Google Plans To Invest “Heavily;” To Step Up Hiring; Seeking Acquisitions “Large and Small”

* IBM Q3 Revs, EPS Edge Estimates; ‘09 Forecast Raised; Stock Falls
* Advanced Micro Devices Q3 Tops Estimates



By Eric Savitz

Google (GOOG) CEO Eric Schmidt told investors in a Q3 earnings conference call this afternoon that “the worst of the recession is behind us,” and that the company now has the business confidence to invest “heavily” in the next phase of innovation.

Schmidt said the company will invest both in people - he said they are stepping up hiring - and in innovation.

Schmidt also said the company will focus more on strategic deals and acquisitions. He says Google is “open for business to make strategic acquisitions both large and small.”

Get ready to see a lot of Google will acquire FILL IN THE BLANK rumors.

Schmidt said they will focus mostly on small acquisitions, with larger deals every year or two.

Asked about possible stock repurchases, he said that they would not rule it out, but advised investors not to expect that to happen any time soon.

GOOG this afternoon is up $10.59, or 2%, to $540.50.

from Barron's

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Comment: Time for a letter to Eric Schmidt, I think (CC'd to Chandratillake and Mike Lynch, of course). If Chandratillake cannot or will not deliver value to Blinkx shareholders after two-and-a-half years of waiting, let's get this company flipped and sold to someone else...

One example: shareholders were told before last Christmas that Transaction Hijacking (TH) was ready to go - yet at the AGM last month Chandratillake is only now talking about setting up a server farm in Nevada to facilitate TH? What the f**k has he been DOING for the past 9 months?

* Where's the iPhone app?

* Where's the Facebook app?

* If Blinkx has such a bright future, why are NONE of the mgmt team buying shares? There may be a lot of deals going on behind the scenes (or at least shareholders hope so), but is there not ONE day of the year when the management team could collectively buy shares to demonstrate their faith in this company's future? Not ONE?

As someone once said: Talk - Action = Zero.

Which is about all that Blinxk shareholders have got so far...

But of course Chandratillake doesn't care about shareholder value, does he, because he's never put his hand in his pocket to buy a single share, has he?

If the news at the interims isn't good, I'll be writing to the large institutional holders suggesting that they support a call for an EGM to remove Chandratillake and put in place a CEO who can deliver, who can obsessively focus on shareholder value. I suspect that unless the Blinkx share price improves - and quickly - there will be many sympathetic ears to this call. These are people who bought at 45p two-and-a-half years ago, and now see their investment still worth less than half, despite all the 'progress' made since: most of which progress is, in fact, still largely speculation and rumour by delusionally optimistic shareholders. BobVila.com? And Blinkx seriously thought that was worth the cost of an RNS? Per-leeeeeeze...! If I needed any more proof...