If people could take off their panic caps for a minute, they would be able to see the explosion in smart phones (now around 1 billion) is on pace to swell to 5 billion over the next decade. What will that mean for a market leader like Google with over ½ billion Android devices that is activating 1.3 million more every day? I don’t know for sure, but I’m willing to venture it is going to mean a lot of dough for Google. What further inspires my confidence? Well, the fact that Google’s mobile related revenues have gone from $2.5 billion run rate last year to over $8 billion today indicates they are on the right track.
Google got caught naked with its press release flub, and the frail Motorola acquisition may cause a little indigestion in the coming quarters, but any short-run Google losses may be your opportunity for long-term gains.
Wade W. Slome, CFA, CFP®
Plan. Invest. Prosper.
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