came back with something a little deeper.

“I think the walling up of data by businesses is really a missed opportunity, not cause for suspicion,” he said. “Someone knows how long it has been since I called my mother, but I can’t be certain. That information could be valuable to me.”

He added: “Businesses seem to be stuck on the idea of loyalty rewards being about points.”

For Felton, data can be its own reward.

His next data-driven project might bring the whole idea home.

Felton’s father passed away in September, and he’s decided to postpone his 2010 report for something larger and more personal.

So, he will release a single report on all of his father’s 81 years based on data gathered from years of slides, travel postcards, “FasTrak” auto toll payments and myriad other sources.

“I have gotten to know things about him that I never knew while he was alive,” he said. “I’ve learned that he was much better at maths and sciences than English back in school. I can actually quantify that.”

But the question on the minds of so many emerging data-driven businesses is: How well can we know people, our users and consumers based on their data?

Finding that answer seems to be Felton’s personal mission. And in the spirit of his other reports, he will share it, and the tools he uses to find it, with the world.

Still not convinced of what it’s all good for? We’ll let him explain for himself in this video interview:

(Early Adopter is a new column on early-stage start-ups and ideas that will be written weekly by Drake Martinet.)

]]> http://allthingsd.com/20110110/early-adopter-the-daytum-iphone-app-visualizes-your-life-and-lunch-as-data/feed/ 0 http://allthingsd.com/20110105/qualcomm-makes-it-official-grabs-atheros-for-3-1-billion/ http://allthingsd.com/20110105/qualcomm-makes-it-official-grabs-atheros-for-3-1-billion/#comments Wed, 05 Jan 2011 16:42:04 +0000 Arik Hesseldahl http://newenterprise.allthingsd.com/?p=1358 Qualcomm, the chipmaker devoted to the wireless handset business, announced today the first major tech acquisition of the year, and the biggest deal in its history, saying it will pay $3.1 billion in cash for Atheros, a chipmaker whose business is in wireless networking.

As I noted yesterday, there are lots of reasons for Qualcomm to want Atheros, not the least of which is its extensive customer list.

Qualcomm’s specialty has always been in CDMA technology, the flavor of mobile phone technology favored by Verizon Wireless and Sprint, and it collects considerable royalties around its patent portfolio there. It has struggled to penetrate other markets, and last year shuttered its FloTV operation amid minimal demand. The good news was that it sold its FloTV spectrum to AT&T for $1.93 billion, which is no doubt offsetting the cost of this deal. Add that to the $10.3 billion in cash and short-term investments on its balance sheet as of Sept. 26 and this is an easy deal to do.

It’s also the biggest deal in Qualcomm’s history and the first significant one under CEO Paul Jacobs, who is the son of founder Irwin Jacobs.

Atheros shareholders have plenty of reasons to smile today as well. The company’s stock price surged by 19 percent yesterday. At $45 a share, Qualcomm is paying more than Atheros has ever been worth in its entire history as a publicly held company. As Shira Ovide over at Deal Journal notes, its highest price before yesterday was $43.90. Happy New Year, indeed.

I caught up with Qualcomm Executive Vice President Steve Mollenkopf and Atheros CEO Craig Barratt to talk about the deal.

NewEnterprise: Steve, let’s start with you. What got Qualcomm interested in Atheros?

Mollenkopf: Historically Qualcomm has been focused on the cellular phone, though recently we’ve done much more than that. We had some integration relationships with some companies that allow us to deliver a platform to our customers. They’re essentially technical relationships, and one of those companies was Atheros. So we were familiar with them. But the real reason, the why Atheros and why now question comes down to this. We think the industry is moving to a place where a lot of the technology and use cases that are being created as part of the shift to smartphones will be used outside of just phones, and will move into many adjacent spaces. The requirement of technology and different customers overlap a lot with Atheros. They’re a leader in their space, we’re a leader in ours and we want to go into markets that will require the expertise from both of us. It seemed natural, actually.

Craig, the idea for the acquisition seems to have grown out of an existing partnership. When did the talk turn from being Qualcomm’s partner to becoming part of Qualcomm?

Barratt: The partnership has gone on for about five years, where we’ve cooperated on joint reference and designs and software and feature integration. Over the years we’ve broadened out from Wi-Fi, Bluetooth, GPS, powerline and optical networking. We do have a much more horizontal business. Qualcomm has a very strong vertical business. Through our partnership we saw the teams had a good cultural fit, the engineering teams really respect each other. When we looked at our own strategic imperatives over the long term, we saw that cellular technologies are going to be applied in a much broader markets over time, beyond just smartphones and tablets. There’s an intersection between the Qualcomm technology and our technology, and that’s only going to increase. You’ve probably heard that set-top boxes and things like that are going to start to run Android. So a lot of these mobile technologies are going to start showing up in things like the connected home. Strategically it all started to make sense.

And what will your new job be at Qualcomm?

Barratt: After the acquisition closes, which should be in the first half of 2011, my role will be president of Qualcomm Networking and Connectivity, reporting to Steve.

Steve, if I’m not mistaken, this is the biggest deal that Qualcomm has ever done.

Mollenkopf: You’re correct. For us on the Qualcomm side this is a big step toward expanding our business beyond our traditional platform business and we’re doing it in a way that is in line with how the industry is changing. A lot of the things we’ve been doing with Atheros are things we’ve already been doing as part of our relationship, so this is a natural next step.

]]> http://allthingsd.com/20110105/qualcomm-makes-it-official-grabs-atheros-for-3-1-billion/feed/ 0 http://allthingsd.com/20101229/seventh-person-arrested-in-insider-trading-probe/ http://allthingsd.com/20101229/seventh-person-arrested-in-insider-trading-probe/#comments Wed, 29 Dec 2010 20:17:54 +0000 Arik Hesseldahl http://newenterprise.allthingsd.com/?p=1171 The FBI has arrested another person in the ongoing investigation into the sharing of insider information with investors by consultants working for so-called expert firms.

The latest to be arrested is Winifred Jiau, 43, of Fremont, Calif. Like others charged or arrested on Dec. 16, she has ties to Primary Global Research. She’s accused of providing inside information to Primary Global clients who were portfolio managers at hedge funds of Nvidia and Marvell Technology during a period from 2006 to 2008. Prosecutors say she collected $200,000 during that time. She’s facing charges of conspiracy and securities fraud.

In August of 2008, the complaint says, she provided managers of two hedge funds with detailed numbers for quarterly revenues, per-share earnings and gross margins for the quarter ending that month. The complaint says that in the conversations she made it clear she had obtained the information directly from an employee of Marvell. The funds in question–they were not named in the complaint–allegedly made $820,000 on trades from the information.

On Aug. 8, 2008, the complaint says, Jiau provided the hedge fund managers with an early look at Nvidia’s quarterly revenue and told them it planned to announce a stock buyback, which it did four days later.

I’ve embedded the complaint below.

Jiau, Winifred Complaint

]]> http://allthingsd.com/20101229/seventh-person-arrested-in-insider-trading-probe/feed/ 0 http://allthingsd.com/20101216/motley-crew-microsoft-apple-oracle-and-emc-in-novell-patent-grab/ http://allthingsd.com/20101216/motley-crew-microsoft-apple-oracle-and-emc-in-novell-patent-grab/#comments Thu, 16 Dec 2010 21:43:55 +0000 John Paczkowski http://digitaldaily.allthingsd.com/?p=54480 An interesting new development in the big Novell patent sale that went down in November. Turns out that CPTN Holdings LLC, the Microsoft-led consortium that purchased the 882 patent portfolio, includes quite a few other industry heavyweights. According to a Dec. 9 merger notification posted by the Bundeskartellamt–Germany’s federal cartel office–other members of CPTN Holdings include Apple, Oracle and EMC.

Which is intriguing.

Because while companies do sometimes ally to pool patent rights, this seems an…unusual alliance. Why are these patents–which presumably cover networking, virtualization and data center technologies–important enough that Microsoft, EMC, Oracle and Apple would create an LLC to acquire and cross-license them? That’s not entirely clear, though a source inside one of the four companies tells me it was essentially an alliance of convenience.

“We get to buy in at a cheap price and get a license to a very valuable portfolio,” a source inside one of the four companies told me. “It’s cheap defensive insurance.”

]]> http://allthingsd.com/20101216/motley-crew-microsoft-apple-oracle-and-emc-in-novell-patent-grab/feed/ 0 http://allthingsd.com/20101203/53576/ http://allthingsd.com/20101203/53576/#comments Fri, 03 Dec 2010 11:04:33 +0000 John Paczkowski http://digitaldaily.allthingsd.com/?p=53576 The all-new QNX operating system that will debut on Research in Motion’s forthcoming PlayBook tablet may well rejuvinate the BlackBerry when it replaces the smartphone’s aging BlackBerry OS. And it may herald a promising new period for the company, but only after RIM has negotiated a potentially painful transition.

Depending on how long it takes, the switch to QNX could cause RIM to suffer some share loss in the smartphone market, particularly its high end. That’s the theory put forth by Canaccord Genuity analyst Mike Walkley, who believes RIM’s going to have a tough time maintaining market share in higher-end smartphones given the execution risks involved in rolling out a new OS and related portfolio of products.

Says Walkley, “We believe RIM will likely lose high-end smartphone market share and higher-end North American subscribers over the next several quarters due to limited new high-end product launches ahead of new QNX smartphones combined with improving competitive smartphone offerings such as the Samsung and HTC Android based smartphones at most carriers.”

And the iPhone, likely launching at Verizon early next year, won’t make things any easier. The PlayBook, of course, has and will continue to drive upside in the months ahead–assuming its launch goes smoothly and it is as well-received as investors seem to hope. But it too faces rivals formidable enough that Walkley doesn’t see it selling much more than 1.75 million units in C2011.

“We believe the PlayBook will struggle to compete against the iPad given the large ecosystem of applications for the iPad and the form factor and GUI of the iPad versus the PlayBook,” he concludes. “Further, we anticipate several Android-based tablets launching in 2011 at very aggressive price points and potentially running the Android 3.0 (Gingerbread version) and we anticipate an increasingly competitive environment.”

]]> http://allthingsd.com/20101203/53576/feed/ 0 http://allthingsd.com/20101001/apotheker/ http://allthingsd.com/20101001/apotheker/#comments Fri, 01 Oct 2010 10:15:51 +0000 John Paczkowski http://digitaldaily.allthingsd.com/?p=49828 Hewlett-Packard’s decision to appoint former SAP (SAP) chief Léo Apotheker as CEO was a move few industry observers saw coming. “It’s a bit of a head-scratcher,” one veteran software executive told me, noting that an enterprise guy like Apotheker wasn’t an obvious choice to head HP, a company whose strengths lie in hardware and consumer technology: “It’s not just that he’s not from inside HP, he’s not from inside the country.”

If you didn’t foresee Apotheker’s appointment–and it seems few, if any, did–you can be forgiven your surprise, because the executive was apparently low enough on the list of external candidates that his name didn’t make it to the rumor mill. I’m told his name fell below those of candidates like former Compaq CEO Michael Capellas, IBM (IBM) software chief Steve Mills and his colleague Ginni Rometty, senior VP of the sales, marketing and strategy unit, none of whom was interested.

Apotheker, on the other hand, was–an important qualification.

And, for what it’s worth, HP (HPQ) insists he was the company’s first choice for CEO.

“Our board of directors cast the net very far and very wide both internally and externally,” HP director Bob Ryan said during a conference call this morning. “We ended up with six people who could have done the job. We decided Leo was the best and he was the only one we offered the job to.”

And by tapping him as CEO, HP has finally filled its leadership vacuum and under Apotheker may begin charting a more aggressive course in the enterprise systems and software markets. As TBR analyst Stuart Williams wrote yesterday, “ Apotheker fills a gap in HP’s expertise. HP is now a three-way player: HP is confident that hardware and services are on positive trajectories, and is once again filling out its portfolio by strengthening the third leg of the IT stool: hardware, software, and services.”

]]> http://allthingsd.com/20101001/apotheker/feed/ 0 http://allthingsd.com/20100802/yahoo-restructures-u-s-ad-sales-force-with-no-new-head-but-apparently-a-lot-of-prince-charmings/ http://allthingsd.com/20100802/yahoo-restructures-u-s-ad-sales-force-with-no-new-head-but-apparently-a-lot-of-prince-charmings/#comments Mon, 02 Aug 2010 20:30:48 +0000 Kara Swisher http://kara.allthingsd.com/?p=31615

Yahoo announced today that it was restructuring its advertising sales force, after being without a head of its key U.S. unit since mid-March.

Big news: No new top ad sales exec.

Instead, several North American sales execs with larger portfolios will report directly to Hilary Schneider, who is in charge of the Americas for Yahoo (YHOO).

“This elevates the strong talent and brings a broader set of voices one step higher in the organization,” said Schneider in an interview today. “The marketplace is changing rapidly and bringing complete solutions is really the mantra of where the market is going.”

This move is a shift from the direction Yahoo had been heading in since Joanne Bradford stepped down as head of U.S. revenue and market development for Yahoo in mid-March.

Schneider had been leading the search for an external replacement for Bradford, using star headhunter Jim Citrin of Spencer Stuart.

The company apparently was unable to land the kind of prominent name Yahoo had been seeking for the job, after trying to attract several well-known candidates and rejecting others.

“Our leadership in sales is the strongest to date,” said Schneider, explaining the new structure for its ad sales force. “I have kissed a lot of frogs over the years, but it turned out the Prince Charmings we always needed were back at the ranch.”

(Frogs? Prince Charmings? On a ranch? Block that metaphor, although BoomTown will go along anyway!)

“Each of our leaders has strong relationships with advertisers and they know and trust each other,” said Schneider. “I will be consolidating the operational hub and directly managing it this time.”

Among the changes:

Mitch Spolan, the 11-year Yahoo veteran who is in charge of North American field sales, will also pick up responsibility for agency development and relationships.

Seth Dallaire, who has been running mid-market sales, will now be in charge of channel sales, reseller relationships and new and emerging formats, such as video, local, social and mobile.

Frank Weishaupt, who has been in charge of marketplaces, will add sales operations and training and sales development to his portfolio.

Lastly, Jim Stothard, who has been in charge of account management, will be leaving Yahoo for personal reasons, but will be working with Schneider to find his replacement.

Schneider said the new sales structure will eliminate a layer of management to better focus on improving advertising sales

That’s important, due to Yahoo’s recent quarterly earnings report, in which it posted flat revenue compared to last year, despite a recovery of the display advertising market.

Display is an area in which Yahoo (YHOO) has long dominated, although Google (GOOG) and others have stepped up competitive efforts aggressively.

So, the slowness in filling the company’s key sales position has had a lot of people inside Yahoo a little jumpy, because of the importance of firm leadership in the premium display online ad business in which the Internet giant needs to keep excelling.

Microsoft (MSFT) recently hired one of the people Yahoo had considered–former MTV Networks ad exec Carolyn Everson–for its head of sales.

With Everson and others not panning out, one hope was that Patrick Keane, CEO of Associated Content, which Yahoo just acquired, would take the job. But sources said he declined the offer.

Yahoo also had eyeballed internal candidates, but it seems to have decided to simply kiss, oops, elevate almost all of them.

Said Yahoo in its official statement about the changes:

“Yahoo! is committed to maintaining and strengthening partnerships with advertisers and agencies, and has a long history of sales leadership in the industry. The North American sales organization will now report directly to Hilary Schneider, EVP of the Americas. This organizational change will elevate the strong executive talent at Yahoo! and accelerate our momentum in the marketplace.”

]]> http://allthingsd.com/20100802/yahoo-restructures-u-s-ad-sales-force-with-no-new-head-but-apparently-a-lot-of-prince-charmings/feed/ 0 http://allthingsd.com/20100614/outcasts-wennmachers-joins-andreessen-horowitz-as-partner/ http://allthingsd.com/20100614/outcasts-wennmachers-joins-andreessen-horowitz-as-partner/#comments Tue, 15 Jun 2010 02:20:13 +0000 Kara Swisher http://kara.allthingsd.com/?p=29474

Margit Wennmachers (pictured here), one of Silicon Valley’s leading public relations and communications execs, is joining Andreessen Horowitz as a partner.

Wennmachers, 45, co-founded OutCast Communications, whose clients include Yahoo (YHOO), Facebook and Andreessen Horowitz.

The move will make her one of a handful of women at high-profile venture outfits.

At Andreessen Horowitz, she’ll focus on bringing marketing expertise to the firm and its portfolio companies, starting in September.

“For me, it’s a chance to build a top-notch VC firm and work with talented entrepreneurs, so what’s not to like?” wrote Wennmachers in an email to BoomTown (who got off a horse in Wyoming to write this).

Andreessen Horowitz has made a big splash since it was created a year ago with $300 million in funding. Its portfolio of high-profile companies includes Skype, RockMelt and Zynga.

Wennmachers got to know both Marc Andreessen and Ben Horowitz when they hired OutCast to launch their firm last year. Andreessen Horowitz will continue to be an OutCast client.

OutCast was founded 13 years ago by Wennmachers and Caryn Marooney. It was bought by Next Fifteen Communications in 2005, but has been operated independently ever since and will continue to be.

In fact, Marooney will continue to run OutCast, which has more than 80 employees in San Francisco and New York.

Its clients reflect a breadth of Web and other companies–big and small, public and private–also including AdMob, Aliph, Amazon (AMZN), Autodesk (ADSK), Bloom, VMware (VMW), salesforce.com (CRM), Code Advisors, Cisco (CSCO), Zimbra and Netflix (NFLX).

“OutCast is the best in the business. Between VMware, salesforce.com and Facebook, they have an outstanding track record of working with the best companies and making them more valuable,” said Andreessen. “We are thrilled that one of the founders has decided to join our firm. Margit’s experience in building brands will be a big asset to Andreessen Horowitz and our portfolio.”

]]> http://allthingsd.com/20100614/outcasts-wennmachers-joins-andreessen-horowitz-as-partner/feed/ 0 http://allthingsd.com/20100409/twitter-will-look-different-in-some-way-some-day/ http://allthingsd.com/20100409/twitter-will-look-different-in-some-way-some-day/#comments Fri, 09 Apr 2010 11:39:22 +0000 Peter Kafka http://mediamemo.allthingsd.com/?p=18370 The Twitter world is still trying to figure out how to interpret investor Fred Wilson’s “inflection point” blog post about the service’s future. But here’s a less controversial piece of news: Twitter may be getting a new look.

Doug Bowman, Twitter’s creative director, has posted a small screenshot of what he says “may be a significant redesign.”

Drumroll…

Okay! So. When are we doing to see the rest of it? Why will we care? Bowman won’t say. “Not final yet. What we can show without giving away the farm,” he writes.

In the absence of other information, there’s no choice but to speculate wildly about what Bowman is up to. So this may help: Check out the designer’s portfolio, which includes overhauls of Google’s (GOOG) Blogger and Calendar services, as well as Wired News. Enjoy.

]]> http://allthingsd.com/20100409/twitter-will-look-different-in-some-way-some-day/feed/ 0 http://allthingsd.com/20100326/confirmed-intellectual-ventures-owns-smart-phone-motion-control-patent/ http://allthingsd.com/20100326/confirmed-intellectual-ventures-owns-smart-phone-motion-control-patent/#comments Fri, 26 Mar 2010 07:01:50 +0000 John Paczkowski http://digitaldaily.allthingsd.com/?p=37367 Patent #7,679,604, “Method and apparatus for controlling a computer system,” the broad motion-control patent I’ve been writing about all week, has passed through a number of hands over the years. First assigned to ArrayComm in 2006, it was subsequently handed over to Durham Logistics, a limited liability company that is itself managed by another obscure Las Vegas LLC called Memscom.

But there’s one more company at the end of that oblique line of ownership: Intellectual Ventures, an “invention capital firm” or patent troll, depending on your views on innovation and intellectual property.

Over the past few days, multiple sources with knowledge of the patent have told me it is owned by Intellectual Ventures. And now Intellectual Ventures has confirmed this. The company operates Memscom LLC, which operates Durham Logistics LLC, and through Durham, owns patent #7,679,604.

According to intellectual property consulting firm Avancept, Intellectual Ventures is linked to some 1,110 shell companies and affiliated entities. Evidently, Memscom and Durham Logistics are two of them.

Patent #7,679,604 is just one of many that Intellectual Ventures owns through that pair of LLCs. The U.S. Patent and Trade Office lists 29 patents and patent applications assigned to Durham Logistics (see list below; click to enlarge), all of which were first developed by ArrayComm, the wireless communications software company founded by cellphone pioneer Marty Cooper.

Among them, #6,834,249, a motion-control patent nearly identical to #7,679,604, that was granted in 2004 after a 2001 application and would seem to predate many of the motion-sensing smartphones currently on the market.

What does Intellectual Ventures intend to do with these patents? Well, that’s obvious, isn’t it? Said an Intellectual Ventures spokesperson: “We don’t currently have specific plans to announce regarding any asset(s) in particular, but we are actively talking with customers about licensing our invention portfolio on fair and reasonable terms.”

COMPLETE COVERAGE:

• New Motion Control Patent Could Shake Up Smartphone Industry
• Smartphone Motion Patent’s Authors Are Google, Apple Engineers
• Confirmed: Intellectual Ventures Owns Smartphone Motion-Control Patent

]]> http://allthingsd.com/20100326/confirmed-intellectual-ventures-owns-smart-phone-motion-control-patent/feed/ 0 http://allthingsd.com/20100308/htc-may-bring-knife-to-apple-gun-fight/ http://allthingsd.com/20100308/htc-may-bring-knife-to-apple-gun-fight/#comments Tue, 09 Mar 2010 00:08:40 +0000 John Paczkowski http://digitaldaily.allthingsd.com/?p=36333 When Apple first filed its lawsuit against HTC, I speculated that one reason Cupertino might have chosen the company as a target–beyond the sheer number of Android and Windows Mobile devices it manufactures–is that as a contract manufacturer, HTC may lack the strong patent portfolio needed to defend itself. It seems this is indeed the case.

A Deutsche Bank analysis of yearly patent filings by Apple (AAPL), HTC and Google (GOOG) reveals that Apple is by far the leader and HTC the laggard. Over the past few years, Apple has amassed some 3,000 patents, HTC just 58.

“HTC has had comparatively few patent filings leading up to the introduction of the original iPhone in June 2007,” Deutsche Bank analyst Chris Whitmore explained in a note to clients this past weekend. “Specifically, HTC filed zero patents with the US Patent office between 2004 and 2007 while Apple filed 507 and Google filed 67 over the same period.”

Now, Deutsche Bank’s analysis doesn’t categorize any of these patents, so it’s impossible to say which apply to Apple’s suit against HTC. But the paucity of patents held by the latter certainly suggests it could find itself at a severe disadvantage in this battle.

UPDATE: Here’s a bit of additional perspective on this from Engadget’s resident patent expert Nilay Patel:

Hey, just caught your piece on HTC’s patent portfolio. It’s interesting, and I agree with your reasoning on why Apple chose HTC over, say, Motorola, which has 1000s of patents, but remember that Apple’s entire portfolio doesn’t really matter here–it only picked 20 to litigate, and it only has to win one claim. Similarly, HTC only has to find one of its 58 patents that the iPhone infringes, which isn’t necessarily impossible since HTC’s portfolio is probably entirely mobile-oriented. I’m sure HTC will countersue here–it’s basically standard practice in this type of suit. I’d also expect Google to be named sooner rather than later–there’s no way HTC’s contract with Google doesn’t have a rock-solid indemnification clause.

Further Reading:

• Apple Sues Nexus One Maker HTC Over iPhone Patents
• Apple Sues HTC [Complete Court Filings]
• Apple vs. Google: Game On

]]> http://allthingsd.com/20100308/htc-may-bring-knife-to-apple-gun-fight/feed/ 0 http://allthingsd.com/20091209/first-round-capital-forces-its-startups-to-sing-for-their-supper-and-your-holiday-card/ http://allthingsd.com/20091209/first-round-capital-forces-its-startups-to-sing-for-their-supper-and-your-holiday-card/#comments Wed, 09 Dec 2009 20:50:42 +0000 Peter Kafka http://mediamemo.allthingsd.com/?p=13798 Some of you really enjoyed last year’s edition of the First Round Capital holiday card, which featured the VC firm’s portfolio companies “dancing” a la 2008′s “Where the Hell is Matt?” viral video.

Alas, I don’t think this year’s version is nearly as entertaining. But Susan Boyle fans, who include at least one of my bosses, may get a kick out of it.

Also, people who like watching Web darlings like Xobni, Mint and Get Satisfaction try to warble along. By the way, anyone want to tell us what “stealth” company Swipely is up to? Looks credit cardy.

First Round Capital 2009 Holiday Card from First Round Capital on Vimeo.

]]> http://allthingsd.com/20091209/first-round-capital-forces-its-startups-to-sing-for-their-supper-and-your-holiday-card/feed/ 0 http://allthingsd.com/20091109/accel-partners-feels-like-a-billion-dollars-today-no-really/ http://allthingsd.com/20091109/accel-partners-feels-like-a-billion-dollars-today-no-really/#comments Mon, 09 Nov 2009 20:24:08 +0000 Kara Swisher http://kara.allthingsd.com/?p=20399

Who said the venture capital industry is sucking wind lately?

Well, it is–but not today, and especially, not Accel Partners, which sold two of its portfolio start-ups to large public companies for a total of $1.5 billion.

That would be the sale of AdMob to search behemoth Google (GOOG) for $750 million in stock and the acquisition of Playfish by gaming giant Electronic Arts (ERTS) for about $300 million (plus an earn-out of up to $100 million for Playfish staff).

While Accel shared the AdMob largess with Sequoia Capital and others with a stake in AdMob, which focuses on mobile advertising, and shared its social-gaming winnings from Playfish with Index Ventures, the Palo Alto, Calif.-based VC firm can surely afford to choose the pricier bottle of wine this week.

(Also, apropos of nothing, Accel Partner and Facebook board member Jim Breyer is now officially paying for the lunch he still owes me!)

Playfish had raised a total of $21 million in funding, while AdMob had pulled in about $47 million.

“I think you can imagine we are very pleased,” said Rich Wong, the Accel partner involved with AdMob, in an interview this morning. But he would not give any specifics about what Accel hauled in for its portion of the two companies.

Still, Wong said the venture market in Silicon Valley and elsewhere was definitely “stabilizing,” noting that there has been an increasing number of exits for investors via big companies scooping up strong start-ups.

“AdMob and Playfish are strong players in their respective spaces and in leading categories,” said Wong. “Their sale is a sign that this kind of innovation is important to major companies.”

And, apparently, to Accel.

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