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Best of the Blogs: Microsoft Comes Clean, Says Surface Might 'Damage' Relationship With PC Makers


Plus, Amazon pours money into more datacentres and warehouses.

This column highlights the most interesting and useful business and financial commentary from around the Web each day. Use our comments section to post your own suggestions for blog content that you've read or written.

Link: Microsoft: Okay, Maybe We Are Alienating PC Makers With Surface

"Since it first debuted its new Surface tablet, Microsoft (MSFT) has insisted that the device will not alienate its longtime PC manufacturing partners. The party line: By developing internally the tablet it evidently didn't trust its partners to build, Microsoft isn't stepping between them and their customers, it's simply providing a reference design meant to guide their development process.

"As Microsoft CEO Steve Ballmer told attendees of the company's recent Worldwide Partner Conference, 'Surface is just a design point. It will have a distinct place in what's a broad Windows ecosystem. And the importance of the thousands of partners that we have that design and produce Windows computers will not diminish.'"

Link: AWS Looks Set for Massive Cloud Datacentre Expansion - but Where?

"Amazon (AMZN) Web Services is set to get more datacentres, based on information gleaned from Amazon's latest earnings filing.

"For the quarter, the company spent $657m (£418m) on the purchase of fixed assets, up from $386m in the previous quarter, it said in second-quarter results released on Thursday. Much of this spending is likely to come from datacentre build-outs, along with new warehouses for its retail division.

"'The increase in capital expenditures reflects additional investments in support of continued business growth consisting of investments in technology infrastructure in building Amazon Web Services and additional capacity to support our funding operations,' Amazon's chief financial officer, Tom Szkutak, said on an earnings call."

The Wall Street Journal: Deal Journal
Link: JPMorgan's Big Executive Changes

"JPMorgan (JPM) CEO Jamie Dimon thinks shuffling his top lieutenants around in their roles is a good planning strategy for the future of the bank.

"He's at it again today, shrinking the bank from six business lines to four and changing the roles of most of the names mentioned as potential successors. He is also moving the men he has recently relied upon to solve JPMorgan's biggest problems into roles that could increase their profiles inside and outside the bank.

"Meanwhile, two of his more seasoned executives will get chairman roles, one immediately and one in a year."

Link: Microsoft Wins German Ban on Motorola Android Devices Over FAT Storage

"Does this Microsoft patent make my Android smartphone look fat? That's the question Motorola Mobility (GOOG) is asking today after yet another German court ruled its mobile phones were infringing patents owned by the software giant. The decision by the Mannheim Regional Court bans sales of Motorola phones including the Razr, Razr Maxx and Atrix and awards Microsoft undetermined monetary damages.

"Microsoft will need to pay a €10 million ($12.3 million) bond for the ban to go into place.

"This most recent court decision to go against Motorola involves Microsoft's File Allocation Table storage scheme. The newly-owned Google handset maker is the lone Android device maker that hasn't licensed Microsoft's technology. More than 70% of Android phones contain Microsoft patented technology, according to patent observer Florian Mueller of FOSS Patents."

Link: Spain Discussed €300 Billion Full Bailout, Germany "Uncomfortable"

"While the euro was soaring, and Spanish bond yield were (very briefly) plunging in the past 48 hours, the reality behind the scenes was very different than what was blasted publicly in the headlines. Namely, Spain was on the verge of requesting a full blown sovereign bailout, one which would see it become the next country after Greece, Ireland and Portugal to fall under the Troika's control."

The New Yorker: The Borowitz Report
Link: A Letter from Mark Zuckerberg

"After Facebook's (FB) shares plummeted in after-hours trading today, Facebook CEO Mark Zuckerberg issued the following personal letter to all nine hundred million Facebook users."

Twitter: @ChrisWitrak
No positions in stocks mentioned.
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