Silicon Valley Technology Commentary & Archives · Est. 2006 3,035 Posts · 2006–2026

June 14, 2006

June 14, 2006 · 1 MIN READ · BY LOUIS GRAY

Google Building Secret Massive Supercomputer

Google Building Secret Massive Supercomputer

Google isn't satisfied in being the #1 company for search, and has found itself directly in the sights of some of the most powerful companies on Earth - Yahoo! and Microsoft, for starters. In order to continue leading the pack in Web services and customer satisfaction, solving the latency issue is key, as customers will switch sites and services over what are perceived to be more than millisecond delays. As part of the company's billion-plus dollar plan to solve just that, Google has amassed what some are calling the world's largest supercomputer, tucked away in Oregon, dubbed "Project02", according to those in the know. Whether that system is measured the largest by number of individual servers, petaflops, or some other metric is unclear, and nobody at Google is talking.

More in Tuesday's International Herald Tribune and in Wednesday's New York Times.

Listening to ''Bar None'', by Paul Oakenfold (Play Count: 7)

June 13, 2006

June 13, 2006 · 1 MIN READ · BY LOUIS GRAY

The Stock Market Is Bleeding Us Dry

The Stock Market Is Bleeding Us Dry

2005 was a good year for us in the stock market. Luckily for us, our investments in Google and Apple were some of the biggest hits of the year, and we got lucky with our timing on Baidu.com's IPO, among other short-term wins in Rackable, TiVo, etc. But 2006 has been a complete disaster, getting worse with every passing day, it seems. Even as the tech-rich NASDAQ continues to fall by full percentage points in every session, our own overweighted portfolio is getting killed.

Our two major holdings, Apple and Salesforce.com, are down 20 and 33% respectively from our average buy-in price, and Monday's activity saw our entire portfolio, including our 401k, take a dive, down another 2.5 percent. It's one thing to put money away for a rainy day, and quite another to see that money wash away in a flash flood of red ink. It's tempting enough to cut our losses and hide it in cash for the time being, but as any individual investor knows, that's exactly when the market would take a bounce upward - reverse indicators and all that...

Apple and Salesforce.com aren't the only stocks seeing their valuations recapitalized at a much lower level of course, but they are certainly the most painful for me. Tech giants like Microsoft similarly have continued a slide that looks to be unabated. And all we can do is wait and watch for things to turn around, whether it be a breakthrough on the oil and energy front, an easing of interest rates, or simply a spike in confidence, but our bets are made, and we're going to hold on.

Listening to ''Amsterdam'', by Oakenfold (Play Count: 1)

June 12, 2006

June 12, 2006 · 1 MIN READ · BY LOUIS GRAY

Pixar's Cars Takes the Checkered Flag

Pixar's Cars Takes the Checkered Flag

It should be interesting to see how well Pixar innovates the world of computer-generated animation now that they have been absorbed by Walt Disney, but in the company's last big salvo as an independent studio, Cars continues the successful track record initiated by Toy Story, Toy Story 2, Monsters Inc, A Bugs Life, Finding Nemo and The Incredibles. Though the film doesn't include any human or animal characters, and guides you along a faux-society led only be automobiles of all shapes, models and colors, the film itself is imminently enjoyable, if imminently forgettable - not an instant classic in the way some of Pixar's pioneering works are now seen. My wife and I took in the G-rated flick this evening in a weekday quasi-matinee, which saw us have the theater to ourselves (along with maybe a dozen folks), likely a great deal different from the film's opening days, which saw it take in more than $60 million at the box office, reaching number one overall.

The film tries to teach lessons and hearkens back to a simpler time, before the cruel, inanimate, unthinking Interstate bypassed what was once a thriving stop along Route 66. It also tries to teach the story that being a self-centered race car is not the substitute for happiness, and that friendships are needed to reach true joy. Preachy, but effective.

Though we enjoyed the film, I don't see it as having the staying power of Nemo or The Incredibles. Kids aren't going to be dressing up like the Cars for Halloween, or reciting lines from the film (unless I missed some good ones). And those of us adults were actually hoping to see some good natured monkey business between the lead race car and the sultry Porsche he had his eyes on. That would have been interesting... but again, the movie was rated G, unfortunately for us.

Listening to ''I Will (Y.O.M.C. Remix)'', by Black Spider (Play Count: 2)
June 12, 2006 · 1 MIN READ · BY LOUIS GRAY

Apple Benefiting from iPod Sweatshops?

Apple Benefiting from iPod Sweatshops?

In a story which brings up the images of Nike's sweatshop factories, MacWorld is echoing a Sunday piece in the UK's "Mail on Sunday" that says Apple has employed the help of roughly 200,000 low-paid female workers in China to build iPods, where they work 15 hour days and earn as much as $50 a month. In Shanghai, workers can earn up to $75 a month making iPod Shuffles, and spend half their wages on subsistence food and accommodations, provided by their employer. As the story says, "Low wages, long hours and China's industrial secrecy make the country attractive to business, particularly as increased competition and consumer expectations force companies to deliver products at attractive prices."

More: "MacWorld: Inside Apple's iPod Factories"

Listening to ''Eden (Vinyl Version)'', by Purple Haze (Play Count: 1)