CONFIRMED: Google Is An Investor In Zynga (GOOG)

Zynga's amended IPO filing confirms that Google is among its investors.

There had been reports last year that Google had stealthily invested in Zynga. Zynga's first IPO filing didn't mention that. But its amended filing does, as AllThingsD's Tricia Duryee notes.

It's nice to have the confirmation, but it's even more salient today for two reasons:

• The amended filing also reveals that Facebook controls Zynga to a much deeper extent than we originally thought. It's vital for Google to kill Facebook. Google probably invested to get tons of data from inside Facebook's social ecosystem, but it was also funding the growth of the Facebook platform.

Of course, Google+. Google+ is Google's impressive attempt at a Facebook-killer. We know games will be coming to Google+ at some point. Google+'s traction plus Google's investment would seem to make it a no-brainer that Zynga would build games on Google's platform. But we've learned that Facebook can decide what games Zynga can or can't publish on other social platforms. How will that work? 

Don't Miss: How Zynga Makes Zillions Off A Game Like CityVille →

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See Also:

• Here's Zynga's Heavily Redacted New SEC Filing
• CHART OF THE DAY: Google's Headcount Continues To Soar
• Coming Soon: Special Facebook Editions Of News Sites

CONFIRMED: Google Is An Investor In Zynga (GOOG)

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THE GOOGLE INVESTOR: Sorry Google, Android Smartphone Users Prefer The iPad (GOOG)

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GOOG Bright Star In A Down Market

Stocks are mixed this morning as investors continue to worry about European debt issues. Shares of GOOG are bucking the trend, coming back from Friday's sell-off on the downgrade by Morgan Stanley. Upcoming catalysts include second calendar quarter results to be released Thursday, July 14 at 4:30 p.m. Eastern Time; continued Android momentum in the smartphone and tablet markets; regaining ground in China; updated software, adoption and media partners for Google TV; the roll-out of Google Music; and progress in other newer initiatives (Google+, location-based services, mapping, gaming, Chromebooks, etc.). The stock trades at approximately 12x Enterprise Value / EBIT, inexpensive relative to peers and historical trading levels.

Android Users Prefer The iPad (Boy Genius Report)

Apple's market-leading iOS tablet isn't just the slate of choice for Apple fan boys. According to Canaccord Genuity analysts, Android smartphone users are purchasing the iPad over Android alternatives like the Samsung Galaxy and Motorola XOOM. Early iPad adoption among Android users could pose a problem for Android-based competitors hitting the market (Amazon).

Samsung Loses Its CTO Responsible For The Company's Android Dominance (TechCrunch)

Speaking of Samsung, Omar Khan, the Samsung CTO who was responsible for the rise of the Galaxy Tab and other Android-powered mobile devices, is moving to Citibank to handle that company's global digital banking initiatives (American Express). He is arguably behind Samsung's dominance in Android over the past eighteen months. The comes as a blow to Samsung, which has been facing not only competition from other Android-adopting OEMs like HTC, but an ongoing mobile tech patent infringement lawsuit from Apple.

Apple Goes After HTC Again On Patent Infringement (BGR)

Like it's doing with Samsung, Apple filed a new patent complaint with the International Trade Commission looking to block the sale of several Android-based HTC devices it claims infringe on Apple patents. The complaint is the second Apple has lodged against the phone maker in the past 16 months. A judge is scheduled to issue a decision in that case on Aug. 5.

Google Has Its Own eReader (Various via techDygest)

Back in January, iRiver announced the iRiver Story HD, a promising sounding device that had boasts about being the the world's highest resolution 6-inch eBook reader. The company just launched the first eReader to officially support the Google eBooks platform. Paid titles are also supported through the Google Books storefront, which competes with virtual shelves from Apple, Sony, Amazon, Kobo and Barnes & Noble. The hardware looks suspiciously like the first Kindle.

Google+ Not Just Going After Facebook (Tristan Louis)

After several fizzled attempts at social networking (from Buzz to Wave) Google is getting it more right than wrong this time. Google+ is not even two weeks old yet and is already becoming a social networking favorite among early adopters. Estimates for the Google+ user base run as high as 10 million already. But what's is missing from the commentary? Google does not seem to support those core components of the platform, which makes one wonder if Facebook really is the target.

Google Acquires Digital Loyalties Startup (TechCrunch)

Startup Punchd has been acquired by Google. The company is still very young but it's a smart move. Punchd lets customers accrue digital versions of buy-10-get-1-free cards which would tie in well with Google's payment products, like Google Wallet. On the flip side, the company enables small businesses to run loyalty programs on smartphones.

Daily Trader: Since Google+, Stock Has Added Much Market Cap (TechCrunch)

How much is social worth to Google? Investors added $20 billion to Google's market cap the first week after the launch of Google on June 28. A Morgan Stanley downgraded on Friday brought the total down to $15.8 billion over concerns the search giant could capitalize on new products such as Google.

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See Also:

• Bill Gross: Google+ Will Get 100 Million Users Faster Than Any Service In History
• Google Will Not Allow Google+ Profiles With Fake Names
• The Weirdest, Funniest, And Prettiest Stuff We've Seen From Googlers On Google+

THE GOOGLE INVESTOR: Sorry Google, Android Smartphone Users Prefer The iPad (GOOG)

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THE GOOGLE INVESTOR: It Isn't Just Facebook, Google Is At War With Everyone (GOOG)

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GOOG In The Black  

Stocks are on the rise after data showed an improvement in the labor market ahead of tomorrow's key U.S. government monthly payrolls report. Shares of GOOG are up, although less than the rest of the tech tape. Upcoming catalysts include second calendar quarter results released Thursday, July 14 at 4:30 p.m. Eastern Time; continued Android momentum in the smartphone and tablet markets; regaining ground in China; updated software, adoption and media partners for Google TV; the roll-out of Google Music; and progress in other newer initiatives (Google+, location-based services, mapping, gaming, Chromebooks, etc.). The stock trades at approximately 12x Enterprise Value / EBIT, inexpensive relative to peers and historical trading levels.

Facebook Isn't Google's Only Foe, The Company Is At War With Many (TechCrunch)

Google isn’t just in a war with Facebook, it’s at war with multiple companies across multiple industries. The company must battle on at least six fronts simultaneously:

1. Browser
2. Mobile
3. Search
4. Local
5. Social
6. Enterprise

No other company could compete legitimately take on so many different battlefronts against so many different competitors. And there’s no way Google can win each battle, and they don't have to. They can easily be in the top 3 on all fronts and be just fine.

Facebook Suddenly Looks Vulnerable (The Wall Street Journal)

Mark Zuckerberg recently unveiled Facebook's new video-chatting feature. Too bad Google made the same feature available in 2008. Facebook suddenly looks vulnerable and should take note that Google used the strategy before to kneecap Yahoo in all-important email, a key driver of Yahoo's traffic. Google then rolled out Gmail. The biggest hurdle for Google+ is getting users. But it is integrating the service with Gmail, which already has 240 million unique users worldwide. And Google+ Hangouts will be hard for the social network to top.

Google Needs To Accelerate Display Business (Investor's Business Daily)

Google's search for future revenue growth is contingent on challenging Yahoo and Facebook for a bigger piece of the online display ad market. While the company is far ahead of the rest in search ad sales, Google will increasingly depend more on display ads as that market slows, making display a much larger opportunity. Google and Facebook are ramping up their nascent display ad services, so the big growth that Google needs will come from a small base.

Google Stock Likely To Sell Off After Earnings As Analysts Worry About Facebook (Seeking Alpha)

Some are convinced that while Google’s next earnings release may meet analyst expectations, the headline numbers won’t matter and the stock will still sell off after earnings. Why? Because while Google’s core search business may be okay, analysts will be focusing on plenty of other issues like addressing the growing use of social media as a replacement for traditional search. In fact, Facebook is now competing more fiercely for the same advertising dollars that represent much of Google’s revenues.

Hulu Owner Says Owners Are Committed To Selling (Bloomberg)

Disney CEO Robert Iger said that the owners of Hulu are “committed to selling.” He would know. Hulu’s owners include Disney, News Corp. and Comcast's NBC Universal. Bankers for the video streaming site have met with Google, Yahoo and Microsoft as the company explores a sale. A sale would eliminate a conflict by setting up Hulu as an independent buyer of movies and TV shows for online viewing. The company could fetch more than $2 billion.

Android Crushing Everyone In Smartphone Platform Market Share (comScore)

According to comScore, Google's Android continues to crush the competition, grabbing 5 percentage points to 38.1% market share for March. Android's share is still blowing away all competitors. The only company that's hanging on is Apple which passed Research In Motion in terms of smartphone platform share. Apple claimed 26.6% of the market while RIM had 24.7%, a 4.2% drop from February.

Daily Trader: Why Google Is A Must Own Stock (MarketWatch)

As the saying goes, "buy the rumor and sell the news." Google is no different. In this case because it's a negative catalyst (the rumor being bad news), it's just the opposite. The FTC-to-open-anti-trust-case-against-Google rumor started heating up a few months ago when the stock was near annual-highs. What has it done since then? Sell off. When the FTC finally turned the rumors into outright confirmed news, the stock has been nearly straight up and will likely continue to do so. Trim back around the $550 level.

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See Also:

• THE MICROSOFT INVESTOR: What Do You Think Of The Skype Acquisition Now?
• Next For Facebook And Skype: Calls To Outside Phones
• Mark Zuckerberg Explains Why Google+ Won't Beat Facebook (Yet)

THE GOOGLE INVESTOR: It Isn't Just Facebook, Google Is At War With Everyone (GOOG)

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THE APPLE INVESTOR: Apple Doesn't Address 70% Of The World's Mobile Phone Market (AAPL)

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AAPL Sideways As Market Rises 

Stocks are up mid-week after the Greek parliament passed an unpopular austerity plan critical to avoid a debt default. Shares of AAPL are trading sideways, while the markets have recovered in the positive after an early morning sell-off. Catalysts include second quarter results released the third week in July (TBA); the next iPhone launch this fall; smartphone push into China and emerging markets; iCloud rollout and adoption; the continued evolution and next generation of Apple TV; and new platforms such as books / publishing and social (Ping). Shares of Apple trade at 11x Enterprise Value / Trailing Twelve Months Free Cash Flow (including long-term marketable securities), low versus historical standards.

Analyst Raises Third Quarter Estimates Based On iPad And Mac Sales (Barron's)

Needham analyst Charlie Wolf raised estimates based on predictions about Apple's Mac and iPad shipments. In terms of the iPad, competitors "have made an imperceptible dent in the trajectory of iPad sales". He upped his iPad sales estimate for the fiscal third quarter to 9 million units, an increase from 7.5 million. Mac unit estimates he raised from 3.75 million to 4.25 million for the quarter. He also increased his long-term revenue and EPS forecasts for Apple. For fiscal 2011 he sees just under $103.6 billion in revenue, with EPS of $25.

Clash Of The Analysts: Will There Or Won't There Be A Low-End iPhone Released? (AppleInsider)

Another analyst has countered recent reports that Apple plans to release a cheaper iPhone for the pre-paid mobile market. BMO Capital's Keith Bachman believes that the iPhone 3GS will continue to serve as the company's "low-end" handset. FBR Capital Markets analyst Craig Berger agrees with Bachman that a low-price iPhone is unlikely. This is in contrast to Deutsche Bank's Chris Whitmore, who has stated a mid-range, contract free $300-$500 iPhone will launch in September.

Nearly 70% Of The World Not Being Addressed By The iPhone (Asymco)

Speaking of cheaper phones, according to research firm Asymco, nearly 70% of the world's population uses pre-paid phones. So far, Apple is missing in action in that marketplace. Despite Apple’s recent decision to offer a contract-free iPhone, the handset remains ridiculously expensive. The company will eventually fill 100% of the post-paid market through the expansion of carrier agreements. When put in these terms, why on earth wouldn't Apple address the low-end?

A Tale Of Two iPhones: Just Look At Apple's Product History (Daring Fireball)

John Gruber would agree. He says there is a bit of evidence of the release of a low-end iPhone amongst the scraps of information that have leaked regarding new iOS hardware. More importantly, it makes strategic sense. Eventually Apple is going to expand the iPhone to multiple tiers as in multiple new products. It’s just a matter of when. Examine the history of the iPod. Apple presses technologically at the high end, and the company expands into the mid-range market with lower priced models. Why not now?

Apple The Top Mobile Device Vendor In Australia As Nokia Takes A Dive (IDC)

Apple has become the top mobile device vendor in Australia for the first time, with nearly one third market share, according to IDC’s Q1 2011 Mobile Device Tracker report. The market there has mainly been dominated by Nokia, but this year the Symbian platform has seen a huge tumble along with a dip in demand for feature phones mainly due to the rise in smartphones and consumers shying away from the platform ahead of the transition to Microsoft's Windows Phone.

Google Seeing 500K Android Devices Activated Every Day (Various via techDygest)

Half a million Android devices are activated every day, a number that's growing 4.4% each week, Google's Android chief Andy Rubin revealed in a tweet. That means that Android could hit 1 million daily activations by October if this growth rate maintains. Henry Blodget at Business Insider says this leaves Apple in the dust. Back in January, Apple announced (in a roundabout way) over 360,000 daily iOS activations, and at that time Google was seeing 300,000 activations. Getting to $14 billion in mobile ad revenue in the next 4 years doesn't seem so far-fetched.

Daily Trader: Samsung Replaced By TSMC As The A6 Processor Maker (Various via iDygest)

It is speculated that the move to give Taiwan Semiconductor Manufacturing Company (TSMC) exclusive manufacturing of the A6 may be a result of Apple's lawsuit against Samsung. Increasing legal tension between the two companies has prompted Apple to switch to contract fab to TSMC to build its next-generation A6 chip. Samsung is the company contracted by Apple to build the ARM chips found inside the iPhone 4, iPod touch 4th generation, and iPad. Could be a decent short-term pair trade.

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See Also:

• No Cheap iPhone 4S This Year, Instead Apple Makes The iPhone 3GS Free, Says RBC
• THE MICROSOFT INVESTOR: Windows 8 Could Be Revealed As Soon As September
• The Org Charts Of All The Major Tech Companies (Humor)

THE APPLE INVESTOR: Apple Doesn't Address 70% Of The World's Mobile Phone Market (AAPL)

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