Behind the lines
1. About Google’s Motorola take-over
Android
Android is a mobile operating system, owned by Google.
Android Inc. was the startup company that developed the initial Android OS. Google acquired the company in July 2005, and many of the original Android Inc. founders work for Google today, including Andy Rubin and Rich Miner.
The Android OS can be used as an operating system for tablets, netbooks, and cellular phones. Televisions are now being constructed with Android’s OS as well.
Google’s flagship smartphones running Android are the Nexus One (manufactured by HTC) and the Nexus S (manufactured by Samsung)
Android Market
For developers, Android has its own software development kit (SDK) which includes a debugger, libraries, handset emulator, documentation, sample code, and tutorials.
For users, Android Market is the online software store developed by Google. The “Market” is preinstalled on most Android devices and allows users to browse and download apps published by third-party developers.
As of December 2010, there were ~200,000 games, apps, and widgets available for download on the Android Market.
This page is adapted from the Wikipedia entry of January 3, 2011.
Read more: http://www.businessinsider.com/blackboard/android#ixzz1V7MRtALB
Apple
http://www.apple.com
Apple Stock Chart by YCharts
Description
Apple Inc. is an American multinational corporation that designs and markets consumer electronics, computer software, and personal computers. The company’s best-known hardware products include the Macintosh line of computers, the iPod, the iPhone and the iPad.
Apple software includes the Mac OS X operating system; the iTunes media browser; the iLife suite of multimedia and creativity software; the iWork suite of productivity software; Aperture, a professional photography package; Final Cut Studio, a suite of professional audio and film-industry software products; Logic Studio, a suite of music production tools; and iOS, a mobile operating system. As of August 2010, the company operates 301 retail stores in ten countries, and an online store where hardware and software products are sold.
Established on April 1, 1976 in Cupertino, California, and incorporated January 3, 1977, the company was previously named Apple Computer, Inc., for its first 30 years, but removed the word “Computer” on January 9, 2007, to reflect the company’s ongoing expansion into the consumer electronics market in addition to its traditional focus on personal computers. As of September 25, 2010, Apple had 46,600 full time employees and 2,800 temporary full time employees worldwide and had worldwide annual sales of $65.23 billion.
For reasons as various as its philosophy of comprehensive aesthetic design to its distinctive advertising campaigns, Apple has established a unique reputation in the consumer electronics industry. This includes a customer base that is devoted to the company and its brand, particularly in the United States. Fortune magazine named Apple the most admired company in the United States in 2008, and in the world in 2008, 2009, and 2010. The company has also received widespread criticism for its contractors’ labor, environmental, and business practices.
History
The Early Years (1976–1980)
Apple was established on April 1, 1976 by Steve Jobs, Steve Wozniak (http://www.businessinsider.com/blackboard/steve-wozniak “Steve Wozniak”), and Ronald Wayne, to sell the Apple I personal computer kit. They were hand-built by Wozniak and first shown to the public at the Homebrew Computer Club. The Apple I was sold as a motherboard (with CPU, RAM, and basic textual-video chips)—less than what is today considered a complete personal computer. The Apple I went on sale in July 1976 and was market-priced at $666.66 ($2,572 in 2010 dollars, adjusted for inflation.)
Apple was incorporated January 3, 1977 without Wayne, who sold his share of the company back to Jobs and Wozniak for $800. Multi-millionaire Mike Markkula provided essential business expertise and funding of $250,000 during the incorporation of Apple.
The Apple II was introduced on April 16, 1977 at the first West Coast Computer Faire. It differed from its major rivals, the TRS-80 and Commodore PET, because it came with color graphics and an open architecture. While early models used ordinary cassette tapes as storage devices, they were superseded by the introduction of a 5 1/4 inch floppy disk drive and interface, the Disk II.
The Apple II was chosen to be the desktop platform for the first “killer app” of the business world—the VisiCalc spreadsheet program. VisiCalc created a business market for the Apple II, and gave home users an additional reason to buy an Apple II—compatibility with the office. According to Brian Bagnall, Apple exaggerated its sales figures and was a distant third place to Commodore and Tandy until VisiCalc came along.
By the end of the 1970s, Apple had a staff of computer designers and a production line. The company introduced the ill-fated Apple III in May 1980 in an attempt to compete with IBM and Microsoft in the business and corporate computing market.
Jobs and several Apple employees including Jef Raskin visited Xerox PARC in December 1979 to see the Xerox Alto. Xerox granted Apple engineers three days of access to the PARC facilities in return for the option to buy 100,000 shares of Apple at the pre-IPO price of $10 a share. Jobs was immediately convinced that all future computers would use a graphical user interface (GUI), and development of a GUI began for the Apple Lisa.
When Apple went public, it generated more capital than any IPO since Ford Motor Company in 1956 and instantly created more millionaires (about 300) than any company in history.
1981–1985: Lisa and Macintosh
Steve Jobs began working on the Apple Lisa in 1978 but in 1982 he was pushed from the Lisa team due to infighting, and took over Jef Raskin’s low-cost-computer project, the Macintosh. A turf war broke out between Lisa’s “corporate shirts” and Jobs’ “pirates” over which product would ship first and save Apple. Lisa won the race in 1983 and became the first personal computer sold to the public with a GUI, but was a commercial failure due to its high price tag and limited software titles.
In 1984, Apple next launched the Macintosh. Its debut was announced by the now famous $1.5 million television commercial “1984″. It was directed by Ridley Scott, aired during the third quarter of Super Bowl XVIII on January 22, 1984, and is now considered a watershed event for Apple’s success and a “masterpiece”.
The Macintosh initially sold well, but follow-up sales were not strong due to its high price and limited range of software titles. The machine’s fortunes changed with the introduction of the LaserWriter, the first PostScript laser printer to be offered at a reasonable price point, and PageMaker, an early desktop publishing package. The Mac was particularly powerful in this market due to its advanced graphics capabilities, which were already necessarily built-in to create the intuitive Macintosh GUI. It has been suggested that the combination of these three products was responsible for the creation of the desktop publishing market.
In 1985, a power struggle developed between Jobs and CEO John Sculley, who had been hired two years prior. The Apple board of directors instructed Sculley to “contain” Jobs and limit his ability to launch expensive forays into untested products. Rather than submit to Sculley’s direction, Jobs attempted to oust him from his leadership role at Apple. Sculley found out that Jobs had been attempting to organize a putsch and called a board meeting at which Apple’s board of directors sided with Sculley and removed Jobs from his managerial duties. Jobs resigned from Apple and founded NeXT Inc. the same year.
1986–1993: Rise and fall
Having learned several painful lessons after introducing the bulky Macintosh Portable in 1989, Apple introduced the PowerBook in 1991, which established the modern form factor and ergonomic layout of the laptop computer. The Macintosh Portable was designed to be just as powerful as a desktop Macintosh, but weighed 17 pounds with a 12 hour battery life. The same year, Apple introduced System 7, a major upgrade to the operating system, which added color to the interface and introduced new networking capabilities. It remained the architectural basis for Mac OS until 2001.
The success of the PowerBook and other products led to increasing revenue. For some time, it appeared that Apple could do no wrong, introducing fresh new products and generating increasing profits in the process. The magazine MacAddict has named the period between 1989 and 1991 as the “first golden age” of the Macintosh.
Following the success of the Macintosh LC, Apple introduced the Centris line, a low-end Quadra offering, and the ill-fated Performa line that was sold in several confusing configurations and software bundles to avoid competing with the various consumer outlets such as Sears, Price Club, and Wal-Mart, the primary dealers for these models. The result was disastrous for Apple as consumers did not understand the difference between models.
During this time Apple experimented with a number of other failed consumer targeted products including digital cameras, portable CD audio players, speakers, video consoles, and TV appliances. Enormous resources were also invested in the problem-plagued Newton division based on John Sculley’s unrealistic market forecasts. Ultimately, all of this proved too-little-too-late for Apple as their market share and stock prices continued to slide.
Apple saw the Apple II series as too expensive to produce, while taking away sales from the low end Macintosh. In 1990, Apple released the Macintosh LC with a single expansion slot for the Apple IIe Card to migrate Apple II users to the Macintosh platform. Apple stopped selling the Apple IIe in 1993.
Microsoft continued to gain market share with Windows, focusing on delivering software to cheap commodity personal computers while Apple was delivering a richly engineered, but expensive, experience. Apple relied on high profit margins and never developed a clear response. Instead they sued Microsoft for using a graphical user interface similar to the Apple Lisa in Apple Computer, Inc. v. Microsoft Corporation. The lawsuit dragged on for years before it was finally dismissed. At the same time, a series of major product flops and missed deadlines sullied Apple’s reputation, and Sculley was replaced by Michael Spindler.
1994–1997: Attempts at reinvention
By the early 1990s, Apple was developing alternative platforms to the Macintosh, such as the A/UX. Apple had also begun to experiment in providing a Mac-only online portal which they called eWorld, developed in collaboration with America Online and designed as a Mac-friendly alternative to other online services such as CompuServe. The Macintosh platform itself was becoming outdated since it was not built for multitasking, and several important software routines were programmed directly into the hardware. In addition, Apple was facing competition from OS/2 and UNIX vendors like Sun Microsystems. The Macintosh would need to be replaced by a new platform, or reworked to run on more powerful hardware.
In 1994, Apple allied with IBM and Motorola in the AIM alliance. The goal was to create a new computing platform (the PowerPC Reference Platform), which would use IBM and Motorola hardware coupled with Apple’s software. The AIM alliance hoped that PReP’s performance and Apple’s software would leave the PC far behind, thus countering Microsoft. The same year, Apple introduced the Power Macintosh, the first of many Apple computers to use IBM’s PowerPC processor.
In 1996, Michael Spindler was replaced by Gil Amelio as CEO. Gil Amelio made many changes at Apple, including massive layoffs. After multiple failed attempts to improve Mac OS, first with the Taligent project, then later with Copland and Gershwin, Amelio chose to purchase NeXT and its NeXTSTEP operating system, bringing Steve Jobs back to Apple as an advisor. On July 9, 1997, Gil Amelio was ousted by the board of directors after overseeing a three-year record-low stock price and crippling financial losses. Jobs became the interim CEO and began restructuring the company’s product line.
At the 1997 Macworld Expo, Steve Jobs announced that Apple would join Microsoft to release new versions of Microsoft Office for the Macintosh, and that Microsoft made a $150 million investment in non-voting Apple stock.
On November 10, 1997, Apple introduced the Apple Store, tied to a new build-to-order manufacturing strategy.
1998–2005: Return to profitability
On August 15, 1998, Apple introduced a new all-in-one computer reminiscent of the Macintosh 128K: the iMac. The iMac design team was led by Jonathan Ive, who would later design the iPod and the iPhone. The iMac featured modern technology and a unique design. It sold close to 800,000 units in its first five months.
Through this period, Apple purchased several companies to create a portfolio of professional and consumer-oriented digital production software. In 1998, Apple announced the purchase of Macromedia’s Final Cut software, signaling its expansion into the digital video editing market. The following year, Apple released two video editing products: iMovie for consumers, and Final Cut Pro for professionals, the latter of which has gone on to be a significant video-editing program, with 800,000 registered users in early 2007. In 2002 Apple purchased Nothing Real for their advanced digital compositing application Shake, as well as Emagic for their music productivity application Logic, which led to the development of their consumer-level GarageBand application. iPhoto’s release the same year completed the iLife suite.
Mac OS X, based on NeXT’s OPENSTEP and BSD Unix was released on March 24, 2001, after several years of development. Aimed at consumers and professionals alike, Mac OS X aimed to combine the stability, reliability and security of Unix with the ease of use afforded by an overhauled user interface. To aid users in migrating from Mac OS 9, the new operating system allowed the use of OS 9 applications through Mac OS X’s Classic environment.
On May 19, 2001, Apple opened the first official Apple Retail Stores in Virginia and California. later on July 9 they bought Spruce Technologies, a DVD authoring company. The same year, Apple introduced the iPod portable digital audio player. The product was phenomenally successful — over 100 million units were sold within six years. In 2003, Apple’s iTunes Store was introduced, offering online music downloads for $0.99 a song and integration with the iPod. The service quickly became the market leader in online music services, with over 5 billion downloads by June 19, 2008.
Since 2001 Apple’s design team has progressively abandoned the use of translucent colored plastics first used in the iMac G3. This began with the titanium PowerBook and was followed by the white polycarbonate iBook and the flat-panel iMac.
2005–2007: The Intel transition
At the Worldwide Developers Conference keynote address on June 6, 2005, Steve Jobs announced that Apple would begin producing Intel-based Mac computers in 2006. On January 10, 2006, the new MacBook Pro and iMac became the first Apple computers to use Intel’s Core Duo CPU. By August 7, 2006 Apple had transitioned the entire Mac product line to Intel chips, over 1 year sooner than announced. The Power Mac, iBook, and PowerBook brands were retired during the transition; the Mac Pro, MacBook, and MacBook Pro became their respective successors. On April 29, 2009, The Wall Street Journal reported that Apple was building its own team of engineers to design microchips.
Apple also introduced Boot Camp to help users install Windows XP or Windows Vista on their Intel Macs alongside Mac OS X.
Apple’s success during this period was evident in its stock price. Between early 2003 and 2006, the price of Apple’s stock increased more than tenfold, from around $6 per share (split-adjusted) to over $80. In January 2006, Apple’s market cap surpassed that of Dell. Nine years prior, Dell‘s CEO Michael Dell said that if he ran Apple he would “shut it down and give the money back to the shareholders.”
Although Apple’s market share in computers has grown, it remains far behind competitors using Microsoft Windows, with only about 8% of desktops and laptops in the U.S.
2007–present: Mobile consumer electronics era
Delivering his keynote at the Macworld Expo on January 9, 2007, Jobs announced that Apple Computer, Inc. would from that point on be known as Apple Inc., due to the fact that computers are no longer the singular focus of the company. This change reflects the company’s shift of emphasis to mobile electronic devices from personal computers. The event also saw the announcement of the iPhone and the Apple TV. The following day, Apple shares hit $97.80, an all-time high at that point. In May, Apple’s share price passed the $100 mark.
In an article posted on Apple’s website on February 6, 2007, Steve Jobs wrote that Apple would be willing to sell music on the iTunes Store without DRM (which would allow tracks to be played on third-party players) if record labels would agree to drop the technology. On April 2, 2007, Apple and EMI jointly announced the removal of DRM technology from EMI’s catalog in the iTunes Store, effective in May. Other record labels followed later that year.
In July of the following year, Apple launched the App Store to sell third-party applications for the iPhone and iPod Touch. Within a month, the store sold 60 million applications and brought in $1 million daily on average, with Jobs speculating that the App Store could become a billion-dollar business for Apple. Three months later, it was announced that Apple had become the third-largest mobile handset supplier in the world due to the popularity of the iPhone.
On December 16, 2008, Apple announced that after over 20 years of attending Macworld, 2009 would be the last year Apple would be attending the Macworld Expo, and that Phil Schiller would deliver the 2009 keynote in lieu of the expected Jobs. Almost exactly one month later, on January 14, 2009, an internal Apple memo from Jobs announced that he would be taking a six-month leave of absence, until the end of June 2009, to allow him to better focus on his health and to allow the company to better focus on its products with out having the rampant media speculating about his health. Despite Jobs’ absence, Apple recorded its best non-holiday quarter (Q1 FY 2009) during the recession with a revenue of $8.16 billion and a profit of $1.21 billion.
After years of speculation and multiple rumored “leaks” Apple announced a large screen, tablet-like media device known as the iPad on January 27, 2010. The iPad runs the same touch based operating system that the iPhone uses and many of the same iPhone apps are compatible with the iPad. This gave the iPad a large app catalog on launch even with very little development time before the release. Later that year on April 3, 2010, the iPad was launched in the US and sold more than 300,000 units on that day and reaching 500,000 by the end of the first week. In May 2010, Apple’s market cap exceeded that of competitor Microsoft for the first time since 1989.
In June 2010, Apple released the fourth generation iPhone, which introduced video calling, multitasking, and a new uninsulated stainless steel design, which acts as the phone’s antenna. Because of this antenna implementation, some iPhone 4 users reported a reduction in signal strength when the phone is held in specific ways. Apple has offered buyers a free rubber ‘bumper’ case until September 30, 2010, as cases has been proven to solve/improve the signal strength issue.
In September 2010, Apple refreshed its iPod line of MP3 players, introducing a multi-touch iPod Nano, iPod Touch with FaceTime, and iPod Shuffle with buttons.
In October 2010, Apple shares hit an all-time high, eclipsing $300. Additionally, on October 20, Apple updated their MacBook Air laptop, iLife suite of applications, and unveiled Mac OS X Lion, the latest installment in their Mac OS X operating system.
Products
Mac and accessories
- Mac mini, consumer sub-desktop computer and server introduced in January 2005.
- iMac, consumer all-in-one desktop computer that was first introduced by Apple in 1998. Its popularity helped revive the company’s fortunes.
- Mac Pro, workstation-class desktop computer introduced in August 2006. It replaced the Power Macintosh.
- MacBook, consumer notebook introduced in 2006. It replaced the iBook.
- MacBook Air, ultra-thin, ultra-portable notebook, introduced in January 2008.
- MacBook Pro, professional portable computer alternative to the MacBook, available in 13, 15, and 17-inch variants, introduced in January 2006. It replaced the PowerBook.
- Xserve, rack mounted, dual or quad core, dual processor 1U server.
Apple sells a variety of computer accessories for Mac computers including the AirPort wireless networking products, Time Capsule, Cinema Display, Magic Mouse, Magic Trackpad, Wireless Keyboard, the Apple Battery Charger and the Apple USB Modem.
On January 27, 2010, Apple introduced their much-anticipated media tablet, the iPad running a modified version of iOS. It offers multitouch interaction with multimedia formats including newspapers, magazines, ebooks, textbooks, photos, movies, TV shows videos, music, word processing documents, spreadsheets, video games, and most existing iPhone apps. It also includes a mobile version of Safari for internet browsing, as well as access to the App Store, iTunes Library, iBooks Store, contacts, and notepad. Content is downloadable via Wi-Fi and optional 3G service or synced through the user’s computer. AT&T is currently the sole US provider of 3G wireless access for the iPad.
On October 23, 2001, Apple introduced the iPod digital music player. It has evolved to include various models targeting the wants of different users. The iPod is the market leader in portable music players by a significant margin, with more than 220 million units shipped as of September 9, 2009. Apple has partnered with Nike to offer the Nike+iPod Sports Kit enabling runners to synchronize and monitor their runs with iTunes and the Nike+ website. Apple currently sells four variants of the iPod.
- iPod Classic (previously named iPod from 2001 to 2007), portable media player first introduced in 2001, currently available in a 160 GB model.
- iPod Nano, portable media player first introduced in 2005, currently available in 8 and 16 GB models. The newest generation has a FM radio, a pedometer, and a new multi-touch interface that replaced the traditional iPod click wheel.
- iPod Shuffle, digital audio player first introduced in 2005, currently available in 2 and 4 GB models.
- iPod Touch, portable media player that runs iOS, first introduced in September 2007 after the iPhone went on sale. Currently available in 8, 32, and 64 GB models. The latest generation features the Apple A4 processor, a Retina Display, and dual cameras on the front and back. The back camera allows video recording at 720p.
At the Macworld Conference & Expo in January 2007, Steve Jobs revealed the long anticipated iPhone, a convergence of an Internet-enabled smartphone and iPod. The original iPhone combined a 2.5G quad band GSM and EDGE cellular phone with features found in hand held devices, running scaled-down versions of Apple’s Mac OS X (dubbed iOS, formerly iPhone OS), with various Mac OS X applications such as Safari and Mail. It also includes web-based and Dashboard apps such as Google Maps and Weather. The iPhone features a 3.5-inch (89 mm) touch screen display, 4, 8, or 16 GB of memory, Bluetooth, and Wi-Fi (both “b” and “g”). The iPhone first became available on June 29, 2007 for $499 (4 GB) and $599 (8 GB) with an AT&T contract. On February 5, 2008, Apple updated the original iPhone to have 16 GB of memory, in addition to the 8 GB and 4 GB models. On June 9, 2008, at WWDC 2008, Steve Jobs announced that the iPhone 3G would be available on July 11, 2008. This version added support for 3G networking, assisted-GPS navigation, and a price cut to $199 for the 8 GB version, and $299 for the 16 GB version, which was available in both black and white. The new version was visually different from its predecessor in that it eliminated the flat silver back, and large antenna square for a curved glossy black or white back. Following complaints from many people, the headphone jack was changed from a recessed jack to a flush jack to be compatible with more styles of headphones. The software capabilities changed as well, with the release of the new iPhone came the release of Apple’s App Store; the store provided applications for download that were compatible with the iPhone. On April 24, 2009, the App Store surpassed one billion downloads. On June 8, 2009, at Apple’s annual worldwide developers conference, the iPhone 3GS was announced, providing an incremental update to the device including faster internal components, support for faster 3G speeds, video recording capability, and voice control. On June 7, 2010, at WWDC 2010, the iPhone 4 was announced, which Apple says is its “‘biggest leap we’ve taken” since the original iPhone. The phone includes an all-new design, 960×640 display, Apple’s A4 processor used in the iPad, a gyroscope for enhanced gaming, 5MP camera with LED flash, front-facing VGA camera and FaceTime video calling. Shortly after the release of the iPhone 4, it was realized by consumers that the new iPhone had reception issues. This is due to the stainless steel band around the edge of the device, which also serves as the phones cellular signal and Wi-Fi antenna. The current fix for this issue is a “Bumper Case” for the phone distributed for free to all iPhone 4 owners, subject to terms.
At the 2007 Macworld conference, Jobs demonstrated the Apple TV, (previously known as the iTV), a set-top video device intended to bridge the sale of content from iTunes with high-definition televisions. The device links up to a user’s TV and syncs, either via Wi-Fi or a wired network, with one computer’s iTunes library and streams from an additional four. The Apple TV originally incorporated a 40 GB hard drive for storage, includes outputs for HDMI and component video, and plays video at a maximum resolution of 720p. On May 31, 2007 a 160 GB drive was released alongside the existing 40 GB model and on January 15, 2008 a software update was released, which allowed media to be purchased directly from the Apple TV. In September 2009, Apple discontinued the original 40 GB Apple TV and now continues to produce and sell the 160 GB Apple TV. On September 1, 2010, alongside the release of the new line of iPod devices for the year, Apple released a completely redesigned Apple TV. The new device is 1/4 the size, runs quieter, and replaces the need for a hard drive with media streaming from any iTunes library on the network along with 8 GB of flash memory to cache media downloaded. Apple with the Apple TV has added another device to its portfolio that runs on its A4 processor along with the iPad and the iPhone. The memory included in the device is the half of the iPhone 4 at 256 MB; the same as the iPad, iPhone 3GS, iPod touch 3G, and iPod touch 4G. It has HDMI out as the only video out source. Features include access to the iTunes Store to rent movies and TV shows (purchasing has been discontinued), streaming from internet video sources, including YouTube and Netflix, and media streaming from an iTunes library. Apple also reduced the price of the device to $99.
Software
Apple develops its own operating system to run on Macs, Mac OS X, the latest version being Mac OS X v10.6 Snow Leopard. Apple also independently develops computer software titles for its Mac OS X operating system. Much of the software Apple develops is bundled with its computers. An example of this is the consumer-oriented iLife software package that bundles iDVD, iMovie, iPhoto, iTunes, GarageBand, and iWeb. For presentation, page layout and word processing, iWork is available, which includes Keynote, Pages, and Numbers. iTunes, QuickTime media player, Safari web browser, and Software Update are available as free downloads for both Mac OS X and Windows.
Apple also offers a range of professional software titles. Their range of server software includes the operating system Mac OS X Server; Apple Remote Desktop, a remote systems management application; WebObjects, Java EE Web application server; and Xsan, a Storage Area Network file system. For the professional creative market, there is Aperture for professional RAW-format photo processing; Final Cut Studio, a video production suite; Logic, a comprehensive music toolkit and Shake, an advanced effects composition program.
Apple also offers online services with MobileMe (formerly .Mac) that bundles personal web pages, email, Groups, iDisk, backup, iSync, and Learning Center online tutorials. MobileMe is a subscription-based internet suite that capitalizes on the ability to store personal data on an online server and thereby keep all web-connected devices in sync. Announced at MacWorld Expo 2009, iWork.com allows iWork users to upload documents for sharing and collaboration.
Culture
Corporate
Apple was one of several highly successful companies founded in the 1970s that bucked the traditional notions of what a corporate culture should look like in organizational hierarchy (flat versus tall, casual versus formal attire, etc.). Other highly successful firms with similar cultural aspects from the same period include Southwest Airlines and Microsoft. Originally, the company stood in opposition to staid competitors like IBM by default, thanks to the influence of its founders; Steve Jobs often walked around the office barefoot even after Apple was a Fortune 500 company. By the time of the “1984″ TV ad, this trait had become a key way the company attempts to differentiate itself from its competitors.
As the company has grown and been led by a series of chief executives, each with his own idea of what Apple should be, some of its original character has arguably been lost, but Apple still has a reputation for fostering individuality and excellence that reliably draws talented people into its employ, especially after Jobs’ return. To recognize the best of its employees, Apple created the Apple Fellows program, awarding individuals who made extraordinary technical or leadership contributions to personal computing while at the company. The Apple Fellowship has so far been awarded to a few individuals including Bill Atkinson, Steve Capps, Rod Holt, Alan Kay, Guy Kawasaki, Al Alcorn, Don Norman, Rich Page, and Steve Wozniak.
Numerous employees of Apple have cited that projects without Jobs’ involvement often take longer than projects with his involvement. Another presents the image of Jobs “wandering the hall with a flame thrower in hand, asking random people ‘do you work on MobileMe?’”.
Users
While this brand loyalty is considered unusual for any product, Apple appears not to have gone out of its way to create it. At one time, Apple evangelists were actively engaged by the company, but this was after the phenomenon was already firmly established. Apple evangelist Guy Kawasaki has called the brand fanaticism “something that was stumbled upon”. Apple has, however, supported the continuing existence of a network of Mac User Groups in most major and many minor centers of population where Mac computers are available.
Mac users would meet at the European Apple Expo and the San Francisco Macworld Conference & Expo trade shows where Apple traditionally introduced new products each year to the industry and public until Apple pulled out of both events. While the conferences continue, Apple does not have official representation there. Mac developers, in turn, continue gather at the annual Apple Worldwide Developers Conference.
Apple Store openings can draw crowds of thousands, with some waiting in line as much as a day before the opening or flying in from other countries for the event. The New York City Fifth Avenue “Cube” store had a line as long as half a mile; a few Mac fans took the opportunity of the setting to propose marriage. The Ginza opening in Tokyo was estimated in the thousands with a line exceeding eight city blocks.
John Sculley told The Guardian newspaper in 1997: “People talk about technology, but Apple was a marketing company. It was the marketing company of the decade.”
Research by NetRatings indicate that the average Apple consumer is usually more affluent and more well-educated than PC consumers. The research indicated that this correlation could stem from the fact that on average Apple Inc. products are more expensive than PC products.
Corporate affairs
During the Mac’s early history Apple generally refused to adopt prevailing industry standards for hardware, instead creating their own. This trend was largely reversed in the late 1990s beginning with Apple’s adoption of the PCI bus in the 7500/8500/9500 Power Macs. Apple has since adopted USB, AGP, HyperTransport, Wi-Fi, and other industry standards in its computers and was in some cases a leader in the adoption of standards such as USB. FireWire is an Apple-originated standard that has seen widespread industry adoption after it was standardized as IEEE 1394.
Ever since the first Apple Store opened, Apple has sold third party accessories. This allows, for instance, Nikon and Canon to sell their Mac-compatible digital cameras and camcorders inside the store. Adobe, one of Apple’s oldest software partners, also sells its Mac-compatible software, as does Microsoft, who sells Microsoft Office for the Mac. Books from John Wiley & Sons, who publishes the For Dummies series of instructional books, are a notable exception, however. The publisher’s line of books were banned from Apple Stores in 2005 because Steve Jobs disagreed with their decision to publish an unauthorized Jobs biography, iCon.
Headquarters
Apple Inc.’s world corporate headquarters are located in the middle of Silicon Valley, at 1 Infinite Loop, Cupertino, California. This Apple campus has six buildings that total 850,000 square feet (79,000 m2) and was built in 1993 by Sobrato Development Cos.
In 2006, Apple announced its intention to build a second campus on 50 acres (200,000 m2) assembled from various contiguous plots. The new campus, also in Cupertino, will be about 1 mile (1.6 km) east of the current campus.
Advertising
Since the introduction of the Macintosh in 1984 with the 1984 Super Bowl commercial to the more modern ‘Get a Mac’ adverts, Apple has been recognized in the past for its efforts towards effective advertising and marketing for its products, though its advertising has been criticized for the claims of some more recent campaigns, particularly 2005 Power Mac ads and iPhone ads in Britain.
Logos
Apple’s first logo, Wayne, depicts Sir Isaac Newton sitting under an apple tree. Almost immediately, though, this was replaced by Rob Janoff’s “rainbow Apple”, the now-familiar rainbow-colored silhouette of an apple with a bite taken out of it. Janoff presented Jobs with several different monochromatic themes for the “bitten” logo, and Jobs immediately took a liking to it. While Jobs liked the logo, he insisted it be in color to humanize the company. The Apple logo was designed with a bite so that it would be recognized as an apple rather than a cherry. The colored stripes were conceived to make the logo more accessible, and to represent the fact the monitor could reproduce images in color. The logo is often erroneously referred to as a tribute to Alan Turing, with the bite mark a reference to his method of suicide. Both the designer of the logo and the company deny that there is any homage to Turing in the design of the logo.
In 1998, with the roll-out of the new iMac, Apple discontinued the rainbow theme and began to use monochromatic themes, nearly identical in shape to its previous rainbow incarnation, on various products, packaging and advertising.
Slogans
Apple’s first slogan, “Byte into an Apple”, was coined in the late 1970s. From 1997–2002, Apple used the slogan Think Different in advertising campaigns. The slogan had a lasting impact on their image and revived their popularity with the media and customers, and the grammar caused a bit of discussion (i.e. “think” is a verb, which is modified by adverbs; therefore the adverb “differently” should be used, not the adjective “different”). Although the slogan has been retired, it is still closely associated with Apple. Apple also has slogans for specific product lines — for example, “iThink, therefore iMac” was used in 1998 to promote the iMac, and “Say hello to iPhone” has been used in iPhone advertisements. “Hello” was also used to introduce the original Macintosh, Newton, iMac (“hello (again)”), and iPod.
Commercials
Apple’s product commercials gained fame for launching musicians into stardom as a result of their eye-popping graphics and catchy tunes First, the company popularized Canadian singer Feist’s “1234″ song in its ad campaign. Later, Apple used the song “New Soul” by French-Israeli singer-songwriter Yael Naim to promote the MacBook Air. The debut single shot to the top of the charts and sold hundreds of thousands of copies in a span of weeks.
Environmental record
Greenpeace, an environmental organization, has confronted Apple on various environmental issues, including promoting a global end-of-life take-back plan, non-recyclable hardware components, and toxins within the iPhone hardware. Since 2003 they have campaigned against Apple regarding their chemical policies, in particular the inclusion of PVC and BFRs in their products, both of which have serious negative health effects. At the 2007 Macworld Expo, Greenpeace presented a critique of Apple. Rick Hind, the legislative director of Greenpeace’s toxics campaign, said, “(The company) is getting greener, but not green enough.” Hind commented further, “The Macbook Air has less toxic PVC plastic and less toxic BFRs, but it could have zero and that would make Apple an eco-leader.” On May 2, 2007, Steve Jobs released a report announcing plans to eliminate PVC and BFRs by the end of 2008. Apple has eliminated toxic vinyl plastic (PVC) and brominated flame retardants (BFRs) across its product range. It became the first laptop maker to remove PVC and BFRs.
In Greenpeace’s Guide to Greener Electronics that scores electronics manufacturers on their policies regarding toxic chemicals, recycling and climate change, Apple ranked 5th out of 18 leading electronic makers in May 2010 with a score of 4.9/ 10. Greenpeace criticises for example that Apple has yet to make a statement on the need for mandatory greenhouse gas emissions reductions. In the first edition, released in August 2006, Apple scored 2.7/10.
In May 2008, Climate Counts, a nonprofit organization dedicated to directing consumers toward the greenest companies, gave Apple 11 points out of a possible 100, which placed the company last among electronics companies. Climate Counts also labeled Apple with a “stuck icon,” and the environmental group added that Apple was “a choice to avoid for the climate conscious consumer.” By 2010, Apple had earned a score of 52 / 100, which puts Apple in their top category “Striding.”
The Environmental Protection Agency rates Apple highest amongst producers of notebook computers, and fairly well compared to producers of desktop computers and LCD displays.
In June 2007, Apple upgraded the MacBook Pro, replacing cold cathode fluorescent lamp (CCFL) backlit LCD displays with mercury-free LED backlit LCD displays and arsenic-free glass, and has since done this for all notebooks. Apple has also phased out BFRs and PVCs from various internal components. Apple also offers detailed information about the emissions, materials, and electrical usage of each product.
In June 2009, Apple’s iPhone 3GS was free of PVC, arsenic, BFR’s and had an efficient power adapter.
In October 2009, Apple upgraded the iMac and MacBook, replacing the cold cathode fluorescent lamp (CCFL) backlit LCD displays with mercury-free LED backlit LCD displays and arsenic-free glass. This means all Apple computers have mercury free LED backlit displays, arsenic-free glass and are without PVC cables. All Apple computers also have EPEAT Gold status.
Labor practices
In 2006, the Mail on Sunday reported that sweatshop conditions existed in factories in China, where the contract manufacturers, Foxconn and Inventec, operate the factories that produce the iPod. The article stated that one complex of factories that assemble the iPod, among other items, for instance, had over 200,000 workers that lived and worked in the factory, with workers regularly doing more than 60 hours of labor per week. The article also reported that workers made around $100 per month were required to live on the premises and pay for rent and food from the company, which generally amounted to a little over half of workers’ earnings.
Immediately after the allegations, Apple launched an investigation and worked with their manufacturers to ensure that conditions were acceptable to Apple. In 2007, Apple started yearly audits of all its suppliers regarding worker’s rights, slowly raising standards and pruning suppliers that did not comply. Yearly progress reports have been published since 2008. In 2010, workers in China planned to sue iPhone contractors over poisoning by a cleaner used to clean LCD screens. One worker claimed that they were not informed of possible occupational illnesses.
This pages has been adapted from the Wikipedia entry of December 10, 2010.
Accounting and Governance Rating
OVERVIEW
Apple Inc. is currently rated as having Average Accounting & Governance Risk (AGR). This places them in the 50th percentile among all companies in North America, indicating higher accounting and governance risk than 50% of companies.
RISK SUMMARY
The forensic risk summary highlights material risks, if any, and lists the most material red flagged metric for each risk.
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High Risk Events |
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Unearned Revenue Long-Term/Revenue |
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Asset-Liability Valuation |
The GMI Accounting and Governance Risk (AGR) rating is a comprehensive measure of corporate integrity, based on an extensive evaluation of metrics which study financial results and corporate behavior. Updated quarterly, the AGR score ranges from 1-100, with lower values representing greater risks; the worst 10% of companies will receive “Very Aggressive” ratings.
By “red-flagging” specific metrics of concern, AGR analysis effectively identifies areas of potential company risk. The table above shows the risk metrics with the greatest negative impact on the company’s AGR rating.
Powered by GMI
Sources of Information:
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http://www.google.com
Description
Google Inc. is a multinational Internet search technologies corporation. Google hosts and develops numerous Internet-based services and products, and generates profit primarily from advertising. The company was founded by Larry Page and Sergey Brin, while they were Ph.D. candidates at Stanford University. Google went public in August of 2004, after being a private company since September of 1998. From the beginning, Google’s motto was, “to organize the world’s information and make it universally accessible and useful”.
It was first incorporated as a privately held company on September 4, 1998, and its initial public offering followed on August 19, 2004. The company’s stated mission from the outset was “to organize the world’s information and make it universally accessible and useful”, and the company’s unofficial slogan – coined by Google engineer Paul Buchheit – is “Don’t be evil”. In 2006, the company moved to their current headquarters in Mountain View, California.
Google runs over one million servers in data centers around the world, and processes over one billion search requests and about twenty-four petabytes of user-generated data every day. Google’s rapid growth since its incorporation has triggered a chain of products, acquisitions, and partnerships beyond the company’s core search engine. The company offers online productivity software, such as its Gmail e-mail software, and social networking tools, including Orkut and, more recently, Google Buzz. Google’s products extend to the desktop as well, with applications such as the web browser Google Chrome, the Picasa photo organization and editing software, and the Google Talk instant messaging application. Notably, Google leads the development of the Android mobile phone operating system, used on a number of phones such as the Nexus One and Motorola Droid. Alexa lists the main U.S.-focused google.com site as the Internet’s most visited website, and numerous international google sites (google.co.in, google.co.uk etc.) are in the top hundred, as are several other Google-owned sites such as Youtube, Blogger, and Orkut. Google is also BrandZ’s most powerful brand in the world. The dominant market position of Google’s services has led to criticism of the company over issues including privacy, copyright, and censorship.
History
Google’s original homepage had a simple design since its founders were not experienced in HTML, the language for designing web pages.
Google began in January 1996 as a research project by Larry Page and Sergey Brin when they were both PhD students at Stanford University in California.
While conventional search engines ranked results by counting how many times the search terms appeared on the page, the two theorized about a better system that analyzed the relationships between websites. They called this new technology PageRank, where a website’s relevance was determined by the number of pages, and the importance of those pages, that linked back to the original site.
A small search engine called “RankDex” from IDD Information Services designed by Robin Li was, since 1996, already exploring a similar strategy for site-scoring and page ranking. The technology in RankDex would be patented and used later when Li founded Baidu in China.
Page and Brin originally nicknamed their new search engine “BackRub”, because the system checked backlinks to estimate the importance of a site.
Eventually, they changed the name to Google, originating from a misspelling of the word “googol”, the number one followed by one hundred zeros, which was meant to signify the amount of information the search engine was to handle. Originally, Google ran under the Stanford University website, with the domain google.stanford.edu.
The domain name for Google was registered on September 15, 1997, and the company was incorporated on September 4, 1998. It was based in a friend’s (Susan Wojcicki) garage in Menlo Park, California. Craig Silverstein, a fellow Ph.D. student at Stanford, was hired as the first employee.
Financing and initial public offering
The first funding for Google was an August 1998 contribution of US$100,000 from Andy Bechtolsheim, co-founder of [Sun Microsystems](http://www.businessinsider.com/blackboard/sun-microsystems “Sun Microsystems), given before Google was even incorporated. Early in 1999, while still graduate students, Brin and Page decided that the search engine they had developed was taking up too much of their time from academic pursuits. They went to Excite CEO George Bell and offered to sell it to him for $1 million. He rejected the offer, and later criticized Vinod Khosla, one of Excite’s venture capitalists, after he had negotiated Brin and Page down to $750,000. On June 7, 1999, a $25 million round of funding was announced, with major investors including the venture capital firms Kleiner Perkins Caufield & Byers and Sequoia Capital.
Google’s initial public offering (IPO) took place five years later on August 19, 2004. The company offered 19,605,052 shares at a price of $85 per share. Shares were sold in a unique online auction format using a system built by Morgan Stanley and Credit Suisse, underwriters for the deal. The sale of $1.67 billion gave Google a market capitalization of more than $23 billion. The vast majority of the 271 million shares remained under the control of Google, and many Google employees became instant paper millionaires. Yahoo!, a competitor of Google, also benefited because it owned 8.4 million shares of Google before the IPO took place.
Some people speculated that Google’s IPO would inevitably lead to changes in company culture. Reasons ranged from shareholder pressure for employee benefit reductions to the fact that many company executives would become instant paper millionaires. As a reply to this concern, co-founders Sergey Brin and Larry Page promised in a report to potential investors that the IPO would not change the company’s culture. In 2005, however, articles in The New York Times and other sources began suggesting that Google had lost its anti-corporate, no evil philosophy. In an effort to maintain the company’s unique culture, Google designated a Chief Culture Officer, who also serves as the Director of Human Resources. The purpose of the Chief Culture Officer is to develop and maintain the culture and work on ways to keep true to the core values that the company was founded on: a flat organization with a collaborative environment. Google has also faced allegations of sexism and ageism from former employees.
The stock’s performance after the IPO went well, with shares hitting $700 for the first time on October 31, 2007, primarily because of strong sales and earnings in the online advertising market. The surge in stock price was fueled mainly by individual investors, as opposed to large institutional investors and mutual funds. The company is now listed on the NASDAQ stock exchange under the ticker symbol GOOG and under the Frankfurt Stock Exchange under the ticker symbol GGQ1.
Growth
In March 1999, the company moved its offices to Palo Alto, California, home to several other noted Silicon Valley technology startups. The next year, against Page and Brin’s initial opposition toward an advertising-funded search engine, Google began selling advertisements associated with search keywords. In order to maintain an uncluttered page design and increase speed, advertisements were solely text-based. Keywords were sold based on a combination of price bids and click-throughs, with bidding starting at five cents per click. This model of selling keyword advertising was first pioneered by Goto.com, an Idealab spin-off created by Bill Gross. When the company changed names to Overture Services, it sued Google over alleged infringements of the company’s pay-per-click and bidding patents. Overture Services would later be bought by Yahoo! and renamed Yahoo! Search Marketing. The case was then settled out of court, with Google agreeing to issue shares of common stock to Yahoo! in exchange for a perpetual license.
During this time, Google was granted a patent describing its PageRank mechanism.The patent was officially assigned to Stanford University and lists Lawrence Page as the inventor. In 2003, after outgrowing two other locations, the company leased its current office complex from Silicon Graphics at 1600 Amphitheatre Parkway in Mountain View, California. The complex has since come to be known as the Googleplex, a play on the word googolplex, the number one followed by a googol zeroes. Three years later, Google would buy the property from SGI for $319 million. By that time, the name “Google” had found its way into everyday language, causing the verb “google” to be added to the Merriam Webster Collegiate Dictionary and the Oxford English Dictionary, denoted as “to use the Google search engine to obtain information on the Internet.”
Acquisitions and partnerships
Since 2001, Google has acquired many companies, mainly focusing on small venture capital companies. In 2004, Google acquired Keyhole, Inc.. The start-up company developed a product called Earth Viewer that gave a 3-D view of the Earth. Google renamed the service to Google Earth in 2005. Two years later, Google bought the online video site YouTube for $1.65 billion in stock. On April 13, 2007, Google reached an agreement to acquire DoubleClick for $3.1 billion, giving Google valuable relationships that DoubleClick had with Web publishers and advertising agencies. Later that same year, Google purchased GrandCentral for $50 million. The site would later be changed over to Google Voice. On August 5, 2009, Google bought out its first public company, purchasing video software maker On2 Technologies for $106.5 million. Google also acquired Aardvark, a social network search engine, for $50 million. Google commented in their internal blog, “we’re looking forward to collaborating to see where we can take it”. And, in April 2010, Google announced it had acquired a hardware startup, Agnilux.
In addition to the numerous companies Google has purchased, the company has partnered with other organizations for everything from research to advertising. In 2005, Google partnered with NASA Ames Research Center to build 1,000,000 square feet (93,000 m2) of offices. The offices would be used for research projects involving large-scale data management, nanotechnology, distributed computing, and the entrepreneurial space industry. Later that year, Google entered into a partnership with Sun Microsystems in October 2005 to help share and distribute each other’s technologies. The company also partnered with AOL of Time Warner, to enhance each other’s video search services. Google’s 2005 partnerships also included financing the new .mobi top-level domain for mobile devices, along with other companies including Microsoft, Nokia, and Ericsson. Google would later launch “Adsense for Mobile”, taking advantage of the emerging mobile advertising market. Increasing their advertising reach even further, Google and Fox Interactive Media of News Corp. entered into a $900 million agreement to provide search and advertising on popular social networking site MySpace.
In October 2006, Google announced that it had acquired the video-sharing site YouTube for US$1.65 billion in Google stock, and the deal was finalized on November 13, 2006. Google does not provide detailed figures for YouTube’s running costs, and YouTube’s revenues in 2007 were noted as “not material” in a regulatory filing. In June 2008, a Forbes magazine article projected the 2008 YouTube revenue at US$200 million, noting progress in advertising sales. In 2007, Google began sponsoring NORAD Tracks Santa, a service that pretends to follow Santa Claus’ progress on Christmas Eve, using Google Earth to “track Santa” in 3-D for the first time, and displacing former sponsor AOL. Google-owned YouTube gave NORAD Tracks Santa its own channel.
In 2008, Google developed a partnership with GeoEye to launch a satellite providing Google with high-resolution (0.41 m monochrome, 1.65 m color) imagery for Google Earth. The satellite was launched from Vandenberg Air Force Base on September 6, 2008. Google also announced in 2008 that it was hosting an archive of Life Magazine’s photographs as part of its latest partnership. Some of the images in the archive were never published in the magazine. The photos were watermarked and originally had copyright notices posted on all photos, regardless of public domain status.
In 2010, Google Energy made its first investment in a renewable-energy project, putting up $38.8 million into two wind farms in North Dakota. The company announced the two locations will generate 169.5 megawatts of power, or enough to supply 55,000 homes. The farms, which were developed by NextEra Energy Resources, will reduce fossil fuel use in the region and return profits. NextEra Energy Resources sold Google a twenty percent stake in the project in order to get funding for project development. Also in 2010, Google purchased Global IP Solutions, a Norway based company that provides web-based teleconferencing and other related services. This acquisition will enable Google to add telephone-style services to its list of products. On May 27, 2010, Google announced it had also closed the acquisition of the mobile ad network, AdMob. This purchase occurred days after the Federal Trade Commission closed its investigation into the purchase. Google acquired the company for an undisclosed amount. In July 2010, Google signed an agreement with an Iowa wind farm to buy 114 megawatts of energy for 20 years.
Products and services
Advertising
Ninety-nine percent of Google’s revenue is derived from its advertising programs.For the 2006 fiscal year, the company reported $10.492 billion in total advertising revenues and only $112 million in licensing and other revenues. Google has implemented various innovations in the online advertising market that helped make them one of the biggest brokers in the market. Using technology from the company DoubleClick, Google can determine user interests and target advertisements so they are relevant to their context and the user that is viewing them. Google Analytics allows website owners to track where and how people use their website, for example by examining click rates for all the links on a page. Google advertisements can be placed on third-party websites in a two-part program. Google’s AdWords allows advertisers to display their advertisements in the Google content network, through either a cost-per-click or cost-per-view scheme. The sister service, Google AdSense, allows website owners to display these advertisements on their website, and earn money every time ads are clicked.
One of the disadvantages and criticisms of this program is Google’s inability to combat click fraud, when a person or automated script “clicks” on advertisements without being interested in the product, to earn money for the website owner. Industry reports in 2006 claim that approximately 14 to 20 percent of clicks were in fact fraudulent or invalid. Furthermore, there has been controversy over Google’s “search within a search”, where a secondary search box enables the user to find what they are looking for within a particular website. It was soon reported that when performing a search within a search for a specific company, advertisements from competing and rival companies often showed up along with those results, drawing users away from the site they were originally searching. Another complaint against Google’s advertising is their censorship of advertisers, though many cases concern compliance with the Digital Millennium Copyright Act. For example, in February 2003, Google stopped showing the advertisements of Oceana, a non-profit organization protesting a major cruise ship’s sewage treatment practices. Google cited its editorial policy at the time, stating “Google does not accept advertising if the ad or site advocates against other individuals, groups, or organizations.” The policy was later changed. In June 2008, Google reached an advertising agreement with Yahoo!, which would have allowed Yahoo! to feature Google advertisements on their web pages. The alliance between the two companies was never completely realized due to antitrust concerns by the U.S. Department of Justice. As a result, Google pulled out of the deal in November 2008.
Search engine
The Google web search engine is the company’s most popular service. According to market research published by comScore in November 2009, Google is the dominant search engine in the United States market, with a market share of 65.6%. Google indexes trillions of web pages, so that users can search for the information they desire, through the use of keywords and operators. Despite its popularity, it has received criticism from a number of organizations. In 2003, The New York Times complained about Google’s indexing, claiming that Google’s caching of content on their site infringed on their copyright for the content. In this case, the United States District Court of Nevada ruled in favor of Google in Field v. Google and Parker v. Google. Furthermore, the publication 2600: The Hacker Quarterly has compiled a list of words that the web giant’s new instant search feature will not search. Google Watch has also criticized Google’s PageRank algorithms, saying that they discriminate against new websites and favor established sites, and has made allegations about connections between Google and the NSA and the CIA. Despite criticism, the basic search engine has spread to specific services as well, including an image search engine, the Google News search site, Google Maps, and more. In early 2006, the company launched Google Video, which allowed users to upload, search, and watch videos from the Internet. In 2009, however, uploads to Google Video were discontinued so that Google could focus more on the search aspect of the service. The company even developed Google Desktop, a desktop search application used to search for files local to one’s computer. Google’s most recent development in search is their partnership with the United States Patent and Trademark Office to create Google Patents, which enables free access to information about patents and trademarks.
One of the more controversial search services Google hosts is Google Books. The company began scanning books and uploading limited previews, and full books where allowed, into their new book search engine. The Authors Guild, a group that represents 8,000 U.S. authors, filed a class action suit in a Manhattan federal court against Google in 2005 over this new service. Google replied that it is in compliance with all existing and historical applications of copyright laws regarding books. Google eventually reached a revised settlement in 2009 to limit its scans to books from the U.S., the U.K., Australia and Canada. Furthermore, the Paris Civil Court ruled against Google in late 2009, asking them to remove the works of La Martinière (Éditions du Seuil) from their database. In competition with Amazon.com, Google plans to sell digital versions of new books. Similarly, in response to newcomer Bing, on July 21, 2010, Google updated their image search to display a streaming sequence of thumbnails that enlarge when pointed at. Though web searches still appear in a batch per page format, on July 23, 2010, dictionary definitions for certain English words began appearing above the linked results for web searches.
Productivity tools
In addition to its standard web search services, Google has released over the years a number of online productivity tools. Gmail, a free webmail service provided by Google, was launched as an invitation-only beta program on April 1, 2004, and became available to the general public on February 7, 2007. The service was upgraded from beta status on July 7, 2009, at which time it had 146 million users monthly. The service would be the first online email service with one gigabyte of storage, and the first to keep emails from the same conversation together in one thread, similar to an Internet forum. The service currently offers over 7400 MB of free storage with additional storage ranging from 20 GB to 16 TB available for US$0.25 per 1 GB per year. Furthermore, software developers know Gmail for its pioneering use of AJAX, a programming technique that allows web pages to be interactive without refreshing the browser. One criticism of Gmail has been the potential for data disclosure, a risk associated with many online web applications. Steve Ballmer (Microsoft’s CEO), Liz Figueroa, Mark Rasch, and the editors of Google Watch believe the processing of email message content goes beyond proper use, but Google claims that mail sent to or from Gmail is never read by a human being beyond the account holder, and is only used to improve relevance of advertisements.
Google Docs, another part of Google’s productivity suite, allows users to create, edit, and collaborate on documents in an online environment, not dissimilar to Microsoft Word. The service was originally called Writely, but was obtained by Google on March 9, 2006, where it was released as an invitation-only preview. On June 6 after the acquisition, Google created an experimental spreadsheet editing program, which would be combined with Google Docs on October 10. A program to edit presentations would complete the set on September 17, 2007, before all three services were taken out of beta along with Gmail, Google Calendar and all products from the Google Apps Suite on July 7, 2009.
Enterprise products
Google entered the enterprise market in February 2002 with the launch of its Google Search Appliance, targeted toward providing search technology for larger organizations. Google launched the Mini three years later, which was targeted at smaller organizations. Late in 2006, Google began to sell Custom Search Business Edition, providing customers with an advertising-free window into Google.com’s index. The service was renamed Google Site Search in 2008.
Another one of Google’s enterprise products is Google Apps Premier Edition. The service, and its accompanying Google Apps Education Edition and Standard Edition, allow companies, schools, and other organizations to bring Google’s online applications, such as Gmail and Google Documents, into their own domain. The Premier Edition specifically includes extras over the Standard Edition such as more disk space, API access, and premium support, and it costs $50 per user per year. A large implementation of Google Apps with 38,000 users is at Lakehead University in Thunder Bay, Ontario, Canada. In the same year Google Apps was launched, Google acquired Postini and proceeded to integrate the company’s security technologies into Google Apps under the name Google Postini Services.
Other products
Google Translate is a server-side machine translation service, which can translate between 35 different languages. Browser extensions allow for easy access to Google Translate from the browser. The software uses corpus linguistics techniques, where the program “learns” from professionally translated documents, specifically United Nations and European Parliament proceedings. Furthermore, a “suggest a better translation” feature accompanies the translated text, allowing users to indicate where the current translation is incorrect or otherwise inferior to another translation.
Google launched its Google News service in 2002. The site proclaimed that the company had created a “highly unusual” site that “offers a news service compiled solely by computer algorithms without human intervention. Google employs no editors, managing editors, or executive editors.” The site hosted less licensed news content than Yahoo! News, and instead presented topically selected links to news and opinion pieces along with reproductions of their headlines, story leads, and photographs. The photographs are typically reduced to thumbnail size and placed next to headlines from other news sources on the same topic in order to minimize copyright infringement claims. Nevertheless, Agence France Presse sued Google for copyright infringement in federal court in the District of Columbia, a case which Google settled for an undisclosed amount in a pact that included a license of the full text of AFP articles for use on Google News.
In 2006, Google made a bid to offer free wireless broadband access throughout the city of San Francisco in conjunction with Internet service provider Earthlink. Large telecommunications companies such as Comcast and Verizon opposed such efforts, claiming it was “unfair competition” and that cities would be violating their commitments to offer local monopolies to these companies. In his testimony before Congress on Net Neutrality in 2006, Google’s Chief Internet Evangelist Vint Cerf blamed such tactics on the fact that nearly half of all consumers lack meaningful choice in broadband providers. Google currently offers free wi-fi access in its hometown of Mountain View, California.
One year later, reports surfaced that Google was planning the release of its own mobile phone, possibly a competitor to Apple’s iPhone. The project, called Android, turned out not to be a phone but an operating system for mobile devices, which Google acquired and then released as an open-source project under the Apache 2.0 license. Google provides a software development kit for developers so applications can be created to be run on Android-based phone. In September 2008, T-Mobile released the G1, the first Android-based phone. More than a year later on January 5, 2010, Google released an Android phone under its own company name called the Nexus One.
Other projects Google has worked on include a new collaborative communication service, a web browser, and even a mobile operating system. The first of these was first announced on May 27, 2009. Google Wave was described as a product that helps users communicate and collaborate on the web. The service is Google’s “email redesigned”, with realtime editing, the ability to embed audio, video, and other media, and extensions that further enhance the communication experience. Google Wave was previously in a developer’s preview, where interested users had to be invited to test the service, but was released to the general public on May 19, 2010, at Google’s I/O keynote. On September 1, 2008, Google pre-announced the upcoming availability of Google Chrome, an open-source web browser, which was then released on September 2, 2008. The next year, on 7 July 2009, Google announced Google Chrome OS, an open-source Linux-based operating system that includes only a web browser and is designed to log users into their Google account.
Corporate affairs and culture
Google is known for having an informal corporate culture. On Fortune magazine’s list of best companies to work for, Google ranked first in 2007 and 2008 and fourth in 2009 and 2010. Google was also nominated in 2010 to be the world’s most attractive employer to graduating students in the Universum Communications talent attraction index. Google’s corporate philosophy embodies such casual principles as “you can make money without doing evil,” “you can be serious without a suit,” and “work should be challenging and the challenge should be fun.”
Employees
New employees are called “Nooglers,” and are given a propeller beanie hat to wear at their first TGIF.
Google’s stock performance following its IPO has enabled many early employees to be competitively compensated. After the company’s IPO, founders Sergey Brin and Larry Page and CEO Eric Schmidt requested that their base salary be cut to $1. Subsequent offers by the company to increase their salaries have been turned down, primarily because their main compensation continues to come from owning stock in Google. Prior to 2004, Schmidt was making $250,000 per year, and Page and Brin each earned a salary of $150,000.
In 2007 and through early 2008, Google has seen the departure of several top executives. In October 2007, former chief financial officer of YouTube Gideon Yu joined Facebook along with Benjamin Ling, a high-ranking engineer. In March 2008, Sheryl Sandburg, then vice-president of global online sales and operations, began her position as chief operating officer of Facebook while Ash ElDifrawi, formerly head of brand advertising, left to become chief marketing officer of Netshops, an online retail company that was renamed Hayneedle in 2009.
As a motivation technique, Google uses a policy often called Innovation Time Off, where Google engineers are encouraged to spend twenty percent of their work time on projects that interest them. Some of Google’s newer services, such as Gmail, Google News, Orkut, and AdSense originated from these independent endeavors. In a talk at Stanford University, Marissa Mayer, Google’s Vice President of Search Products and User Experience, showed that half of all new product launches at the time had originated from the Innovation Time Off.
The Googleplex
Google’s headquarters in Mountain View, California is referred to as “the Googleplex”, a play of words on the number googolplex and the headquarters itself being a complex of buildings. The lobby is decorated with a piano, lava lamps, old server clusters, and a projection of search queries on the wall. The hallways are full of exercise balls and bicycles. Each employee has access to the corporate recreation center. Recreational amenities are scattered throughout the campus and include a workout room with weights and rowing machines, locker rooms, washers and dryers, a massage room, assorted video games, foosball, a baby grand piano, a pool table, and ping pong. In addition to the rec room, there are snack rooms stocked with various foods and drinks. In 2006, Google moved into 311,000 square feet (28,900 m2) of office space in New York City, at 111 Eighth Ave. in Manhattan. The office was specially designed and built for Google, and it now houses its largest advertising sales team, which has been instrumental in securing large partnerships. In 2003, they added an engineering staff in New York City, which has been responsible for more than 100 engineering projects, including Google Maps, Google Spreadsheets, and others. It is estimated that the building costs Google $10 million per year to rent and is similar in design and functionality to its Mountain View headquarters, including foosball, air hockey, and ping-pong tables, as well as a video game area. In November 2006, Google opened offices on Carnegie Mellon’s campus in Pittsburgh. By late 2006, Google also established a new headquarters for its AdWords division in Ann Arbor, Michigan. Furthermore, Google has offices all around the world, and in the United States, including Atlanta, Austin, Boulder, San Francisco, S
Google is taking steps to ensure that their operations are environmentally sound. In October 2006, the company announced plans to install thousands of solar panels to provide up to 1.6 megawatts of electricity, enough to satisfy approximately 30% of the campus’ energy needs. The system will be the largest solar power system constructed on a U.S. corporate campus and one of the largest on any corporate site in the world. In addition, Google announced in 2009 that it was deploying herds of goats to keep grassland around the Googleplex short, helping to prevent the threat from seasonal bush fires while also reducing the carbon footprint of mowing the extensive grounds. The idea of trimming lawns using goats originated from R. J. Widlar, an engineer who worked for National Semiconductor. Despite this, Google has faced accusations in Harper’s Magazine of being extremely excessive with their energy usage, and were accused of employing their “Don’t be evil” motto as well as their very public energy saving campaigns as means of trying to cover up or make up for the massive amounts of energy their servers actually require.
Easter eggs and April Fool’s Day jokes
Google has a tradition of creating April Fool’s Day jokes. For example, Google MentalPlex allegedly featured the use of mental power to search the web. In 2007, Google announced a free Internet service called TiSP, or Toilet Internet Service Provider, where one obtained a connection by flushing one end of a fiber-optic cable down their toilet. Also in 2007, Google’s Gmail page displayed an announcement for Gmail Paper, allowing users to have email messages printed and shipped to them. In 2010, Google jokingly changed its company name to Topeka in honor of Topeka, Kansas, whose mayor actually changed the city’s name to Google for a short amount of time in an attempt to sway Google’s decision in its new Google Fiber Project.
In addition to April Fool’s Day jokes, Google’s services contain a number of Easter eggs. For instance, Google included the Swedish Chef’s “Bork bork bork,” Pig Latin, “Hacker” or leetspeak, Elmer Fudd, and Klingon as language selections for its search engine. In addition, the search engine calculator provides the Answer to the Ultimate Question of Life, the Universe, and Everything from Douglas Adams’ The Hitchhiker’s Guide to the Galaxy. Furthermore, when searching the word “recursion”, the spell-checker’s result for the properly spelled word is exactly the same word, creating a recursive link. Likewise, when searching for the word “anagram,” meaning a rearrangement of letters from one word to form other valid words, Google’s suggestion feature displays “Did you mean: nag a ram?” In Google Maps, searching for directions between places separated by large bodies of water, such as Los Angeles and Tokyo, results in instructions to “kayak across the Pacific Ocean.” During FIFA World Cup 2010, search queries like ‘world cup’, ‘fifa’, etc. will cause the “Goooo…gle” page indicator at the bottom of every result page to read “Goooo…al!” instead.
Philanthropy
In 2004, Google formed the not-for-profit philanthropic Google.org, with a start-up fund of $1 billion. The mission of the organization is to create awareness about climate change, global public health, and global poverty. One of its first projects was to develop a viable plug-in hybrid electric vehicle that can attain 100 miles per gallon. Google hired Dr. Larry Brilliant as the program’s executive director in 2004 and the current director is Megan Smith.
In 2008 Google announced its “project 10100″ which accepted ideas for how to help the community and then allowed Google users to vote on their favorites. After two years of silence, during which many wondered what had happened to the program, Google revealed the winners of the project, giving a total of ten million dollars to various ideas ranging from non-profit organizations that promote education to a website that intends to make all legal documents public and online. Network neutrality
Google is a noted supporter of network neutrality. According to Google’s Guide to Net Neutrality:
Network neutrality is the principle that Internet users should be in control of what content they view and what applications they use on the Internet. The Internet has operated according to this neutrality principle since its earliest days… Fundamentally, net neutrality is about equal access to the Internet. In our view, the broadband carriers should not be permitted to use their market power to discriminate against competing applications or content. Just as telephone companies are not permitted to tell consumers who they can call or what they can say, broadband carriers should not be allowed to use their market power to control activity online.
On February 7, 2006, Vinton Cerf, a co-inventor of the Internet Protocol (IP), and current Vice President and “Chief Internet Evangelist” at Google, in testimony before Congress, said, “allowing broadband carriers to control what people see and do online would fundamentally undermine the principles that have made the Internet such a success.”
Privacy
Eric Schmidt, Google’s chief executive, said 2007 in an interview with the Financial Times: “The goal is to enable Google users to be able to ask the question such as ‘What shall I do tomorrow?’ and ‘What job shall I take?’”. Schmidt reaffirmed this 2010 in an interview with the Wall Street Journal: “I actually think most people don’t want Google to answer their questions, they want Google to tell them what they should be doing next.”
On December 2009, Google’s CEO, Eric Schmidt, declared after privacy concerns: “If you have something that you don’t want anyone to know, maybe you shouldn’t be doing it in the first place. If you really need that kind of privacy, the reality is that search engines — including Google — do retain this information for some time and it’s important, for example, that we are all subject in the United States to the Patriot Act and it is possible that all that information could be made available to the authorities.” Privacy International ranked Google as “Hostile to Privacy”, its lowest rating on their report, making Google the only company in the list to receive that ranking.
At the Techonomy conference in 2010 Eric Schmidt predicted that “true transparency and no anonymity” is the way forward for the internet: “In a world of asynchronous threats it is too dangerous for there not to be some way to identify you. We need a name service for people. Governments will demand it.” He also said that “If I look at enough of your messaging and your location, and use artificial intelligence, we can predict where you are going to go. Show us 14 photos of yourself and we can identify who you are. You think you don’t have 14 photos of yourself on the internet? You’ve got Facebook photos!”
The non-profit group Public Information Research launched Google Watch, a website advertised as “a look at Google’s monopoly, algorithms, and privacy issues.” The site raised questions relating to Google’s storage of cookies, which in 2007 had a life span of more than 32 years and incorporated a unique ID that enabled creation of a user data log. Google’s has also faced criticism with its release of Google Buzz, Google’s version of social networking, where Gmail users had their contact lists automatically made public unless they opted out. Google has been criticized for its censorship of certain sites in specific countries and regions. Until March 2010, Google adhered to the Internet censorship policies of China, enforced by means of filters known colloquially as “The Great Firewall of China”.
Despite being highly influential in local and national public policy, Google does not disclose its political spending online. In August of 2010, New York City Public Advocate Bill de Blasio launched a national campaign urging the corporation to disclose all of its political spending.
During 2006-2010 Google Streetview camera cars collected about 600 gigabytes of data from users of unencrypted public and private WiFi networks in more than 30 countries. No disclosures nor privacy policy was given to those affected, nor to the owners of the WiFi stations. A Google representative claimed that they were not aware of their own data collection activities until an inquiry from German regulators was received, and that none of this data was used in Google’s search engine or other services. A representative of Consumer Watchdog replied, “Once again, Google has demonstrated a lack of concern for privacy. Its computer engineers run amok, push the envelope and gather whatever data they can until their fingers are caught in the cookie jar.” In a sign that legal penalties may result, Google said it will not destroy the data until permitted by regulators.
This page is adapted from the Wikipedia entry of November 27, 2010.
Accounting and Governance Rating
OVERVIEW
Google Inc. is currently rated as having Very Aggressive Accounting & Governance Risk (AGR). This places them in the 10th percentile among all companies in North America, indicating higher accounting and governance risk than 90% of companies.
RISK SUMMARY
The forensic risk summary highlights material risks, if any, and lists the most material red flagged metric for each risk.
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Risk |
Top Flagged Metric |
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Corporate Governance Events |
Consecutive quarters of EPS Growth |
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High Risk Events |
Mergers-Acquisitions |
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Revenue Recognition |
Operating Revenue/Operating Expense |
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Expense Recognition |
Prepaid Expenses/Operating Expense |
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Asset-Liability Valuation |
Asset Turnover |
The GMI Accounting and Governance Risk (AGR) rating is a comprehensive measure of corporate integrity, based on an extensive evaluation of metrics which study financial results and corporate behavior. Updated quarterly, the AGR score ranges from 1-100, with lower values representing greater risks; the worst 10% of companies will receive “Very Aggressive” ratings.
By “red-flagging” specific metrics of concern, AGR analysis effectively identifies areas of potential company risk. The table above shows the risk metrics with the greatest negative impact on the company’s AGR rating.
Powered by GMI
Read more: http://www.businessinsider.com/blackboard/google#ixzz1V7MvDxg1
Motorola
http://www.motorola.com/
Motorola is a manufacturer of wireless telephone handsets, and also designs and sells wireless network infrastructure equipment such as cellular transmission base stations and signal amplifiers.Description
The company’s smartphone Droid line is based on Google’s open-source Android mobile operating system.
Read more: http://www.businessinsider.com/blackboard/motorola#ixzz1V7N6KouN
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