Monday, August 29, 2011

Angie's List to go Public

NEW YORK (CNNMoney) -- Angie's List, a site where members can hire and review local contractors for auto or home services, filed Thursday to raise up to $75 million in an initial public offering.

Angie's List was founded in 1995, and at the ripe age of 16 the company is much older than its fellow Internet companies who have recently filed for IPOs -- including Groupon, LinkedIn and Pandora. It has amassed around 2.2 million reviews on its website.

But like most of its younger IPO-ing counterparts, Angie's List is not profitable. In 2010, the company reported a $27.2 million net loss on sales of $59 million.

For the first six months of 2011, Angie's List lost $25.8 million on revenue of $38.6 million.

Angie's List has two revenue streams. When the site launches in a new area, it offers free memberships to attract new users and reviews. After about two years, the new market is converted to paid memberships, where readers have to pay to access reviews. An Angie's List representative said rates vary by market, but subscriptions cost an average of $6 per month.

The site is now in 170 paid membership markets in the U.S., and as of June 30 it had more than 820,000 paying members.

Angie's List also lets service providers who are highly rated by its members advertise discounts and other promotions on the site. As of June 30, more than 192,000 of the 761,000 service providers reviewed on Angie's List were eligible to advertise.

Only 10% of the eligible service providers were advertising as of June 30, but that business makes up most of Angie's List's revenue. In 2010, service providers paid $33.9 million and members paid $25.1 million in fees.

Busy 2011 for tech IPOs: This year has been chock-full of Internet IPOs -- many from companies that have yet to turn a profit.

This month daily-deals site Groupon updated its IPO filing to change an accounting metric, which drew closer attention to its history of steep losses.

Professional networking site LinkedIn's (LNKD) shares more than doubled in its May IPO, even though the company turned only slight profits in 2010 and 2006, and has otherwise has been in the red every year since its 2003 inception. The stock is still trading well above its IPO price.

Pandora (P) shares also fared well, even though the unprofitable company had warned investors that it expected to continue losing money "through at least fiscal 2012."

But on Thursday, Pandora reported that it earned 2 cents per share last quarter on a non-GAAP basis, excluding stock-based compensation expenses. Using traditional accounting, Pandora lost $1.8 million for the quarter on sales of $67 million.

Joe Carretta

Thursday, August 25, 2011

The End of an Era

Apple CEO and co-founder Steve Jobs resigned today as chief executive officer from Apple. His place at the top of the company will be taken by Tim Cook, previously Apple's chief operating officer.

The Steve Jobs era

Some notable moments for Jobs and his companies over the years.

1976
Co-founds Apple with Steve Wozniak.

1984
Apple introduces the Mac.

1985
CEO John Sculley engineers Jobs' ouster from Apple.

1985
Founds Next Computer (later becomes Next Software).

1986
Buys computer graphics division of LucasFilm, to be renamed Pixar.

1996
Returns to Apple as adviser when Apple buys Next Software

1997
Named interim CEO of Apple.

2001
Apple introduces iTunes software and the iPod; the iTunes store follows in 2003.

2006
Disney buys Pixar; Jobs becomes largest shareholder.

2007
Apple introduces the iPhone.

2009
Takes 6-month leave of absence for medical reasons.

2010
Apple introduces the iPad.

January 2011
Takes medical leave of absence.

August 2011
Resigns as CEO, becomes chairman. Tim Cook becomes CEO.

Jobs has been dogged by a string of health problems in recent years that forced him to take periodic leaves of absence from the company. Jobs announced in January that he was taking an indefinite medical leave from Apple--his third in recent years--and handed over day-to-day responsibility to Cook. He told his employees in January, "I love Apple so much and hope to be back as soon as I can."

In January 2009, Jobs said that he was suffering from a hormone imbalance that was impeding his body's ability to absorb certain proteins. In April of that year, Jobs underwent liver transplant surgery and returned to work by early July. In August 2004, Jobs underwent successful surgery to treat a rare form of pancreatic cancer, which sidelined him until September of that year.

In a separate note to Apple's board members and the Apple community today, Jobs said that he was no longer up to the job of CEO.

"I have always said if there ever came a day when I could no longer meet my duties and expectations as Apple's CEO, I would be the first to let you know. Unfortunately, that day has come," Jobs said.

Jobs concluded by saying that "Apple's brightest and most innovative days are ahead of it," and that he looks forward to contributing as Apple's chairman of the board, director, and as an Apple employee if the board allows it.

Cook, 50, joined Apple in 1998 and was promoted to COO in 2004. He has long been Jobs' right-hand executive, heading up shareholders meetings and earnings calls with Wall Street investors, and acting as a figurehead at product introductions.

The Jobs era

One of the most legendary businessmen in American history, Jobs turned three separate industries on their head in the 35 or so years he has been involved in the technology industry.

Personal computing was largely invented with the launch of the Apple II in 1977. Legal digital-music recordings were brought into the mainstream with the iPod and iTunes in the early 2000s, and mobile phones were never the same after the 2007 debut of the iPhone. Jobs played an instrumental role in the development of all three, and managed to find time to transform the art of computer-generated movie-making on the side.


The release of the iPad in 2010, a touch-screen tablet computer his competitors flocked to reproduce, could be considered the capstone of his career as a technologist. A conceptual hybrid of a touch-screen iPod and a slate computer, the 10-inch mobile device was Jobs' vision for a more personal computing device.

bs is considered brilliant yet brash. He values elegance in design yet is almost never seen in public wearing anything but a black mock turtleneck, blue jeans, and a few days' worth of stubble. A master salesman who considers himself an artist at heart, Jobs inspires both reverence and fear in those who work for him and against him, and is adored by an army of loyal Apple customers.

Jobs was born in San Francisco in 1955 and moved out of the city five years later to the Santa Clara Valley, later to be known as Silicon Valley. He grew up in Mountain View and Cupertino, where Apple's headquarters are located.

He attended Reed College in Portland, Ore., for a year but dropped out, although he sat in on some classes that interested him, such as calligraphy. After a brief stint at Atari working on video games, he spent time backpacking around India, furthering teenage experiments with psychedelic drugs and developing an interest in Buddhism, all of which would shape his work at Apple.

Back in California, Jobs' friend Steve Wozniak was learning the skills that would change both their lives. When Jobs discovered that Wozniak had been assembling relatively (for the time) small computers, he struck a partnership, and Apple Computer was founded in 1976 in the usual Silicon Valley fashion: setting up shop in the home of one of the founder's parents.

Wozniak handled the technical end, creating the Apple I, while Jobs ran sales and distribution. The company sold a few hundred of the Apple I, but found much greater success with the Apple II, which put the company on the map and is largely credited as having proven that regular people wanted computers.

It also made Jobs and Wozniak rich. Apple went public in 1980, and Jobs was well on his way to becoming one of the first tech industry celebrities, earning a reputation for brilliance, arrogance, and the sheer force of his will and persuasion, often jokingly referred to as his "reality-distortion field."

The debut of the Macintosh in 1984 left no doubt that Apple was a serious player in the computer industry, but Jobs only had a little more than a year left at the company he founded when the Mac was released in January 1984.

Tuesday, August 23, 2011

Is Innovation Slowing Down?

Interesting article via CNET

http://news.cnet.com/8301-31921_3-20096067-281/peter-thiel-thinks-tech-innovation-has-stalled/?tag=topImage

ASPEN, Colo.--One of the Internet's most influential investors and entrepreneurs is offering a dire prediction: the pace of technological change is stagnating.

Peter Thiel, a co-founder of PayPal and early investor in Facebook, warned that--despite spectacular advances in computer-related fields over the last few decades--technological progress overall is actually "stalled out."

"There's been insane progress in computers, Internet, and all things related to it," Thiel told a conference here organized by the Technology Policy Institute last night. "It's been offset by incredible failure in energy. To a first order, the two things have cancelled each other out."

Among his examples: With the Concorde's last flight in 2003, the top speed at which people can travel has ceased to improve. Real oil prices are higher than during the Carter administration. Median wages in the United States have increased by only 10 percent since 1973 using government inflation data, and not at all using alternate calculations.

"We're no longer living in a society that cares much about science or technology," Thiel said.

Our lofty expectations from half a century ago about the ever-increasing pace of technological change have given way to more modest aspirations, he said: "Anybody today who talks about space jets and lunar vacations and flying cars is someone who's probably coming from another planet."

Thiel has placed his money where his beliefs are. In May, the Thiel Foundation announced the first 24 recipients of a fellowship that awards $100,000 each to youth under 20 years old--essentially encouraging them to drop out of college to become entrepreneurs. The Founders Fund, where he's a managing partner, has invested in aerospace, robotics, and biotechnology in addition to consumer Internet companies including Slide and Spotify.

In December, he organized a "Breakthrough Philanthropy" event at San Francisco's Palace of Fine Arts that allowed tech-oriented nonprofit groups to present brief pitches on why members of the audience should support potentially world-changing ideas like life extension. Thiel also has donated more than $1 million to the Seasteading Institute, which would like to see the world's oceans colonized (see related CNET article).

Read more: http://news.cnet.com/8301-31921_3-20096067-281/peter-thiel-thinks-tech-innovation-has-stalled/#ixzz1Vt3KxiDr

Joe Carretta
The TNS Group
Formerly known as TigerNet Systems, Inc.
Office phone: 203.316.0112 x105
Office fax: 203.316.0118
Email: jcarretta@thetnsgroup.com<sviscardi@thetnsgroup.com>

Friday, August 19, 2011

Be a 5 Tool Contributor

John Stroili, COO of The TNS Group offered the following analogy between a 5 tool player in baseball, and a 5 tool sales person.
  1. Ability to sell in all settings
  2. Adequately technical where “adequately” is defined as meeting the minimum amount of technical proficiency demanded by the role (sales, engineering, etc.)
  3. Excellent verbal and written communication skills
  4. Strong Microsoft Office skills – Ability to be self sufficient and create quality written documents (Proposals (Word), ROIs (Excel), Project Plans (Project), Presentations (PowerPoint), etc.)
  5. Well polished in front of a client
If you can attain proficiency in all of these sectors, you can be a well rounded, and more often that not, successful in many aspects of IT sales and business development.

Wednesday, August 17, 2011

When is the Next iPhone Coming

An article from CNET.com

The iPhone 5 could go on sale on Friday, October 7, with preorders to start on September 30, according to the latest rumors in the ongoing saga of the hotly anticipated next edition of Apple's smartphone.

Citing intel from its own sources, 9To5Mac said yesterday that Apple had been eyeing either October 7 or October 14 as potential iPhone 5 launch dates. But with preproduction apparently running smoothly, the site says, Apple has opted for the earlier date.

Apple will reportedly offer the phone for preorder a week before it hits store shelves, looking at either September 29 or 30, though 9To5Mac's sources pin the 30th as the most likely date. Assuming the preorder date is accurate, at least for now, that also means Apple would have to hold its iPhone 5 unveiling sometime in September. Apple typically shows off new iPhones and iPads at high-visibility media gatherings some days or weeks ahead of the devices going on sale.

The October 7 date has also been floated by TiPb. However, the tech news site suggests taking the reports with a grain of salt since even if the date is on the money at this point, Apple's plans are fluid. Even 9To5Mac admits that "the date could and likely will change again."

But October itself has been strongly suggested as the launch month for the iPhone 5 by All Things D's Kara Swisher, pointing to information from her own sources.

Related stories:
* iPhone 5 rumor roundup
* September iPhone 5? October iPhone 5? Why it doesn't matter
* Apple store reportedly getting a 4G LTE hookup

TiPb isn't quite sure the new phone will be an iPhone 5. The site said it keeps hearing that the device will be an iPhone 4S with some improvements but the same design as the existing phone, a rumor that's been around for awhile.

Other reports say that Apple will launch two phones--the new and improved iPhone 5 and a more budget-friendly iPhone 4S, one that may even tap into the company's iCloud service to provide cloud-based storage. TiPb says that the debut of two new phones from Apple could explain the conflicting rumors that it's heard.

And yet other reports have put a potential iPhone launch date as early as September 7.

Adding further tidbits to the iPhone 5 saga, Macpost has published images purporting to be of replacement parts for the new phone. Replacement parts such as a camera lens and an audio jack have recently popped up online among different Chinese resellers, according to the site, and show some subtle differences from parts for the iPhone 4.

Finally, global carrier Telefonica will reportedly start cutting back on its stock of the iPhone 4 through September 12. Revealing the news, Engadget cited a source who said that such a move "will of course prepare us for the launch of a new smartphone." The source didn't offer up a specific date when the new phone will debut, though Engadget said it's heard that the launch will occur in October.

Read more: http://news.cnet.com/8301-13579_3-20093442-37/iphone-5-now-rumored-to-launch-october-7/#ixzz1VJD5NbFd

Joe Carretta

Monday, August 15, 2011

Google Making POWER Moves

Google is buying cell phone maker Motorola Mobility for $12.5 billion in cash in what is by far the company's biggest acquisition to date.

Google Inc. will pay $40.00 per share, a 63 percent premium to Motorola's closing price on Friday.

The companies say the deal has been approved by the boards of both.

Google CEO Larry Page says that the deal with "supercharge the entire Android ecosystem."

The deal gives Google direct control over the maker of many of its Android phones.

In premarket trading, shares of Motorola Mobility Holdings Inc. are up 60 percent, or $14.72, to $39.19.

Read more: http://www.sacbee.com/2011/08/15/3838454/google-to-buy-motorola-mobility.html#ixzz1V6AxDWs6

Joe Carretta

Tuesday, August 2, 2011

Apple iCloud is Here

According to an article on CNN Apple's iCloud.com website has gone live, allowing developers to test out the online version of MobileMe's replacement.

At the same time, beta versions of the iWork suite for iOS and iPhoto have also been made available. And inevitably, many details have already leaked to the web.

iCloud is Apple's new "sync" service. When you create or edit a photo or document on your iPhone, iPad, Mac or Windows PC, it is automatically pushed to any other device you have chosen.

Thus, you can snap photos on your iPhone and have them ready to edit on your iPad in seconds, along with a safe backup on your home Mac.

The iCloud.com site is the online home for your data. There's a calendar, an address book, a mail web app, access to the Find My iPhone service and a new section called "iWork." These all look a lot like their iOS counterparts, right down to the icons.

WIRED: Apple announces iCloud, Steve Jobs WWDC keynote

This is no surprise, as even the awful MobileMe used a very iPad-like interface for its Mail web app.

Most interesting are the online versions of Pages, Numbers and Keynote. Posted screenshots show that there is no editing or even viewing functionality yet. Visitors are told instead to launch the apps on their iOS device and switch on iCloud.

Perhaps there will never be a way to view your documents on the web, or maybe it will be added before the official launch.

Right now there doesn't seem to be any way to view your photos at iCloud.com.

WIRED: iCloud -- data in forefront, devices in background

Windows users needn't feel left out, either. Also available is the iCloud Control Panel for Windows (beta 3), which lets you configure iCloud on the PC. Photo Stream, contacts and calendars are supported, and presumably iWork documents might somehow be wrangled to open on the PC, too.

Cloud backup is also working in devices running the latest iOS 5 beta. You can choose to back up your camera roll (photos actually taken with the device), accounts, documents and settings to iCloud automatically whenever the iDevice is plugged in to power.

This is essential for anyone using an iPad as their main machine, and not tied to a computer with iTunes.

iCloud is free, and comes with 5GB storage. You can also pay for more. $20 per year will buy you 10GB storage, $40 will get you 50GB and for $100 you will get 50GB.

WIRED: iCloud's the limit -- how iOS 5, Lion push Apple's strategy

But before you rush out and spend the extra, remember that iCloud's storage quota doesn't include your photos, your iTunes music, you apps or your purchased books. In fact, 5GB looks like more than enough for most people. Extra storage can be purchased from within the iCloud settings app on your iOS device.

The iCloud service will launch to the public along with iOS 5, some time in September.

Read the full article : http://www.cnn.com/2011/TECH/web/08/02/icloud.goes.live.wired/index.html?hpt=hp_p1&iref=NS1

Joe Carretta
The TNS Group
Formerly known as TigerNet Systems, Inc.
Office phone: 203.316.0112 x105
Office fax: 203.316.0118
Email: jcarretta@thetnsgroup.com<sviscardi@thetnsgroup.com>