This column highlights the most interesting and useful business and financial commentary on technology from around the Web every day.
Link: How Google Makes $100 Million a Day -- And How GOOG Lost $21 Billion Last Week
“Last week Google
(NASDAQ:GOOG) stock crashed 10%, shedding about $21 billion in market value, when its earnings were prematurely released
. Google revenue was up … but profit was down.
“Now a new report from an independent source, internet marketing software company Wordstream, is giving us more information on how, exactly, that happened.
“Essentially, even though total revenue rose to hit $14.1 billion, including $10.8 billion in advertising revenue, the amount that advertisers pay for each click decreased significantly.”
New York Times Bits
Link: Facebook Posts Largest Single-Day Gain
“In an earnings call with financial analysts on Tuesday, Mark Zuckerberg, Facebook’s
(NASDAQ:FB) chief executive, talked a lot about making money — through ads, through commerce and, crucially, through the mobile phone. And he presented numbers that signaled his company was increasing profits faster.
“On Wednesday, Wall Street seemed to hear the message. Facebook’s stock price soared
by about 19 percent, closing at $23.23. It was the biggest single-day gain in the stock’s nascent history. The ascent was as sharp as the fall. Facebook shares had lost half their value since the company’s ambitious public offering in May.”
Link: Zynga Makes Its First Move Into 'Real Money' Games, Partners With Casino Gaming Giant Bwin.Party
(NASDAQ:ZNGA) announced this afternoon
it has inked an exclusive partnership with bwin.party, the Gibraltar-based online gambling company, to offer real money online poker and casino games in the United Kingdom, where such things are currently legal (they are not permitted in the United States.)
“Through the new partnership, Zynga’s UK arm and bwin.party will launch products including poker and 180 other casino games such as slots, roulette, and blackjack ‘in the first half of 2013.’ Financial terms of the partnership have not been disclosed.
“A Zynga spokesperson told TechCrunch, “Bwin is reputable. They have a proven track record. They’re the leading international real money gaming operator.”
Link: Microsoft Surface RT Reviews Are In, and They're Mostly Mediocre
(NASDAQ:MSFT) prepares to roll out Windows 8 on Friday, the first reviews of the company's Surface tablet with Windows RT are now going public. And reactions are middling at best.
“With just one exception, the numerous reviews released on Tuesday night gave middling scores to Microsoft’s Windows RT tablet, first announced in June in Los Angeles.”
The Next Web
Link: Netflix Passes 30 Million Members
“TV and movie streaming service Netflix
(NASDAQ:NFLX) has announced a not-insignificant milestone today, as it passes 30 million members globally, with more than 25 million of these in the US.
“Netflix started off life in the US, and going by these figures this confirms it has around 5 million members in Canada, Latin America the United Kingdom, Ireland and Scandinavia – from its quarterly report earlier this week
, this figure was quoted more specifically at 4.3 million members outside the US. This means that more than 83% of its members are based in the US, a figure it will no doubt be looking to spread a little more evenly in the months and years ahead.”
No positions in stocks mentioned.