There is a truism in business, and politics: it’s never the offense that gets you into trouble, it’s how you handle the aftermath. “Watergate” would not have become shorthand for corruption if the massive criminal cover up of political dirty tricks hadn’t unraveled. “Tylenol” might just have been a trivia answer had Johnson & Johnson not rebounded from the seven tragic deaths of people who took their tainted pain killers into a case study of pitch-perfect crisis management.
Microsoft reported a dip in quarterly sales of its core Windows operating system, mirroring a recent downturn in personal computers. The world’s largest software company met Wall Street profit estimates, as strong sales of its Office suite of applications and game systems took up the slack. “Microsoft to me is no longer a growth stock but it is a very attractive value stock. They continue to generate tremendous free cash flow. Their balance sheet is really unmatched,” Channing Smith of Capital Advisors said.
Apple denied it is tracking the movements of its iPhone customers, but said it will provide a software update that stores less location information on phones in response to public outcry over privacy issues. Apple plans to release a software update that would cut the size of the wireless hotspot location database stored on its iPhones, and stop backing up that information. The software will be released in the next few weeks, it said.
from Reuters Money:
If you've ever lost a credit card, had your identity stolen or even lost your wallet, you know what a pain it is and what worry is attached. For an estimated 77 million Sony PlayStation subscribers, today is that day.
Apple was outed last week for doing something either sinister or stupid (or both): Researchers revealed that the iPhone remembers where you’ve been pretty much all the time and saves that information in a way that almost anyone can access.
Apple has completed work on an online music storage service and is set to launch it ahead of Google, whose own music efforts have stalled, according to several people familiar with both companies’ plans. The sources revealed that Apple’s plans will allow iTunes customers to store their songs on a remote server, and then access them from wherever they have an Internet connection and that Apple has yet to sign any new licenses for the service and major music labels are hoping to secure deals before the service is launched. Amazon.com launched a music locker service earlier in April without new licensing agreements leading to threats of legal action from some music companies.
Apple reported quarterly revenue of $24.67 billion on strong iPhone and Mac sales, racing past Wall Street estimates. In the quarter, the company sold 18.65 million iPhones and 3.76 million Macintosh computers. Analysts expected 16.3 million and 3.64 million, respectively. Sales of iPads and iPods fell short. The number of iPads sold was 4.69 million, shy of the 6.3 million expected. Sales of iPods were 9 million, versus expectations of 9.85 million.
Apple should report another spectacular quarter, but tempered by growing caution over how supply constraints will squeeze margins and restrain iPhone and iPad sales.
Intel forecast quarterly revenues well above Wall Street’s estimates despite a hiccup in sales of its Sandy Bridge processors after the discovery of a chipset design flaw and defying fears the world’s top chip maker is struggling to find its footing as personal computer sales growth wanes.