Archive for June, 2008

Yahoo Woes

Thursday, June 26th, 2008

I know I’m late blogging about this issue but better late than never I guess.

I’m sure most of you have heard the news about Microsoft’s now withdrawn offer to purchase Yahoo. It was an ongoing adventure over the past year and a half. In May of 2008, Microsoft put in a formal bid to purchase Yahoo outright for $47.5 Billion, or $33 per share, looking to expand their online advertising presence and compete with Google.

I know if I owned shares in Yahoo (YHOO) I would have been a little upset. Especially considering they were trading at between $26 and $28 per share at the time of the bid. Yahoo played a little too hard to get in this relationship, as senior executives rejected the offer believing the company was worth more around the range of $37 per share. After a few more weeks of negotiations, the announcement was made that Yahoo and Microsoft were no longer talking.

You may also have heard that, Yahoo, now hurt from the break up with Microsoft, crawled into bed with Google. A rebound relationship that has many questioning Yahoo’s actions. Yahoo and Google announced the deal on the same day that talks with Microsoft ceased. Yahoo has outsourced some of its paid search ad business to Google. Although the deal is still undergoing the loop holes required to be approved, it won’t surprise me when it gets approved.

Now at this point you may be asking yourself, “why do you care?” Ahh good question. As mentioned, I don’t own shares in Yahoo so the fact that they are now trading 30% less than Microsoft’s offer doesn’t keep me awake at night, or the fact that they dropped more than 15% since the acquisition fell through. What I do care about is what will now happen to online advertising, and the future of Yahoo. I see people removing their Yahoo ads, and instead investing more into their Google advertising since their ads will still display on both Google and Yahoo sites because of the deal.

I like Google. They’ve definitely done some great things and continue to amaze me all the time. But the competition from a Yahoo-Microsoft merge would have been nice to see in the online advertising industry.

Rogers and the iPhone

Thursday, June 26th, 2008

Thanks to my roommate, I just received the info on the data plans that will be required with the iPhone on the Rogers’ network.

The price of the phone, as announced at Apple’s keynote will be $199 for the 8gb or $299 for the 16gb. These prices are with a 3 year contract with Rogers’. They mention that some upgrades may qualify for this lovely price as well, but the iPhone is not available at all for a 2 year contract, a “no commitment” price, or on a prepaid service. Also, only 3 iPhone activations per customer is allowed.

All existing voice plans will be available for the iPhone, but they have added a couple data plans, one of which is required.

“Consumer Data Plan (must be added to qualified voice plan): $30 - Unlimited Data (E-mail/Web), includes Visual Voicemail when subscribed to any voicemail service.”

“Enterprise Data Plan (must be added to qualified voice plan): $45 – Unlimited Data with personal and corporate e-mail, web, includes Visual Voicemail when subscribed to any voicemail service.”

Rogers’ 3G mobile broadband network will allow download speeds of up to 1.4 Mbps on the iPhone.

So, there it is. Not too bad I must say. You’re looking at $30 for the unlimited data plan, plus whatever you pay now for your voice package - which sometimes seems like way too much as it is. I think it’s unfortunate that there’s no 2 year price though. Also, if you’re moving across Canada, it isn’t a problem changing your local area, however I don’t know the logistics if you were to move into the United States and whether you’d be able to change to a US carrier, or have to sell off your contract and get a new one down there.

I definitely see myself with an iPhone, but to be completely honest I like not having email on the go. Being able to turn off my phone without the guilt of missed emails is enjoyable. Although I’m sure I’ll have one sooner or later, I doubt it’ll be until this time next year.

Heinz pulls commercial

Tuesday, June 24th, 2008

Heinz decided to pull a commercial for their Deli Mayo after receiving about 200 complaints in less than a week:

The complaints stated that the commercial was “offensive” and “inappropriate to see two men kissing”. Wake up! I’m pretty sure that even in the UK, same-sex relationship exist. To be deemed “inappropriate” seems a little harsh. It was launched in the UK by Abbott Mead Vickers BBDO - their first ad since winning Heinz’s $20 million UK account last year. Unfortunately it may be their last as well. The ad was meant to be humorous, displaying an English family with an Italian “mom” or chef, which goes along with the whole Heinz Deli theme. I think it did a pretty good job at being funny. Clearly, other people have different thoughts.

“Other complaints included that the ad was ‘unsuitable to be seen by children’ and that it raised the difficult problem of parents having to discuss the issue of same-sex relationships with younger viewers.” Even though this ad wasn’t allowed to be shown in or around children’s programming because of the Mayo’s fat and sugar content. I’m sure by 2009, we’ve all been exposed to some sort of same-sex relationship. I don’t see this commercial being confusing in this sense.

I guess I’m just a little disappointed that it received so many complaints. I don’t blame Heinz for pulling it from the air - it’s not good for business to leave up an ad that receives so many complains. I also commend Abbott Mead Vickers, being a marketing major I can understand the controversy that can go along with creating an ad like this and I’m glad they went through with it. Unfortunately the UK isn’t quite ready for it. I guess they do take a while to catch on to some things - hygiene?

Okay, okay. I’m back

Thursday, June 19th, 2008

When I wrote “near future” I definitely didn’t mean a half a month. Regardless, here I am.

For all those looking for an update, I am back on the East Coast. I am living in Halifax for the rest of the summer and working a variety of projects. I am back in somewhat of a routine now, and must admit it’s nice.

More to come.

I’m alive!

Monday, June 2nd, 2008

For all of you asking what happened to me: I am alive and well.

My free time and internet usage has been limited at best. Sorry for the short blogging hiatus, but I will be actively blogging again in the near future.