Earlier this week IBM and Intel posted earnings which was better than expected giving hints of a positive trend in the technology sector, and Google’s announcement of a surprisingly strong quarterly earnings made a lot of people look forward to the speedy recovery of the tech industry.
Google’s 7 percent revenue increase over the same period last year is giving the tech industry a sustained outlook improvement. It added to the optimistic sentiment started by IBM and Intel when the two tech companies released their earnings report. IBM reported a profit of $3.21 billion for the third quarter while Intel registered a net income of $1.9 billion.
Google’s positive outlook on the economy and its ability to meet its near-term forecast is giving the company enough confidence to plan for new acquisitions. Google’s CEO, Eric Schmidt, said that they are now looking for both large and small candidates across a wide variety of services, including those with functions related to its core business. They are also on the look-out for companies who are into industry-specific applications, web-browsing technologies and analytics, added Mr. Schmidt.
These positive developments allowed tech-heavy Nasdaq to enjoy a gain of more than 70 percent from its March lows. Some analyst said that it is now safe to say that stock prices had been moving higher in anticipation of a recovery in the tech sector earnings.
It seems that the technology and related industries will head the recovery of the economy. What’s your opinion about this? Put your comments here.
More at:
http://www.daylife.com/article/09KC8X27S7d5Y?q=E-Commerce+Times
http://www.crmbuyer.com/story/68403.html?wlc=1255788201
http://www.googlelivesearch.com/2009/10/16/good-news-from-google-fuels-tech-sector-optimism/
http://redtram.com/go/224891150/
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