Posted 11/03/09 at 11:15:54 AM by Paul Lilly

We can think of several reasons to invest in Windows 7. It's faster than Vista and more secure than XP. The new taskbar rocks. UAC is much less intrusive than it was in Vista. And did we mention it's fast? But if you're still not convinced Windows 7 should be your next OS, consider that you could be helping the economy rebound, according to research firm IDC.

Take this however you will, but according to a report in the Boston Globe, Microsoft hired the research firm to conduct a study of the ripple effect of the Windows 7 launch. During the course of its research, IDC found that U.S.-based companies could hire some 25,000 extra works to cope with the Windows 7 launch.

"There is a bounce effect based on the introduction of Windows 7," Said Amie White, vice president for global research at IDC.

In addition to creating jobs, IDC also estimates that technology companies across the nation stand to sell an extra $110 billion in Windows 7-related products and services through the end of 2010. This will have a trickle down effect as these same companies pump $41 billion to develop, sell, and support new products for Win 7 users, the Boston Globe reports.

Sounds Utopian.

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Posted 09/29/09 at 01:20:31 PM by Paul Lilly

Your Econ class probably never covered Facbook, but maybe it should. According to the Silicon Alley Insider, Facebook is "beating the s--- out of its numbers," and it's all thanks to Zynga's virtual goods.

Farmville, Texas Hold'em, and other social games are turning out to be cash cows. By some estimates, Zynga is pulling in a staggering $580,000 per day, with a good chunk of that coming from selling its users virtual goods. To ensure the well doesn't dry up, Zynga has spent a reported $50 million on Facebook ads.

"Zynga is an aggressive player in this space … possibly the most aggressive," writes AllFacebook.com. "There is two parts to their strategy. The first is to fund developers that have game ideas, promote them, and for those that are successful, they snatch them up, often at pennies on the dollar. The second is outright acquisition of successful application that they didn’t fund."

While Zynga has proven that selling virtual goods can be booming business, the future looks even brighter. There's talk of Zynga and Facebook teaming up to build a "Pay With Facebook" payment system that would both take on Paypal, and allow the companies to cash in twice on selling virtual goods.

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Posted 08/30/09 at 10:29:00 AM by Justin Kerr

Stronger than expected demand for microprocessors has prompted Intel to raise its Q3 forecast from $8.1 billion to $9.2 billion, and the good news is they aren’t the only ones predicting better times ahead. Both HP and Dell are forecasting Q3 revenues to rise, though this news comes hot on the heels of disappointing year to date earnings.

On Thursday, Dell reported a 23 percent drop in Q2 profit, but still managed to beat the street estimates. CEO Michael Dell claims, “if current demand trends continue, we expect revenue for the second half of the year to be stronger than the first half”. Rival Hewlett-Packard reported a similarly depressing drop in profit of 19 percent for the first half of the year, but is also expecting the trend to reverse itself soon.

The PC Industry is expected to benefit from the economic stimulus package in China, as well as what appears to be the start of an economic recovery in the U.S. Windows 7 is also expected to help move PCs in the consumer sector, but businesses will likely put off upgrading for at least a year or more.

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Posted 08/19/09 at 09:26:04 AM by Pulkit Chandna

Many financial savants grabbed their crystal balls and went into hiding when the economy went into freefall. Now that there are signs of recovery, they are again gazing into their crystal balls with renewed hope. According to many of them, including IMF’s chief economist Olivier Blanchard, the recession is behind us.

Tech honchos now believe that the IT industry would lead the recovery. According to a survey conducted by KPMG, two thirds of the 130 CEOs that were surveyed believe the IT industry would recover quicker than the US economy. Furthermore, a vast majority of CEOs feel 2010 would bring glad tidings for their industry. One can expect lesser job cuts in the near future as more than two thirds of tech bosses are not too keen on cost cutting.

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Posted 08/15/09 at 05:18:05 PM by Justin Kerr

Last month we reported on the rather bleak fortunes of the gaming industry, and it appears as though the trend that was identified in June has carried over to July. According to the NPD Group, July marks the fifth consecutive month of year-over-year video-game sales declines. Not only is the gaming industry no longer considered recession proof, but it managed to shed a staggering 29 percent compared to the same period last year. Sales of software and hardware for July 2009 were approximately $848.9 million, down from $1.1 billion in 2008.

NPD blames the summer tailspin on lackluster new game releases, and fewer hardware purchases. The industry on a whole is expected to pick up some steam in the traditionally strong Q4 period with several high profile launches expected. "This isn't the best time of year for video-game sales. In a down economy it makes it all that tougher said Michael Gartenberg, a vice president at Interpret. "Of course, there's nothing that's ultimately going to be recession-proof if the recession goes on long enough."

“Video games have large amounts of entertainment value beyond short-term enjoyment," Gartenberg said. "That's typically one of the reasons video games have done well." Would you agree?

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Posted 07/20/09 at 02:00:54 PM by Paul Lilly

The PC market isn't the only sector to note its first decline since the dot-com bust. According to the Consumer Electronics Association (CEA), consumer electronics in general is on pace to record its first annual drop in revenue since 2001, the same year the PC market also recorded its last decline prior to 2009.

Revenues are expected to be about $165 billion by the end of the year, down about 7.7 percent from 2008. However, it's not because consumers have reduced their spending. Instead, the CEA blames the lower revenue on lower product prices. In fact, CE spending as a percentage of all durable goods is as high as it has been in 50 years, TGDaily reports.

That might come as little consolation to CE manufacturers unable to cash in on consumer spending, but Blu-ray could turn that around. Despite falling prices of Blu-ray players, the CEA predicts unit shipments to reach nearly six million, a whopping 112 percent jump. That would push Blu-ray revenue over the $1 billion mark, a 48 percent increase over 2008.

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Posted 07/20/09 at 08:00:00 AM by Will Smith

In times of hardship, it’s important that we, the people, step up and do our civic duty. That’s why, in light of the harsh economic conditions we all face today, I implore everyone to spend more money on computers. LOTS more money. With hardware vendors reporting the worst holiday season of all time, they desperately need you to buy more components and build new PCs. And so-called “budget” machines won’t cut the mustard. You need to buy $1,000 CPUs and multiple $500 videocards. Think 6GB of RAM is enough? Think again. Now, all this PC construction will undoubtedly require tough sacrifices in other areas: Your kids may not get to go to “college.” You may need to cut back on your “food” budget. You may need to turn off non-essential services like “water” and “garbage collection.” Just remember that baloney and ramen taste better when you have a rig that can run Crysis at 2560x1600 with everything turned all the way up. Yes, power user, some things are worth tough sacrifices.

Wait. That’s terrible advice.

Continue reading after the jump!

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Posted 07/19/09 at 03:35:32 PM by Justin Kerr

The recession has been pummeling the living daylights out of the tech industry for almost a year now, and even industries that were once considered “immune” are starting to feel the pinch. Last month both hardware and software game sales slipped a combined 31 percent to $1.2 billion, down from $1.7 billion during the same period in 2008. This unfortunate milestone marks the fourth month in a row of year-over-year declines, and unfortunately for developers, there seems to be no end in sight. To add insult to injury, June’s numbers represent the worst decline since September 2000 when the industry shed over 41 percent. Gaming hardware is defiantly leading the decline with a 38 percent plunge, but software at 29 percent isn’t far behind.

It’s not all doom and gloom for the gaming industry however, and as we noted last week Casual gaming is on the rise. "Online gaming continues to be one of the top gaining categories over the past year growing at ten times the rate of the total U.S. Internet population and reaching nearly one out of every two Internet users," said Edward Hunter, comScore director of gaming solutions.

So have you been doing your part to bail out the gaming industry? Or is everyone just playing a two year old shared copy of Peggle?

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