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Amazon’s penultimate Draw | Advantage O’nomics

Holiday sales took fourth Quarter performance to $9.52 billion and they also upped Q1 forecasts to $6.45bn to $7 bn

Amazon seems quite ready to open the war front with iPad, but as of now it is fair for both companies to hedge their bets with Kindle choosing a 70% commission on each sale over a smaller base than the $10 plus billion in real books, while the iPad would like to be compared with Samsung and Nokia,”part of the iPod and iMac family?” This is probably the penultimate fr Amazon to draw but it has one more fight in it to get to $100 billion

Amazon’s Operating Margins YOY growth does not mean much but the margins are healthy at 5% with net income of $384 mn at 4.03% based on the use of cash to drive down costs and get more volumes online. It mustt be remembered that Black Friday was beaten by Cyber Monday again this season. Amazon’s Warehousing and delivery modelling is a treat to watch in liquid motion.

The $2 billion buy back should keep the Amazon investors happy while the Kindle franchise develops more lung power in the market place. Kindle recently reworked its commission structures to 50% for the Author/Publisher

WE WILL WAIT for the content library on the iBook store to be updated for a more valid comparison, Amazon’s market development strategy is economically more powerful in the new digital footprint, while Apple is great at marketing. Amazon is also getting better at publisher deals, so it is a fun game for consumers and subscribers..It’s tempting to get everyone to plan a subscription model in the digital media game, but it hasn’t worked, with or without paywalls. Also an idle mind starts wondering if they can get to Facebook and Twitter to use as a backbone for the next digital age effort?

To reiterate our stand, Amazon has single handedly done more to bring this economy out of recession than the others in the Top 100, tech or mobile or even Media

High speed trains, lower Job claims, the ‘uprising’ is here and USA won’t be number 2


Can Apple mark a Lifestyle return?

The Advantage zyaada analysis follows later

Here is the result and comparisons from

Apple Inc. on Monday reported a 46% increase in its fiscal fourth-quarter earnings as the company posted higher revenue than a year ago led by better-than-expected sales of iPhones, Mac computers and iPods.

Apple (AAPL 202.40, +12.54, +6.61%) said it earned $1.67 billion, or $1.82 a share, on revenue of $9.87 billion. During the same period a year ago, Apple earned $1.14 billion, or $1.26 a share, on $7.9 billion in sales. Apple’s results topped the estimates of analysts surveyed by Thomson Reuters, who had forecast the company to earn $1.42 a share on revenue of $9.2 billion. [picapp src=”9/4/2/2/Apple_Launches_Its_ea1d.jpg?adImageId=6245466&imageId=4962215″ width=”500″ height=”324″ /]

The initial reaction to Apple’s report was strong enough to send the company’s shares up more than $12, or as much as 6.5%, in after-hours trading to $202.20 after earlier rising $1.81 a share in the regular market session. The company sold 7.4 million iPhones during the quarter ended Sept. 26.

It was the first full quarter of sales for the iPhone 3GS, Apple’s latest version of its touchscreen smartphone that starts at $199. Analysts were expecting iPhone sales of 7 million, on average. Apple also said it sold more than 3 million Macs during the quarter, thanks in part to the back-to-school selling season. Mac shipments increased by 17% from the same period a year ago. Analysts had been expecting Mac sales of 2.8 million. During the quarter, Apple released Snow Leopard, the latest upgrade to its Mac operating system.

With the revenue recognition norms giving it an additional fillip on the balance sheet by Q1 2010 when more of the iPhone sales recovered from customer will reflect immediately and increase EPS, Apple has the right denoument to a hectic decade and a brilliant last 5 years since the launch of the iPod.

With iPhone 3G an unqualified success at an affordable price point, it may even be the trailblazer for the telcos that have spent the revolution since the 90s largely deep in the red.

Tech platforms seem to have stabilized for a successful cohabitation across the planet using iphones + portable music plus Kindle plus the Web 2.0 meaning that lifestyle customers are no longer being penalised with features that are outdated in just three months and uncompetitive pricing and packaging that brought AOL and Netscape down (and perhaps even Sony)

The only clouds for Apple being Windows 7.0 which is as comfy as the Snow Leopard and the apple users remain people who look for discontinuous change when they switch! The only answer to that probably would be for Apple to get more vocal sponsors in the coming Crowdsourcing for retail lifestyle..

[picapp src=”3/0/2/c/environmental_issues_8911.JPG?adImageId=6245570&imageId=6725321″ width=”234″ height=”139″ /]However, Coke kept falling for the third successive quarter with the largest volume drop. Despite lower revenues it however managed to post the same profit of 81 cents from $8.04 billion. Meanwhile, case volume grew 37% in India and 15% in China ( here)