Google’s purchase of Motorola Mobililty was a nice surprise today. It’s a pure Android play which will eventually push Apple back to it’s traditional 10% market share. I’ve followed Apple for decades, their innovation is inspiring and their products define markets. Unfortunately, Apple hasn’t managed to treat it’s birth defect, “Paranoid Monopolistic Tendancy” (PMD). PMD will soon be entering it’s most critical, third and advanced phase. During this phase margins will remain high, talking-heads will continue proselytizing their products and retail investors/funds will continue “pushing” their products. Leaders will depart (or write biographys) and advertising agencies will go into full spin mode. PMD is not terminal. We’ve seen Apple go into remission before, but the heady days for Apple are “nearly” over.
Now that Apple’s PMD has been made public and in light of Google’s recent purchase (and frankly it’s also recent development of Android) lets look over to Europe. (Keep in mind Microsoft’s drawn out battles with the EU…) Google suffers an airborne virus here, though admittedly not suffering PMD, it has a desease equally difficult to treat. The EU, already unhappy with big American companies forcing it’s memory eating, feature laden, browsers on innocent web users, has been embarassed with funny looking roaming camera cars mapping the lives of innocent villagers going about their daily lives. These unidentified rolling objects (URO’s) spy on innocent unemployed bread buyers, lovers sneaking off to their mistresses, and even illegal immigrants.
Google’s virus is orally transmitted through untreated political transfusion. And as we’re seeing on both sides of the Atlantic the popularity of political transfusion (read brinkmanship) has followed the gold curve. Might Google be offering European politicians the excuse at distraction they have been waiting for? My guess, is yes.
All that might be obvious, but what strikes me is Google’s reported purchase of Motorola Mobility is the single ONLY good news I see moving the markets today! It has moved them well, I have no regrets with a few long swing positions, though rest sceptical that our favorite handicapped brands ($AAPL, $GOOG), will alone lift debt laden, short limiting Europe and the politically inept off the proverbial floor!