Klischko and Fury were 2-meter giants each weighing nearly 250lb (112kg) and punching with a force ten times harder than the average human
“Dr Steelhammer” had lived up to his name, knocking out 64 (83%) of previous opponents
But “The Gypsy King” had never been knocked out
It was a brutal match with the fighters landing 138 punches over 12 rounds
No knockout blow, just blood and pain
And the end of a 10-year reign
I think we’re witnessing similar battles in “heavyweight” tech
They’ve all saturated their markets and are now “fighting” on each other’s turf
So these days:
Amazon is taking advertising dollars from Google and Meta
Google is taking cloud dollars from Amazon and Microsoft
Apple is taking payment dollars from Paypal
Google’s Pixel is taking handset dollars from Apple
And now a new “fight” has been declared – a big one
Microsoft wants advertising dollars from Google
Maybe the Microsoft CEO, Satya Nadella likes boxing because we’ve heard some “fighting talk” from him in recent days
In an FT interview he said “From now on, the (gross margin) of search is going to drop forever”
Now “forever” is problem for Alphabet because Statcounter says Google accounts for 93% of global searches, Bing has only 3% share
Meaning there’s only upside for Microsoft
And downside for Alphabet
One-trick-ponies competing against “800lb gorillas” are dangerous battles if that “one-trick” is a sideshow for the gorilla
And despite their best efforts to diversify, Alphabet’s “only profitable trick” is search – a sideshow for Microsoft
Now I imagine Alphabet has been an irritation to Microsoft over the years
They provide free alternatives to Excel and Word
Chromebooks are a competitor to Windows and
Now they’re stealing share in Cloud
So the more damage they do to Alphabet’s search “trick”, the less the firepower they have to compete
But isn’t Alphabet cheap, I see it in the Top 10 of your competitors?
At 20 times earnings with EPS falling 10% over the past year, they’re welcome to it
But they have lots of cash ..
Great – they’ll need it in a “fight” against Microsoft
But broker analysts are forecasting growing earnings …
Surely not the same guys who didn’t forecast the -10% earnings decline in 2022…
Anyway, have you seen the uptick in search for Bing?
ChatGPT “write me a limerick about Bing”
There once was a search engine named Bing,
It helped people find anything.
With results so precise,
And a simple design,
It made finding information a swing!
So the “fight” is on
Will it be a knockout and the end of a reign?
Who knows, but there’s sure to be blood and pain
If you own the “heavyweight” funds full of these things
it could be yours…
On 28th November 2015, “Dr Steelhammer” fought “The Gypsy King” in a long-awaited World Heavyweight championship fight
Klischko and Fury were 2-meter giants each weighing nearly 250lb (112kg) and punching with a force ten times harder than the average human
“Dr Steelhammer” had lived up to his name, knocking out 64 (83%) of previous opponents
But “The Gypsy King” had never been knocked out
It was a brutal match with the fighters landing 138 punches over 12 rounds
No knockout blow, just blood and pain
And the end of a 10-year reign
I think we’re witnessing similar battles in “heavyweight” tech
They’ve all saturated their markets and are now “fighting” on each other’s turf
So these days:
Amazon is taking advertising dollars from Google and Meta
Google is taking cloud dollars from Amazon and Microsoft
Apple is taking payment dollars from Paypal
Google’s Pixel is taking handset dollars from Apple
And now a new “fight” has been declared – a big one
Microsoft wants advertising dollars from Google
Maybe the Microsoft CEO, Satya Nadella likes boxing because we’ve heard some “fighting talk” from him in recent days
In an FT interview he said “From now on, the (gross margin) of search is going to drop forever”
Now “forever” is problem for Alphabet because Statcounter says Google accounts for 93% of global searches, Bing has only 3% share
Meaning there’s only upside for Microsoft
And downside for Alphabet
One-trick-ponies competing against “800lb gorillas” are dangerous battles if that “one-trick” is a sideshow for the gorilla
And despite their best efforts to diversify, Alphabet’s “only profitable trick” is search – a sideshow for Microsoft
Now I imagine Alphabet has been an irritation to Microsoft over the years
They provide free alternatives to Excel and Word
Chromebooks are a competitor to Windows and
Now they’re stealing share in Cloud
So the more damage they do to Alphabet’s search “trick”, the less the firepower they have to compete
But isn’t Alphabet cheap, I see it in the Top 10 of your competitors?
At 20 times earnings with EPS falling 10% over the past year, they’re welcome to it
But they have lots of cash ..
Great – they’ll need it in a “fight” against Microsoft
But broker analysts are forecasting growing earnings …
Surely not the same guys who didn’t forecast the -10% earnings decline in 2022…
Anyway, have you seen the uptick in search for Bing?
ChatGPT “write me a limerick about Bing”
There once was a search engine named Bing,
It helped people find anything.
With results so precise,
And a simple design,
It made finding information a swing!
So the “fight” is on
Will it be a knockout and the end of a reign?
Who knows, but there’s sure to be blood and pain
If you own the “heavyweight” funds full of these things
it could be yours…