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Facebook share's are continuing to tank, where they've started to dip below $29 per share, where at the time of writing, they're sitting at $28.19 per share. Considering they started at $38 per share, this is quite the fall from grace for the social networking company.
This drop has pushed their once $100 billion-plus valuation, down to a market cap of just $61.66 billion. This is a disaster considering the confidence in the stock pre-IPO, just over a week ago now. Traders can also now "short" Facebook shares, betting that the price will continue to fall. Sam Hamadeh, founder of analyst PrivCo, said that most of the options were "bearish" meaning that traders were betting on price falls. He also said that popular contracts were putting Facebook's share price in the mid-$20's for June and July, with PrivCo estimating Facebook shares were worth $25 ahead of the IPO.
I think we should see shares stabilize at around the mid-$20's mark, as PrivCo states. I think the initial offering was a quick cash-grab for those "in the know", but I'm no financial expert. It really seems that way from everything that is happening with the Facebook IPO.
Attorneys representing the now defunct upload site MegaUpload have filed a motion with the court to dismiss criminal piracy charges due to the fact the US had no jurisdiction. "Megaupload does not have an office in the United States, nor has it had one previously," MegaUpload's lawyers wrote in their motion to dismiss. "Service of a criminal summons on Megaupload is therefore impossible."
The filing came today and is just the latest in a long drawn out court battle between MegaUpload and the United States. The sad part is that millions of legitimate users have been affected and their files, some the only copy, have been put into jeopardy at the hands of the US government. The issue at hand is that MegaUpload has never had a US-based agent or office:
Wholly foreign corporations, therefore, may not be prosecuted for alleged violations of federal criminal law unless they waive service In short, a corporation such as Megaupload cannot be brought within the jurisdiction of this Court for criminal proceedings absent its consent.
The company's lawyers have once again asked for funds to be released to allow for a proper defense. DotCom and three other managers are in New Zealand where they continue to fight extradition. "We told the court that the United States lacked probable cause to take down the entire site," said Ira Rothken, the attorney leading MegaUpload's worldwide defense.
NVIDIA's super-powerful GEFORCE GTX 680 as well as their 4-PLUS-1-sporting Tegra 3 SoC have both taken home Best Choice Awards ahead of Computex in Taipei next week.
The Tegra 3 was part of the Smart Handheld Devices Innovation, with the GTX 680 being part of the IC Components. As NVIDIA walks away with Best Choice Awards, it marks the fourth consecutive year that the company has been awarded.
The mobile industry reflects the effectiveness and efficiency of the Tegra 3 chip, which has given smart devices more power, as well as more battery life thanks to its 4-PLUS-1 design. The same thing goes for the GEFORCE GTX 680, which offers lower temperatures, quieter running operation, and of course, high performance all in a single-GPU package.
The Megaupload case continues, with Kyle Goodwin, an EFF (Electronic Frontier Foundation) asking the court to return the files, that were legal, back to Goodwin.
Goodwin lost his files when Megaupload was seized in January, since then they've been to court, both for a hearing and a mediation, but nothing has changed according to the EFF. The problem between Goodwin's files and the court, is that the government isn't helping third parties like Goodwin to get access back to their data. This leaves no choice but court.
On May 24, EFF filed a brief asking the court to order Goodwin's rightfully owned data returned. But the problem is, is that's not just Goodwin'd files, it's the thousands upon thousands of other Megaupload users who had data on their servers, where they thought it was safe.
Even though Facebook are hurting right now post-IPO, where they've seen a huge drop in their share prices since the IPO went live last week, the fresh rumor is that the social networking site is looking to purchase face recognition technology company Face.com.
Tech news blog Newsgeek reports that the deal could be as large as $80-$100 million. Of course, this is all rumor right now, but Facebook are flush with cash right now thanks to the IPO, and $100 million isn't that big of a deal to them.
The rumors of Facebook building a phone would definitely gel with the rumors of the company buying a facial recognition startup. Face.com, founded in 2007, offers accurate facial recognition software that could help Facebook users identify people in photos faster, both on desktops and mobile.
Would you decline $75 million? Heck, $75 for free wouldn't be too bad these days. On the flip side, Apple CEO Tim "Good Guy" Cook has declined a $75 million payout in restricted stock dividends owed to him. Yes, declined.
Apple announced plans last week where they would pay a $2.65 per share dividend on restricted stocks held by Apple employees. This is rare for a company to reward its employee stockholders like this, and even more strange for a high level executive to decline the money they are entitled to.
But, it's not all bad. AllThingsD reports that this could actually benefit both the company, and Cook in the long run. This move gets positive press for not just Apple, but Cook, which could, and most likely will, translate into more stocks sold. It also shows the kind of person Cook is, in this world of increasingly greedy CEOs and executives.
A new report is saying that the manufacturers in the MacBook supply chain are facing a labor shortage due to the demand for the new MacBook. The report says that strong orders from Apple during a typically low demand season is the cause of the shortage. Some manufacturers are even resorting to outsourcing in order to meet the shipment schedule.
The report says that the manufacturers started delivering parts starting back April. They then experienced growth in May and are expecting to see even more growth in June. The launch of the new MacBook is expected to come in July, but that is unconfirmed. I would tend to expect an August or September launch as that is when they usually launch products.
Sources are expecting shipments to increase from 12.79 million to 16.24-19.2 million units. That equates to a 30-50% increase year-over-year. The new MacBook is rumored to take on a wedge shape that is similar to the current MacBook Air. Once again, this is an unconfirmed rumor. People love Apple rumors, so we will keep them coming as they surface.
Back in July of 2011, Research in Motion slashed 10-percent of its global workforce, laying off 2,000 employees as "a prudent and necessary step for the long term success of the company".
But, it looks like they could be repeating the process according to AllThingsD. They're reporting that RIM will announce another major global restructuring that will include "at least" 2,000 job cuts. A source has told AllThingsD:
RIM has about 16,500 employees worldwide now. That number will be down to 14,500 before the summer's over. ...14,500 or less.
The cuts are expected to not just be a certain section, but company-wide, with everyone from marketing to sales, to legal and operations expecting to have jobs cut. The question is, will this help? Did it help last time? Are RIM cutting the fat from the company, or digging right in and removing the meat?
With the news we reported just hours ago of Facebook wanting to make their own smartphone, this news makes even more sense. Pocket-lint is reporting that Facebook is looking at buying Opera Software, the boys and girls behind the Opera web browser.
This would allow the social networking giant to enter the browser space along with Google, Apple, Microsoft, Mozilla and even Yahoo, who just launched their own browser not that long ago. If it were to acquire Opera, it would definitely be an even stronger competitor against Google, not just for a browser, but for social networking.
Opera's mobile browser is already impressive, and if Facebook were to acquire them, that's one thing they wouldn't have to bother building from the ground-up, it would just be a slot in, change some things around and go. Opera claims to have over 200 million users across all of their platforms, so that's a nice start for Zuckerberg and co.
We've surely all read or heard about the IPO from social networking giant Facebook, and how it has been a disaster since day one, but ranked as one of the worst of the decade? Well, according to Bloomberg, it is. Bloomberg have declared it as the worst large IPO of the past decade, based on the first five days of trading.
During an interview on Bloomberg TV, markets reporter Sheila Dharmarajan compared Facebook to four other poorly performing IPOs: Blackstone Group, General Motors, Mastercard and MF Global. Given that these companies aren't just run of the mill small businesses, it's a good comparison to the social networking giant. As the picture shows above, Facebook are in quite the pickle, compared to say VISA who were trading very well after a week.