Google misses analyst estimates by 4 cents -- Takes a Beating !!!

Google Inc reported disappointing quarterly results on rising capital spending and costs for acquiring advertising customers, unnerving investors who sent its shares down 6.5 per cent.

Revenue rose 51 per cent to $4.827 billion, just shy of the $4.83 billion, on average, analysts had forecast. A rising level of payments to affiliated sites that deliver Google ads, called traffic acquisition costs, also surprised some.

“This quarter was softer-than-expected across the board,” Cantor Fitzgerald analyst Derek Brown said. “Revenue from Google websites was a little bit lower and traffic acquisition costs were slightly higher than we had expected.”

The disappointment was especially pronounced given the Web search leader's record of beating expectations, analysts said.

It was only the third time in 14 quarters as a public company that Google failed to top Wall Street profit forecasts. But Google executives underscored their belief that there were no signs that a weakening US economy so far was hurting its own results and that they expect advertisers to maintain spending with Google even if they slash overall ad budgets.

“We have not yet seen any negative impact from the rumors of future recessions,” Chief Executive Eric Schmidt told investors on a conference call, challenging investor psychology that has clobbered global stock markets in the past month.
Rival Yahoo Inc said that key online ad categories remained strong, but it had felt weakness in travel, financial and retail.

Yahoo depends on display ads preferred by brand marketers, while Google's focus is on Web search ads. Google's fourth-quarter net income rose to $1.21 billion, or $3.79 per diluted share, from $1.03 billion, or $3.29 per diluted share, in the year-earlier quarter.

Excluding special items, earnings per share were $4.43, short of analysts' average forecast of $4.47, according to Reuters Estimates. Wall Street analysts said Google's weaker-than-expected results had any number of contributing factors.

Rajanikanth --- Real hero in real life

A man should never forget his past whatever position he may be in. Rajanikanth has stood as an epitome for this. Rajanikanth has signed a movie with Shankar for the film ROBOT but in the mean time he is going to act in a movie for Balachander. Jagapathi Babu would be playing a prominent role in it.Nayanatara and Tabu will share the screen with the heroes. Have you wondered how come Rajani has signed two films at the same time ( which is very unusual) ? Rajanikanth is extending his heart for his 'GURU' Balachander who is in trouble financially. He is going to delay Robot for the new film. He has proved he is real shishya. Hats off to him.

Indian Outsourcing strongly hit by Internet disruption

India's vital outsourcing industry, which relies heavily on the Internet, struggled to overcome supply disruptions on Thursday after damage to undersea cables in the Mediterranean.

Internet connections may take up to 15 days to return to normal, businesses said, adding that telecommunications in neighbouring Bangladesh and Sri Lanka were also affected.

“Information technology companies, software companies and call centres that provide online services to the UK or the US East Coast are the worst affected,” said Rajesh Chharia, president of the Internet Service Providers' Association of India.

“Some of them are re-routing through the Pacific as a backup, but the voice quality and speed of traffic will be highly degraded,” he said, adding this solution left operators with half their normal bandwidth.

Egyptian officials said that an undersea communications cable had been cut, while in Kuwait the government said “weather conditions and maritime traffic” had damaged two cables, affecting most of the region.

Chidambaram Confident of 9.6% GDP

Central Statistical Organization has revised the previous GDP estimate of 9.4% to 9.6% for the year 2007. Chidambaram commenting on this has said that “It is a matter of considerable satisfaction that despite turbulence and heightened global uncertainties, our economy grew by 9.6 per cent during 2006-07 and is estimated to grow close to 9 per cent this year,”. The GDP registered for the year 2007 has been the highest in previous 18 years. In contrary to many readers belief the high GDP is attributed by manufacturing, mining , construction and real estate.

Sirish ----- Okka Magaadu

Looks like it takes a lot of effort to put Gundu Sirish on ground. When asked by a reporter for his views on Chiru's party, he replied that he would decide based on Chiru's stand on Telangana and agenda for backward castes. Fans and people opiniate that he has the freedom to express his opinion but talking as if he is a politician is really irritating. Wonder if he realizes that he is nothing if not for Chiru.

Nagarjuna revamping MAA tv

Nagarjuna has high stakes in MAA tv. The popularity of channel has been taking a beating with heavy competition from TV9 and TV5. New programs and new people have been introduced to gain popularity again. Akkineni Nageshwara Rao's "Gurthukostunnayyi" has been attracting lot of audience. Nagarjuna sure knows how to invest money and how to reap profits.

Ravi teja & Sreekanth to campaign for Chiru ?

Lot of hype has been on for Chiru's party inspite of no word from Chiru. Latest rumours
going around is that Sreekanth & RaviTeja will be joining Chiru's party. They might campaign heavily for him but may not join the mainstream keeping their careers in view. After the Rajasekhar's story looks like there will be clear split in the industry, Chiru and non-chiru. Needless to say who would be heading non-Chiru party.

Damage control --- Chiru ?

Looks like the Chiru clan is completely involved in damage control.Chiru's fan organizations are getting involved in blood donations and in promoting eye bank. The whole Rajasekhar's episode had been an eye opening for Chiru. He might have realized how fragile and murky things can be in politics. Let's wait and see what's more in store for Chiru to face after he confirms his party.

Mohan Babu visits Rajeshekhar

In an industry where big heads fear to talk against Chiru, Mohan Babu takes a direct collision course by visitng Rajasekhar's house. Got to give credit to his guts for doing what he feels right. When politicians are busy pointing fingers at Chiru, the Producers board and MAA are taking a neutral position. Would the response had been same if it were other big star? Would this had blown out of proportion if Chiranjeevi had no thoughts of entering politics ? Everyone is busy cashing for their own mileage.

Chiru Apologizes

It is an unfortunate episode in the history of telugu film history to see fans going frenzy and completely out of control. The actions of Chiru has somewhat subdued the episode. Apologizing is not easy for anyone and for a star of Chiru's stature it is much more difficult. Got to give credit for his humility.The troubling part have been the involvement of politicians. As many know Rajasekhar is close to Congress. Is congress instigating him to drag the issue more?