Meta Platforms (META) would provide the UFC an on-ramp to the metaverse. The UFC would provide META with valuable global content that could both serve as grist for META's virtual reality mill and provide META with a competitive edge in the content wars versus TikTok, Apple (AAPL), Amazon/Prime Video/Twitch (AMZN), Apple (AAPL), Google/YouTube (GOOG), Microsoft/Xbox … Continue reading META & The UFC?
Whether of not META shares are inexpensive depends upon what you believe 2023 and 2024 estimates will look like. We believe the global macro environment will soften for the remainder of this year and next and that META's numbers over the next few quarters will reflect this difficult macro demand environment. META is in the … Continue reading Is META Cheap?
Enterprise Software companies know that it is imperative to add features and functionality in order to justify price increases. It is time for streaming services to learn that lesson. What can streaming services learn from the Enterprise Software industry? One important lesson is that Software companies that genuinely care about their customers add value in … Continue reading Powering The Bundle: What Streaming Services Can Learn From Enterprise Software
Meta Platforms (META), has serious challenges in front of it: Apple's permission-based Ad tracking has hit META and other iOS app developers hard. Apple's iOS change is the primary reason why META's average price per Ad dropped 14% in the June quarter. This reality is not going away and META would be smart to find … Continue reading The Metaverse Is The Least of META’s Problems
The Metaverse becoming reality is at least a decade away if not 20-25 years away. The Metaverse as we imagine it is one with rich graphics, hundreds of millions of users and billions of online transactions. There are two primary obstacles preventing this reality: The Metaverse suffers from poor graphics. Content companies including Meta Platforms/Facebook … Continue reading The Metaverse Is At Least A Decade Away
Google's AI leadership position will pay dividends for decades to come as natural language AI increasingly becomes part of our day-to-day lives. We are only in the first inning of AI's evolution insofar as how we interact with it on a day-to-day basis. Google's AI ingests more data and learns at a faster rate as … Continue reading Don’t Give Up On Google
Apple's (ticker: AAPL), advertising revenue playbook may look something like this two-step plan: 1.) Provide Apple customers with the ability to turn off targeted advertising via their iPhones (Apple's ATT initiative HERE); 2.) Once the competition (Meta Platforms, Snap, Google and others), has been dealt a significant advertising revenue blow, subsequently insert Apple targeted ads … Continue reading Apple’s Ad Business Is About To Get Bigger
It does not matter what the Fed does with the Fed Funds Rate at this point, the global economy is softening and is likely to get worse. Whether the Fed ultimately takes rates to 3.5% or 4.0% will have little effect on the macroeconomic backdrop (QT is a different story). More job cuts. Large Tech … Continue reading The Economic Genie Is Out Of The Bottle
We have previously written that it would make sense for Apple (AAPL) to acquire Disney (DIS). Apple and Disney could certainly hold informal talks now, but a letter of intent, formal due diligence and the purchase agreement negotiation would all have to wait until there is a new Administration in the White House in my … Continue reading Apple + Disney
What is the logic to suggest that a "short & shallow" recession is likely? Isn't it more likely things will get worse before they get better? The U.S., Europe and China are experiencing economic slowdowns. The U.S. is in a recession if you believe the Atlanta Fed (GDPNow for Q2 2022 is -1.6%. See GDPNow … Continue reading A Short & Shallow Recession?