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Apple's Latest Product Is Not A Game Changer (AAPL, GOOG)

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eddy cue

After a slight delay, Apple took the wraps off its cloud-based music service, iTunes Match, last night.

After a few problems, I have the product working (mostly) as advertised. Overall, I think it's good, but I don't think it's going to appeal to the majority of iTunes users, and it won't slow the ascent of products like Spotify and MOG.

Unlike rivals, iTunes Match doesn't offer unlimited music for a monthly fee, or streaming of your songs for free. Instead, it takes the music you've already gathered through the years -- legally, or illegally -- and it stores it remotely on Apple's servers. The songs then appear in the music app on your iPhone, or iPad. You download the tunes to your gadget to hear them. You can listen to the song as it downloads, because it's a progressive download.

Apple is charging $25 per year for iTunes Match. At $2 per month, I think it's worth it, but I have 10,000 songs and I wanted access to all of those songs at all times. If you're happy just loading up your iPhone with a handful of songs at a time from iTunes, then skip iTunes Match.

Before diving in further, I should note that iTunes Match had a bumpy launch last night. iTunes was freezing on me repeatedly as I tried to use it. I had iTunes Match running for 12 hours and it still hadn't scanned and matched my entire music collection.

I'm not alone. Peter Kafka at All Things D said, "I spent several hours futzing with the service last night, and found it balky. But I’m guessing that, just like its iCloud launch last month, Apple will work out many of the kinks over the next couple days."

Putting that aside, I had 70% of my music uploaded to Apple's cloud service, so I have a pretty good feel for how it works.

While I'm happy with iTunes Match overall, I see two big problems, and one small one: It is backwards looking, it locks you into Apple, and sharing through iTunes is still terrible.

Streaming services like MOG and Spotify deliver all the newest music for $10 a month on your mobile phone. For $2 a month with iTunes Match you're only hearing the old music you've enjoyed. If you're interested in hearing the latest music, then you're better off with MOG or Spotify.

Those same streaming services work across a number of gadgets/platforms: iPhones, Android phones, Windows Phones, Android tablets, Facebook, Kindle, and the web.

iTunes Match only works on Apple devices, and iTunes. Well, iTunes with a hitch. I've used iTunes on more than 5 computers, and Apple told me to deauthorize one of those computers. I have no idea how I'm going to do that since I've ditched two old Macs.

Anyway, if you're happy being locked into Apple's world, then this is no big deal. And if you buy less than 10 albums a year, then you probably don't need MOG or Spotify.

I wish Apple had made Ping a better service. I still can't tweet or share songs I'm listening to on Facebook through Apple. At least not easily. Music can be, and should be, social.

That small quibble aside, I like the look and feel of the Music app on my iPhone. I hate the user interfaces on Spotify and MOG. It's a real pain to create a collection of albums and songs I like. I prefer iTunes, which lets me scroll through all my music.

With iTunes Match I'm listening to a bunch of songs I haven't heard in a long time, which has been fun. And makes it well worth the price of admission.

The final verdict on iTunes Match: If you have a big collection of songs, it's worth $25 to have it on Apple's servers, allowing you to access them from anywhere. 

Worried about missing the newest music? I would recommend using iTunes Match with the free Spotify desktop application. Spotify offers a free-with-ads streaming service for the desktop, for now. If you want to sample new albums, you could use that. If you really like an album, then you can buy it on iTunes and have it on your phone.

For a complete look at how iTunes Match works, and doesn't we've put together a shot by shot gallery of it.

First, install the latest version of iTunes. I had to do a manual install, a general software update didn't work



Once the new iTunes is installed, sign up for iTunes Match.



Oops! This is what happened when first tried the service: "iTunes Match is temporarily not accepting subscribers. Check back later."



See the rest of the story at Business Insider

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Apple Is On A Hiring Binge, Looking For The Best Execs To Make iCloud Better (AAPL)

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Apple is looking to hire high level executives with web-software experience, the Wall Street Journal reports:

It has approached at least one prominent Internet entrepreneur since at least earlier this year about a possible position, according to these people, who say the details of the possible job were unclear. The company has also discussed its needs with recruiters, one of the people said.

It's part of Apple's plan to expand its web-based applications and services to compete with Microsoft and Google. iCloud is a starting point for all of this, but if Apple wants to remain relevant it's going to take a much more expansive approach to web-based services.

The company has been hiring lower-level employees from Yahoo and Quantcast, according to data on LinkedIn, says the Journal.

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THE APPLE INVESTOR: Investors Value Apple On Products, Not Innovation (AAPL)

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Macbook Pro Apple StoreAAPL Off As Market Drops
Stocks are down for the sixth trading day in a row on light volume due to the holiday week as consumer sentiment misses slightly and jobless claims tick higher. Shares of AAPL are off with the rest of technology. Catalysts include iPhone upgrade cycles and adoption; update to the iPad in early 2012 (see below); continued market share growth of the Mac business line; penetration in China and emerging markets (see below); the evolution and potential re-conception of Apple TV; and platforms such as mobile advertising (iAd), books / publishing, gaming, mapping and social (Ping). Shares of Apple trade at 8.2x Enterprise Value / Trailing Twelve Months Free Cash Flow (including long-term marketable securities).

Investors Value Apple On Products, Not Innovation (Asymco)
In recent interviews with the buy side, Asymco's Horace Dediu is convinced that the investment thesis of the funds that control 70% of Apple's shares is that the company is a sum of its current product line and nothing more. He says, "As soon as one growth wave was seen to start to fade, investors would say the same thing: Apple is done." As an example, the stock went up when the iPod was hot in 2005 and when it looked like sales were fading, fell in 2006. In thinking about it this way, "Apple without the products will intrinsically be valued at zero."

Apple To Becoming Largest PC Maker Next Year, Including Tablets (Canalys)
Including tablets, Apple will probably overtake HP as the top PC maker by the second half of 2012, claims research group Canalys. Analyst Tim Coulling believes that Apple's traditional PC market share has grown from 9-15% in the span of a year. As for the combined PC / tablet projection, the release of the iPad 3 next year is expected to be a significant boost to Apple's numbers. As it is, Apple rose to the number 2 slot during the third quarter this year.

Asia Is Apple's Biggest iPhone Opportunity (AppleInsider)
Morgan Stanley analyst Katy Huberty estimates that carrier expansion has driven about 50% of overall cellular subscriber growth globally since 2008. She notes that investors are underestimating the significance carrier growth will play in driving iPhone sales. The iPhone could see huge sales numbers in untapped Asia, as only 22% of carriers sell Apple's handset. That compares 56% in North America and 36% Western Europe.

Speaking Of Asia, iPhone 4S Close To Mainland China And Launching In Taiwan (Various via iDygest)
Reports are coming out that the iPhone 4S has just been approved by China’s Ministry of Industry and Information Technology. Meaning Apple’s new smartphone is getting closer to launching in mainland China (it's already available in Hong Kong). Additionally, the three largest mobile telecom carriers in Taiwan will jointly launch the iPhone 4S around December 14-16.

The iPad 3 Could Ship As Soon As January (CNet)
Richard Shim, an analyst at DisplaySearch, believes that production on high-resolution displays destined for the next-generation iPad have begun. "It takes a couple of weeks for the production to go to the ODMs (the manufacturers). Then the manufacturer puts them in the housing. Then, that goes off to shipment. We could start seeing finished devices produced in December. And then being ready to be shipped in January. With volumes gearing up in February and March," he said.

iPad Dominance To Slip From Over 80% Market Share To Just Under 70% In 2012 (eMarketer)
By the end of 2014, one in every three Americans, or 90 million users, is expected to have a tablet, according to eMarketer. By the end of 2011, 34 million Americans will use a tablet device, up 159% over last year. Tablets sales are expected to grow 63% to 55 million next year and to 76 million units in 2013. The iPad will continue to be the leading device in the tablet market, though its dominance will wane. Its current penetration in the tablet market will slip from 83% to 68% by 2014.

Apple Launching Gaming Subscription Model (Bloomberg)
In an expansion of its magazine and newspaper publishing subscription models, Apple is beginning to allow gaming publishers the ability to offer a subscription service to users. Users will now be able to access a bunch of games for one price. The program is being pioneered by Big Fish Games, who is offering dozens of its App Store titles to users for a monthly fee. Apple just opened up a whole new way for games to make money.

Apple Owns The Developer, Not Likely Flocking To Android Anytime Soon (Fortune)
According to Piper Jaffray’s Gene Munster, Apple owns about 85-90% of current mobile app spending in terms of lifetime developer revenue. That provides Apple with a huge advantage over other mobile OS platforms. And Munster suggests Apple will keep more than 70% of mobile app revenue share for the next three or four years. That alone will keep developers from flocking to Android or Windows and likely keep Apple from freaking out if Google moves a few more devices per year than it does. Perhaps Google could make up for it in ad dollars?

Cloud Experts Wanted At Apple (The Wall Street Journal)
Apple has been looking to recruit senior-level executives "with backgrounds in Web-based software" to bolster the talent pool for iCloud and other Apple cloud and web based services. The report also notes that Apple is also considering new iCloud apps that will "reduce the need for people to carry around numerous devices at once." In other words, in-house app development to expand its web-based applications and services to compete with Microsoft and Google.

NFC Rumored To Come To Next Year With New iPhone (Digitimes)
Apple is rumored to add support for near-field communications (NFC) technology to iOS next year (likely in the next iPhone model), giving owners the ability to use their phone as an e-wallet for making transactions. That would help penetration of NFC expand from what is currently less than 10% of smartphones sold to more than 50% in the next two to three years. It would also put it on par with Google's Nexus S.

Apple Stock Due For A Bounce (The Wall Street Journal)
Apple's stock has been in the toilet (along with everything else). So it’s not going to take a whole lot more selling for Apple to get to its 200-day moving average of about $363. That said, Apple has managed to bounce back from tests of the 200-day average twice since June. Will the third test be similarly charming? Either way, Apple has been mired in a trading range of between $360 and $420 for about five months now. It's due for a bounce.

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Wow! Acer Just Took Ripping Off Apple To A Whole New Level

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At its press conference in Vegas before the Consumer Electronics Show officially kicked off, Acer introduced a brand new Ultrabook tablet powered by new cloud services.

To be blunt, they're all blatant ripoffs of Apple's iCloud offerings, right down to the name.

First up in Acer's "AcerCloud" service is a feature called "PicStream," which automatically uploads photos you take to your AcerCloud account. You can then access those photos from any device. (They expire after 30 days unless you download them.)

Sound familiar? That's because it's the exact same concept as Apple's Photo Stream, which debuted on iOS 5 last year. It wouldn't be so bad if Acer hadn't been so blatant in playing off Apple's branding ("PicStream" vs. "Photo Stream") too.

Next comes AcerCloud Docs, which automatically uploads your documents to the cloud for access on any other PC or Android device. Again, it's another ripoff of Apple's iCloud product. Apple's iCloud has a similar "Documents in the cloud" feature. 

See a pattern here?

And to top it all off there's Acer's "clear.fi" media app, which lets you upload your music and video files to the cloud and stream them to your PC or Android device. 

Do we need to tell you where Acer got that idea from?

Yes, it's true Apple wasn't the first to offer cloud services. But what Acer is doing here is copying Apple's branding terms too. Even the graphics look the same:

acer picstream

apple icloud

Anyway, Acer's press conference today is just the start. We're expecting most other manufacturers to announce similar iCloud and MacBook Air knockoffs as CES rolls on.

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Now That Megaupload Is Gone, Here Are A Few Other Ways To Share Your Files

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Box.net CEO Aaron Levie at the company's recent BoxWorks conference.

The Feds shut down Megaupload, one of the most popular file sharing sites on the planet, yesterday, saying it caused $500 million in lost revenue to copyright holders.

A lot of people used it.

If you were a big Megaupload user, we put together a list of some great alternatives to share your files.

None of these mimic Megaupload's functionality perfectly, but if you need to share a (legal) file quickly and easily, they're great options.

These are our favorites:

  • MediaFire: A simple file upload and sharing service. You don't even need to sign up to use it.
  • Dropbox: Acts a virtual "folder" on your desktop. You can also publicly share folders with friends, making it easy to swap files.
  • YouSendIt: This site lets you upload a file and email the download link to a group of people.
  • Box: Similar to Dropbox, but syncs with Google Docs and other cloud services too.
  • iCloud: Also similar to Dropbox, but Mac only.
  • AirDrop: This is a feature in Mac OS X Lion that lets you share files with people on your same network. All you do is drag and drop the files.
  • Cloud Drive: This is Amazon's cloud service. It also lets you upload music and stream it to your mobile devices.

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How To Master All That Free iCloud Storage Apple Gives You (AAPL)

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steve jobs icloud

iCloud may not be the perfect solution for keeping all your iDevices backed up and in sync, but compared to Apple's last attempt, MobileMe, it's a godsend.

Plus, it's free this time around.

Even if you don't want to use iCloud to back up your contacts, emails, etc., it's still incredibly useful if only for its ability to automatically back up your iPhone or iPad so you never have to sync with your computer again.

But it does a lot more than that.

Keep reading to learn how to get the most out of those 5 free gigabytes of storage Apple gives every iPhone user.

Let's start with your iPhone (or iPad). From the Settings menu, select "iCloud."



If it's your first time using iCloud, you need to log in using your Apple ID. This is the same email address and password you use to download apps from the App Store.



iCloud includes "Find My iPhone," which lets you track your phone's location if you lose it. (More on that later.) If you want to enable Find My iPhone, tap "OK."



See the rest of the story at Business Insider

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THE APPLE INVESTOR: Do You Have More Confidence In Tim Cook Now? (AAPL)

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tim cook steve jobsAAPL Finally Deflating
The marketing selling off led by Apple as there seems to be some talk about possibly reducing AAPL's weight in the NASDAQ-100 index, which would affect ETFs. Shares of Apple are down over 1%, more than the rest of the tech tape. Investors continue to be focused on iPhone adoption; update to the iPad; market share growth of the Mac business; further penetration in China and emerging markets; the evolution and potential re-conception of Apple TV; and platforms such as Siri, iAd, iBooks and social (Ping). Shares of Apple trade at 9.3x Enterprise Value / Trailing Twelve Months Free Cash Flow (including long-term marketable securities).

The Tim Cook Round Up: Everything Said At The Goldman Conference (Various)
In case you missed the SAI live blog of Tim Cook's keynote at the Goldman Sachs Technology Conference, here are other highlights:

  • He Won't Let Apple Fall Apart (SlashGear): In a question related to maintaining all that is Apple, Tim Cook said "Apple is this unique company – unique culture that you can’t replicate. And I’m not going to witness or permit the slow undoing of it because I believe in it so deeply."
  • Tim Hints At The Coming TV (MacNN): In a question relating to TVs, Tim Cook said, "Despite the barriers in that market, for those of us who use it, we always thought there was something there. If we kept following our intuition and pulling the string, we might find something larger. We need something that could go more main-market."
  • Apple's Approach To Cash (Cult of Mac): Cook called Apple’s spending “judicious” and “deliberate.” “We spend our money like it’s our last penny.”
  • iCould Is A Long Game Strategy (The Next Web): Tim Cook announced that its syncing service iCloud now has over 100 million users. Just last month, Cook said that the service had 85 million users, making this a growth of 15 million users in 21 days.
  • Worker Safety Is A Priority (9to5Mac): Cook talked about how aggressively Apple has sought to fix the supply chain worker conditions in China, including monthly Fair Labor Association audits. He said, "Apple takes working conditions very, very seriously." In a recent poll, 71% believe that audits will improve the conditions at Foxconn.

Do you have more confidence in Tim Cook now than when he took over?

Apple Revamps iAd By Slashing Pricing (AdAge)
Apple has cut the price of a minimum amount it charges advertisers to run a campaign on its iAd mobile ad system down to $100,000. Previously, the minimum buy was $300,000. Before that it was $500,000 and before that it was $1 million. Apple's iAd burst out of the gate with a lot of hype. It has since cooled. Apple has not reinvented the mobile ad industry like some had hoped it would. Let's hope Todd Teresi can turn it around.

iPad 3 Will Run On AT&T's And Verizon's 4G / LTE Networks (WSJ)
AT&T and Verizon will both sell a version of the next iPad that can run on the carriers' 4G LTE networks, confirming what has been widely reported. So far, Verizon and AT&T are the only two major carriers that offer LTE. They are also the only two carriers that sell the current 3G model of the iPad 2. The report not confirm whether or not other carriers such as T-Mobile and Sprint would sell the iPad 3.

Apple Orders 60-70% More Displays For The iPad 3 Than The iPad 2 (9to5Mac)
ChinaTimes
said in a new report that Apple ordered a whopping 65 million 264PPI Retina displays from both LG and Samsung. Both have reportedly already begun production, as well. It is not clear if this number includes orders from Sharp, who is rumored to be building displays from the iPad 3. For comparison, Apple ordered 40 million displays for the iPad 2. That's a substantial 60-70% increase over iPad 2. If these reports are true, Apple is thinking big for its new tablet.

Apple Accounts For One Fifth Of All Consumer Electronic Sales (NPD)
NPD's report of 2011's trends in electronics sales shows that Apple accounts for nearly one fifth of all U.S. revenue in consumer electronics. HP is a distant second, having generated only about half as much revenue as Apple during the year. Results show shifting trends in the consumer electronics landscape. The share of overall sales revenue for PCs declined by 0.5 percent year-over-year (a decline that would have been steeper without Mac sales). The overall share of TV and video game hardware sales also declined year-over-year.

Apple Ready To Quadruple Investment In Outsourcing To India (The Next Web)
At the end of January, Apple CIO Niall O’Connor visited India, meeting with two of the country’s biggest consultancy firms. Apple already contributes millions of dollars to both companies, but is reportedly ready to quadruple its investment in India thanks to its industrious workforces and lower outsourcing cost. Apple’s current India spend totals around $100 million, accounting for nearly a fifth of its global outsourcing spending.

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THE APPLE INVESTOR: Apple's Smartphone Market Share In China Slips (AAPL)

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apple chinaAAPL Down With Tech
The Dow is in positive territory as we head into another big weekend for Euro leaders on the Greece debacle. Shares of AAPL, however, are off with the rest of tech. Investors continue to be focused on iPhone adoption; update to the iPad; market share growth of the Mac business; further penetration in China and emerging markets; the evolution and potential re-conception of Apple TV; and platforms such as Siri, iAd, iBooks and social (Ping). Shares of Apple trade at 9.2x Enterprise Value / Trailing Twelve Months Free Cash Flow (including long-term marketable securities).

Analyst Raising Smartphone Estimates, Apple And Samsung Clear Winners (Barron's)
Barclays Capital analyst Jeff Kvaal increased his smartphone estimate for the quarter to 155 million units from 151 million. His estimate for the year goes to 660 million from 669 million and his 2013 estimate goes to 862 million from 845 million. And the overall trend is that Apple and Samsung are gaining share and everyone else trying to cope with that.

Apple Is Crushing Amazon (Business Insider)
Morgan Stanley analyst Scott Devitt says Amazon's poor results in the fourth quarter can be attributed directly to Apple's excellent results. He writes, "Apple’s strength in iPhone and iPad sales are negatively affecting Amazon.com by accelerating the company’s transition from physical to digital media sales (which has effects on sales, margins and ROIC) as well as impacting Electronics & General Merchandise (“EGM”) growth." In the long term, Devitt believes Amazon comes out stronger. In the short term, he's expecting pain.

Apple's Smartphone Market Share In China Slips In The Fourth Quarter (TechCrunch)
As Apple claimed the top spot as the world’s biggest smartphone vendor in the last quarter, it actually slipped in the rankings in China and is now in fifth position after ZTE. According to regional figures from Gartner, in China, Apple accounted for 7.5% of sales in the holiday quarter, down from 10.4% the quarter before. And there's a reason for that. Apple only kicked off sales of the iPhone 4S in China this January. We saw this kind of trend in the third quarter in the U.S. While not likely a longer-term issue, it remains to be seen if this market will gravitate to local brands and cheaper devices.

Apple Launches OX X Mountain Lion, The Mac Gets More iPad Like (Scoople, Business Insider)
Apple took the wraps off its newest operating system for Macs called OS X Mountain Lion. The company is shifting to a new release schedule for the software that powers its Macs. Instead of making you wait two or three years between versions, you'll get a new one just about every year. It's very similar to the iOS release schedule for iPhones and iPads. Here are the most important features:

Do you think there will be an app explosion on the Mac with Mountain Lion getting closer to iOS?

iPad Market Share Hurt By iPhone 4S, Not Rival Tablet Makers (IHS iSuppli)
According IHS iSuppli, Apple’s fourth quarter iPad market share suffered less so from rival tablet manufacturers than from its very own iPhone 4S. Apple’s worldwide tablet share dropped to 57% last quarter from 64% the previously. iSuppli believes that Apple’s market share loss wasn’t due to the competition, but a result of consumers reserving for the long-awaited iPhone 4S. If that's the case, the iPad 3 launch next quarter could see even more demand.

Tim Cook Says Microsoft Puts No Competitive Pressure On Apple (The Next Web)
The Wall Street Journal spoke with Apple CEO Tim Cook at the launch of OS X Mountain Lion and perhaps the most revealing part of the interview had nothing to do with the OS at all. It was Cook’s response when pushed on whether the company has adapted its strategy in response to pressure from other software companies and device makers, most notably Microsoft: “I don’t really think anything Microsoft does puts pressure on Apple.” Ouch! Apple builds the best quality products it can and remains “self-induced.”

The iPad Is Saving Trees, Printer Use Down (AppleInsider)
Morgan Stanley issued a report that the rapid ascent of tablets for business use has adversely affected printing by more than it had originally predicted. Last February, the investment bank predicted an 8-15% decline in printing, but a new survey shows cuts as deep as 16% due to increased tablet use combined and company measures to curtail printing. In a survey of 700 tablet users in the U.S., 46% of respondents said they printed less, with 13% indicating that they printed 16% less after owning a tablet.

The iPad Is Taking Over The Medical Field (TUAW)
According to a new survey of physicians by Manhattan Research, 26% of 1,207 practicing physicians in Europe said that they own an iPad and spend 27% of their work online time using the iPad. The study also found that 40% of doctors surveyed plan to purchase an iPad within the next six months. Doctors are using them primarily to browse medical articles on the web, watch videos, look up information and "to manage and educate their patients."

Samsung Not Worried About The Imminent Apple TV (Pocket-Lint)
Samsung was the number one flat panel TV vendor in 2011 and despite a seemingly imminent threat from Apple, the company is not concerned. Samsung’s AV product manager Chris Moseley explained that TV sales are driven for the most part by picture quality and in that respect, Samsung can’t be touched. ”We’ve not seen what they’ve done but what we can say is that they don’t have 10,000 people in R&D in the vision category,” Moseley said. “They don’t have the best scaling engine in the world and they don’t have world renowned picture quality that has been awarded more than anyone else.” We'll see.

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THE MICROSOFT INVESTOR: Focusing On The Cloud With SkyDrive And A New Board Member (MSFT)

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cloudsMSFT Climbing Up In Strong Market 
Despite Walmart's big miss, stocks are advancing in early trading as euro zone finance ministers secured a deal for Greece over the weekend. After last week's surge, shares of MSFT erased early morning losses and are currently climbing up in the positive. Upcoming catalysts include Windows 8, Windows Server 8, Office 15 and Windows Phone 8; expansion in the smartphone market with primary hardware partner Nokia; strides in cloud computing; profitability in the online business, including integration of Skype; and continued evolution of Kinect and next generation Xbox. The stock currently trades at 8.4x Enterprise Value / TTM Free Cash Flow.

Microsoft Working On Competing Product To iCloud (AppleInsider)
Microsoft is readying a significant update to SkyDrive in Windows 8. Leaked screenshots of the revamped file syncing and cloud storage service show that a Mac OS X client could be poised to compete with Apple's iCloud. SkyDrive images show demo downloads for Windows or Mac apps that will allow for automatic syncing, storage and remote access to files from the cloud. The Metro-style cloud-based Windows 8 app will share characteristics with Dropbox in that users can sync and backup certain files automatically, though SkyDrive allows limited remote access to files not synced to the cloud.

Microsoft Adds Former Symantec And IBM Executive To Board (TechCrunch)
Microsoft has added John W. Thompson to its board of directors, bringing the board to 10 members. Thompson currently serves as CEO of Virtual Instruments, which offers products that ensure the performance and availability of applications deployed in virtualized and private cloud computing environments. Thompson also served as chairman and CEO of Symantec from 1999 to 2009 and held executive positions at IBM. Good move in terms of advising on the cloud computing front.

Microsoft Will Win The Tablet War In The Enterprise (Business Insider)
I don't buy it. More enterprises are switching to the iPhone and Mac. Others believe that while the iPad may continue to win in the consumer market, but Windows 8 tablets may do better in enterprises (that haven't already converted because Microsoft is so late to the party). That's because they will help meet rising demand from employees to use a tablet at work, while still pleasing IT directors worried about security and management, and purchasing directors worried about cost. Specifically, Windows 8 tablets will over more control with easier management, better security as well as be cheaper on the hardware front. 

Microsoft Isn't Giving Up On Music Service Strategy (Electronista)
Microsoft has had trouble getting traction for its attempts at music services, but that's not stopping the company from looking to redo its music service strategy. Those said close to major label discussions say that Microsoft is aiming for a mix of streaming and downloads with the focus on the Xbox and an unnamed Windows Phone (most likely Nokia). Both the service and the phone could be ready by the end of the year. It's not clear how this would differ from the Zune Marketplace and the Zune Pass, both of which didn't fare so well.

Windows Blowing Past Office As The Most Important Business Line (Business Insider)
For the longest time, Windows was the most important part of Microsoft's business. Turns out that's changing. The Business Division, which is home to Office group, has blown past the Windows division as growing percentage of the company's operating profit. The two are symbiotic. The more people using Windows, the more people will use Office. However, the Windows business is in decline as mobile gadgets like the iPad and iPhone and Android phones become more and more popular. This is why Microsoft should put Office on every platform.

Age And Income Play A Major Role In Smartphone Penetration (Nielsen)
While overall smartphone penetration stood at 48% in January, those in the 24-34 age group showed the greatest proportion of smartphone ownership, with 66% saying they had a smartphone. In the same age group, 8 of 10 of those that had received a new mobile device in the last three months chose a smartphone. Income also plays a significant role. Older subscribers with higher incomes are more likely to have a smartphone. For example, those 55-64 making over $100K a year are almost as likely to have a smartphone as those in the 35-44 age bracket making $35-75K per year.

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iCloud, Not The New iPad, Is Apple's Real Key To The Post-PC Revolution

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Apple's new iPad goes on sale today. People - already lined up around the world - will likely buy more than a million of them this weekend, and tens of millions this year. And there will be much talk about Apple's "post-PC" revolution.

But the real key to Apple's post-PC dreams - slipping past Windows and becoming the dominant consumer electronics platform for the decades ahead - isn't this new iPad, or any single gadget.

Click here to continue reading >

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Samsung's Plan To Beat iCloud Is Called 'S-Cloud'

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samsung-galaxy-player-36-video

Samsung will demonstrate its cloud system at its Galaxy event on May 3rd, reports Maeil Business.

Called "S-Cloud," it's Samsung's way to take on other major cloud providers like Apple's iCloud.

It should be quite similar to iCloud, although the report says there won't be any limitations on the type of media you can upload and that Samsung has partnered with Microsoft to make sure that the service is available globally.

Will it be enough to take on iCloud? Let us know in the comments!

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It's A Big Day For Apple Leaks (AAPL)

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icloud beta

Apple let a test version of the next version of icloud.com leak out for a bit today, giving us a peek at a few new apps and features.

As 9to5 Mac points out, it looks like Apple will add a few new apps to the web version of iCloud such as Notes and Reminders.

This makes sense as those apps will be in the new version of Mac OS X, Mountain Lion. 

We were also able to see the apps on beta.icloud.com. Unfortunately, we can't sign in to try it out.

We're expecting Apple to unveil these features along with iOS 6 at its developers conference next month.

As far as other Apple leaks go, we learned today that Apple plans to ditch Google maps on iPhone and iPad in favor of its own solution. And its going to be in 3D. Click here to see what the new maps app will look like.

We also learned that Apple could be getting Mac OS X ready for high-res MacBook screens like the one on the iPad.

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Apple's Going After Instagram With Some New iCloud Updates (AAPL, FB)

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icloud beta

Apple is preparing to upgrade iCloud to allow people to share and comment on photos, reports the Wall Street Journal.

iCloud users are currently only able to share one set of photos through the Photo Stream feature. Apple's upgrades would likely expand this to make sharing far more customizable.

The features are expected to be officially announced on June 11 at WWDC, Apple's annual developer conference.

We've historically been unimpressed with Apple's stabs at social.

Remember Ping? Of course you don't.

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Do We Really Need Another Dropbox Wannabe? This App May Change Your Mind

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cubby logo

Cubby is a new online storage service from the people that brought you LogMeIn

It's currently an invite-only beta, but we had a chance to test out the latest app to take on Dropbox.

Click here to see Cubby >

Like Dropbox, Cubby is an online storage system for your files, pictures, videos, etc.

Cubby offers users 5 GB of free space, putting it on par with Google Drive. No paid plans exist yet, but we're hoping for more storage options once Cubby is out of beta.

It seems as if Cubby took all of the good things from other online storage services and made them ridiculously easy to use, share, and sync. But just because it made a few things easier, doesn't make it better...yet.

We'd like a referral program like Dropbox's that lets you earn more storage for signing up your friends.

So how is Cubby different?

Your data is sorted into "cubbys," which are folders where you can store your things easily. Drag and drop an entire folder into a cubby and click one button to share it with who ever you like.

Request an invite here and keep reading to see Cubby in action.

After you receive your invitation you will be taken to the cubby site where you will download the desktop app. Available for Mac and PC



Just like all the other services, you must get the desktop app.

Google, Microsoft and Dropbox each have their respective desktop apps. They are all also available for Mac and PC.



Once cubby is downloaded, you will be guided through the process of setting up an account. This is what the cubby app looks like on your desktop.



See the rest of the story at Business Insider

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5 Ways To Build Your Own iCloud (AAPL, AMZN, GOOG)

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Clouds

If trends continue, then in the future everything will be saved to the cloud.

A number of major companies maintain that they have the best cloud solution -- Apple, Amazon, and Google top the list -- but they might not be the best for your needs.

That's why there's a slew of other services that make it possible for you to put together your own cloud that works exactly the way you want it to. 

We'll show you how to do it.

What is "the cloud?"

In simplest terms, when people talk about "backing things up to the cloud," they're talking about saving data to an internet-connected hard drive.

This offers you a huge advantage in that, with the right software, you can access your data from anywhere you have an internet connection.



Why would you want to build your own cloud?

Maybe you want to manage your own data on your own terms. The big names don't offer the features you want or need.

Or maybe you're just an enterprising person who wants a weekend project that will prove useful for a long time.

Plus, if you need a lot of storage, the ~5 GB many services give you for free won't cut it.



Why shouldn't you manage your own cloud?

It's all on you.

If something breaks, you better know how to fix it. If you lose data, you better figure out how to recover it.

You're your own tech support, so make sure you're up for it.



See the rest of the story at Business Insider

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Why Companies Should Jump On The Cloud Bandwagon Right Now

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We've seen how personal cloud services like Dropbox, Google Drive and iCloud have made our lives easier, and now the cloud trend is taking on the workplace.

Implementing a cloud structure in companies will be a dramatic change for the office -- similar to the changes brought about by broadband and remote access, says IT expert Frank Wander, founder of IT Excellence Institute.

While it will take time for preferred cloud providers to emerge, companies should start including cloud solutions in their business right now so they don't have to play catch up later, says Wander.

Watch the interview below where Wander discusses how offices will physically change due to cloud implementations and what the challenges to this virtual workplace are.

 

Produced by Daniel Goodman

Don't Miss:

EXCLUSIVE: Amazon CTO Tells Us How It Built Its Cloud Business Into The Best In The Industry

Harvard Professor Discovers A Cool Secret To Making Employees Feel Like They've Got More Time

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SECRET DROPBOX STRATEGY REVEALED: Kill Apple. And Facebook.

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I've heard murmurings about Dropbox's secret ambitions, most of which surfaced during the company's recent round of fundraising.

And now the company's strategy appears to be going live.

What is it?

Kill Apple. And Facebook.

Okay, maybe not "kill" them, but at least pick off some of their functionality.

Basically, Dropbox appears to want to become everyone's hard-drive in the cloud. But not just a "hard drive." A sort of a social storage network, in which your "friends"--those who you allow to access your stuff--can, well, access your stuff.

How is this different than what, say, Apple is doing with iCloud?

In two ways:

  • It's platform agnostic. Dropbox works with everything: Apple gadgets, Android gadgets, Microsoft gadgets, even RIM gadgets. Apple only works with Apple gadgets. Why is that important? Because, although a lot of people have Apple gadgets, a lot of people don't. And people who have Apple gadgets occasionally want to share things with people who don't (as impossible as that may be to contemplate). Also, some individual people even use multiple platforms. Maybe they have a PC at work and an iPhone for themselves. Dropbox is a great way to share stuff with yourself.
  • It allows you to share stuff with a wide number of friends and colleagues. iCloud is private--for you. Dropbox is private if you want it to be private, but it's also open to whoever you want it to be, file by file. And that makes it sort of a social network.

Google Drive does all this stuff, too, but we already knew Google and Dropbox were going head to head. The news is that Dropbox is now going after some of what Apple and Facebook do.

How do I know what Dropbox has suddenly gotten serious about killing Apple?

Because I just plugged my iPhone into my MacBook Air and got this popup:

Dropbox Popup

In other words, that stealthy Dropbox software is hanging around all day waiting for me to plug in some device so it can insert itself between the device manufacturer (in this case, Apple) and the device manufacturer's storage repository.

I didn't give Dropbox permission to do that.

It just did it!

Assuming Dropbox doesn't annoy the crap out of its users with popups like this, by the way, this is a smart strategy. Most people will probably just click "start import" out of habit. And, soon, they'll have filled up all their Dropbox storage and be forced to buy more.

Moreover, they'll become addicted to Dropbox--because that's where all their stuff will live and that's where they'll share it with their friends. And the more addicted they get to Dropbox, the less addicted they'll be to Apple, or whoever their "platform" provider is.

(By the way, Apple appears to be aware of--and annoyed by--Dropbox's ambitions, because it has recently blocked apps that use Dropbox. How ironic, then, that Dropbox just interrupted the communing of my iPhone and MacBook to siphon off some of my data).

And the sharing activity that folks do on Dropbox, of course, will be sharing activity that could have been done on Facebook or Google. So Dropbox will be taking a bite out of those folks, as well. All while doing something that Google and Facebook have never managed to do--get paid directly by their users.

So you can see why folks are excited about Dropbox. Especially now that its secret strategy is going live.

SEE ALSO: DEAR AMERICA: You Should Be Mad As Hell About This [CHARTS]

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Apple Announces 'Documents In The Cloud' (AAPL)

iCloud And iMessage Are Back To Normal After An Outage* (AAPL)

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iMessage

iCloud and iMessage are currently undergoing outages, reports 9to5Mac.

Apple acknowledges issues on its support site, indicating that "some" users are affected and that service will be restored "ASAP."

Until everything's fixed, there's a chance your iMessages won't be sent or received.

We just tested iMessage and had no problem, but it sounds like we're the lucky ones.

*UPDATE: It's back and operational, says Apple.

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Apple Is Planning To Make Some Huge Changes To iTunes This Year (AAPL)

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itunes

Apple is planning to announce some major changes to iTunes later this year in what could be one of the most significant updates to the service since it launched in 2003, according to Bloomberg.

Bloomberg reports hearing from sources familiar with the situation that Apple is working on integrating its iCloud storage service into iTunes to make it easier for users to organize all their files across multiple devices.

At the same time, Apple is reportedly introducing new features to make it easier for users to share music. One source told Bloomberg that Apple has been in talks with record labels to let users send each other songs and listen to them for free.

Given the success of social music streaming services like Spotify, it's not surprising that Apple would want to make iTunes a little more social as well. Hopefully this effort turns out better than Ping.

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