The Web and Microsoft - Motley Fool Weekly Tech Review Part 2 | Summary and Q&A

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June 28, 2013
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The Motley Fool
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The Web and Microsoft - Motley Fool Weekly Tech Review Part 2

TL;DR

Google Reader is being shut down, Facebook is attempting to create an alternative news service, Snapchat's $800 million valuation seems absurd, and Microsoft's Nook Media division is struggling.

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Key Insights

  • 😮 Google's decision to shut down Google Reader reflects the changing landscape of content consumption and the rise of platforms like Twitter.
  • 👤 Facebook's attempt to create a news service on its platform is a reactionary move to retain user engagement but may face challenges in attracting users away from existing platforms.
  • ✋ The high valuation of Snapchat highlights the potential of the mobile advertising market, but also raises concerns about its long-term sustainability.

Transcript

welcome to mle full Tech weekly I'm Chris Hill joined by Eric bleer and Jason Moser um news this week uh Google basically uh putting out to pasture the Google Reader um I was going to say we were talking about this earlier you you were sh this is not anything I ever used but you were a big user what do you think of the move well I mean it's Google'... Read More

Questions & Answers

Q: Why is Google shutting down Google Reader?

Google has stated that the decision to shut down Google Reader was based on a decline in usage and the need to focus on other projects such as Google+.

Q: Is Facebook's news service a threat to Google Reader?

While Facebook's news service may attract some users, it is unlikely to fully replace the functionality and dedicated user base of Google Reader.

Q: Why did Snapchat receive such a high valuation despite not having profits?

The valuation of Snapchat is based on its potential and the belief that it could disrupt the mobile advertising market. However, there are concerns about its long-term sustainability.

Q: Why is Microsoft's Nook Media division struggling?

The Nook e-reader has been unable to compete with Amazon's Kindle, and Microsoft's investment in Nook has not been profitable. Barnes & Noble may sell off the division.

Summary & Key Takeaways

  • Google is shutting down Google Reader, a move that has disappointed and frustrated loyal users.

  • Facebook is trying to compete with Twitter and Google Reader by creating a news service on its platform.

  • Snapchat, a photo messaging app, recently raised $800 million in funding, despite having no proven profits or sustainability.

  • Microsoft's Nook Media division, which owns part of Barnes & Noble, is struggling and may be sold off.

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