SEC and FINRA to review Facebook IPO struggles

Facebook officially launched on the NASDAQ under the ticker "FB" this past Friday. In its first day of trading, the company's stock was up $0.23, but in the first two full days of trading, it's been down at least 9%.

According to a report from Reuters, the SEC and FINRA (Financial Industry Regulatory Authority) will both conduct investigations into why the Facebook stock has been performing poorly after analysts believed it would be successful. Many reports seem to point to an overvaluation on Facebook's stock, causing the significant drop over the past two days.

Investors were still shaking their heads over the botched opening trading of Facebook when Reuters reported late Monday that the consumer Internet analyst at lead underwriter Morgan Stanley cut his revenue forecasts for Facebook in the days before the offering, information that may not have reached many investors before the stock was listed.

JPMorgan Chase and Goldman Sachs, which were also underwriters on the deal, each revised their estimates during Facebook's IPO road show as well, according to sources familiar with the situation.

Reuters reported that Morgan Stanley selectively disclosed the change in Facebook estimates, which drew the attention of the main regulator of U.S. brokerages.

Facebook beginning to test new version of Timeline?

Back in September, Facebook unveiled a profile redesign dubbed "Timeline" for the social network's users. Timeline takes a user's profile page and places all of the information into a timeline view. The design, after numerous delays, has been rolling out to the 900+ million Facebook users over the past several months. Some users haven't even enabled Timeline on their account yet, electing to remain on the old profile page design. Timeline has been met with a significant amount of criticism from Facebook users as well.

This doesn't seem to be stopping the team at Facebook headquarters, however. According to a report from TPM, the social network has already begun beta testing a new version of Timeline with some users. The slightly redesigned Timeline view focuses on compressing the header of the page by simplifying the tabs. In addition, the user’s name, home location, occupation, education, and other information has been moved on top of the "cover photo" on the page. Since the text is white, many are wondering how Timeline will handle lighter color cover photos.

It's unclear how far along Facebook is with testing the redesigned Timeline, and whether the design will ever see the light of day.

Current Facebook Timeline View

Updated Facebook Timeline View

Hacker group ‘Anonymous’ releases 1.7 GB of information from United States Bureau of Justice

Hacker group Anonymous announced yesterday that it has released about 1.7 GB of information taken from the United States Bureau of Justice. Information stolen includes internal emails and database information, and the BJS took down their website to address the security issue.

We do not stand for any government or parties, we stand for freedom of people, freedom of speech and freedom of information.

We are releasing data to spread information, to allow the people to be heard and to know the corruption in their government. We are releasing it to end the corruption that exists, and truly make those who are being oppressed free.

The price we pay very often is our own freedom. The price governments pay is the exposure of their corruption and the truth being revealed, for the truth will set us free in the end.

Google unveils interactive Doodle for Robert Moog’s birthday

Google will be celebrating the 78th birthday of Robert Moog tomorrow, May 23, 2012, with a (pretty amazing) interactive Doodle on its homepage. Moog, who is best known for inventing the Moog synthesizer, has been named the "pioneer of electronic music" with his invention.

To celebrate the occasion, Google has created an interactive Moog synthesizer on its homepage where users can turn switches on and off, play sounds, and record their creations. The Doodle is currently live on the Google Australia homepage, and will be launching in the U.S. tomorrow.

Google closes deal to acquire Motorola Mobility

Google announced today that it has finalized its acquisition of Motorola Mobility, which was first announced in August of 2011. The deal, worth $12.5 billion, required approval from the European Commission, United States, and China (among other countries) before being finalized.

As part of the deal, Motorola Mobility CEO Sanjay Jha will be stepping down from his position and will be replaced by Dennis Woodside.

Sanjay Jha, who was responsible for building the company and placing that big bet on Android, has stepped down as CEO. I would like to thank him for his efforts and am tremendously pleased that he will be working to ensure a smooth transition as long-time Googler Dennis Woodside takes over as CEO of Motorola Mobility.

Google Chrome surpasses Internet Explorer as world’s most popular web browser

According to new data released by StatCounter this morning, Google Chrome has surpassed Internet Explorer as the world's most popular web browser (in terms of usage), a spot Microsoft's browser has held every week of the year since 1998. IE has been on a steady decline over the past several years, with web browsers such as Chrome and Firefox taking up market share left behind.

According to the data, Chrome now holds a 32.76% market share worldwide, while Internet Explorer controls 31.94%. In a distant third is Mozilla Firefox at 25.47%.

YouTube celebrates its 7th birthday

Today, May 21, 2012, is the seventh birthday of the Internet's most popular video uploading website, YouTube. Seven years ago on this date, YouTube opened its doors to the public. Following a significant amount of popularity from users, YouTube was sold to Google and has been under Google control since.

YouTube announced as part of a birthday blog post today that over 72 hours of video is collectively uploaded to the website every minute.

Yahoo announces plans to sell half of its stake in Alibaba

Yahoo today announced that it will be selling half of its stake in Chinese Internet company Alibaba back to the company. Representing about 20% of Alibaba's stock, Yahoo will receive $7.1 billion in total, with a minimum of $6.3 billion in the form of cash. In addition, the two companies have reached licensing agreements. Yahoo has agreed to let Alibaba run its Yahoo! China division for at least the next four years at a sum of $550 million.

First, at the time of an initial public offering (IPO) of Alibaba in the future, Alibaba will be required either to repurchase one-quarter of Yahoo!'s current stake at the IPO price or allow Yahoo! to sell those shares in the IPO. Second, following such an IPO, Yahoo! has registration rights and rights to marketing support from Alibaba to enable Yahoo! to dispose of its remaining shares, at times of Yahoo!'s choosing following a customary lock-up period.

Spotify launches in Australia and New Zealand

Popular music streaming service Spotify launched in two new locations today - Australia and New Zealand. The service, which launched in the United States back in the summer of last year, is available in Australia and New Zealand beginning today. It allows users to stream music (over 16 million tracks) for free. Subscription plans are available for users looking to ditch the periodic ads and limits on music streaming per month.

Some Motorola Mobility devices banned from import into U.S. following ITC ruling

The United States International Trade Commission (ITC) announced (PDF) a ruling last week that bans the import of certain Motorola Mobility devices into the United States following the company being found of infringing upon a Microsoft-owned patent. The patent in question deals with "generating meeting requests and group scheduling from a mobile device." The ban will likely go into effect within the next 60 days, unless Motorola Mobility is able to address the issue quickly. Affected devices include the Motorola Droid RAZR, the Motorola Droid 4, and the Motorola Droid Bionic.

Facebook founder and CEO Mark Zuckerberg ties the knot

One day after Facebook officially became a publicly traded company on the NASDAQ under the ticker "FB," Facebook founder and CEO Mark Zuckerberg married longtime girlfriend Priscilla Chan yesterday in a private service at his Palo Alto, California home. Zuckerberg announced the news by adding a new life event on his Facebook Timeline, along with an accompanying picture of him and his new bride.

Google’s acquisition of Motorola Mobility could close as soon as next week

According to a report from The Associated Press, the Chinese government has approved Google's proposed $12.5 billion acquisition of Motorola Mobility, possibly opening the opportunity to close the deal that was initially announced in August of 2011 as early as next week. China was the last country that needed to approve the merger, with both the United States and European Commission approving the deal back in February.

Chinese regulators had one condition for the deal being approved: "That Google's Android operating system for mobile devices remain available to all at no cost for the next five years."

Modern Warfare 3 Content Collection 2 set to be released on May 22

Earlier this week, Infinity Ward announced that the second "Content Collection" pack for Call of Duty: Modern Warfare 3 will be released this Tuesday, May 22, 2012 (Xbox LIVE customers only). The collection pack will include the content that has been released to Call of Duty Elite members since the last collection pack and will cost $15.

Content Collection 2 will include the following:

• Getaway (map)
• Lockout (map)
• Foundation (map)
• Sanctuary (map)
• Oasis (map)
• Iron Clad (spec ops mission)
• Kill Switch (spec ops mission)
• New achievements

Facebook hit with $15 billion privacy lawsuit on IPO day

Today, Facebook officially became a publicly traded company when it launched under the ticker "FB" on the NASDAQ. Also today, Facebook was hit with a class action lawsuit that claims it continues to track users' web browsing activity even after they logout of the social network. The lawsuit, which was filed in San Jose, California, is seeking nearly $15 billion in damages from Facebook.

The full press release follows:

Stewarts Law acts for facebook users who have filed a Consolidated Digital Privacy Class Action

18 May 2012 (San Jose, Calif.)

Facebook users today filed an amended consolidated class action complaint in federal court in San Jose, California in the case In re: Facebook Internet Tracking Litigation, No. 5:12-md-02314-EJD. The class action asserts federal statutory and California State causes of action related to the revelation in September 2011 that Facebook was improperly tracking the internet use of its members even after they logged out of their accounts. The action consolidates 21 related cases filed in more than a dozen states in 2011 and early 2012.

The plaintiffs assert claims under the federal Wiretap Act, which provides statutory damages per user of US$100 per day per violation, up to a maximum per user of US$10,000. Even if Facebook’s alleged actions constitute a single violation of the Wiretap Act per class member, that implies more than US$15 billion in damages across the class. The complaint also asserts claims under the Computer Fraud and Abuse Act, the Stored Communications Act, various California Statutes and California common law.

The class action is being led by court-appointed co-lead counsel Stewarts Law US LLP and Bartimus, Frickleton, Robertson & Gorny, P.C. David Straite, Partner at Stewarts Law, stated: “This is not just a damages action, but a groundbreaking digital privacy rights case that could have wide and significant legal and business implications.” In addition to co-lead counsel, the court has appointed a Plaintiffs’ Steering Committee which includes Keefe Bartels in New Jersey; Mandell, Schwartz & Boisclair in Rhode Island; Eichen Crutchlow Zaslow & McElroy in New Jersey; Bergmanis Law Firm in Missouri; Burns, Cunningham & Mackey in Alabama; and Murphy, Falcon & Murphy in Baltimore. The court has also appointed a committee of former State Attorneys General to advise the class, including former Mississippi AG Mike Moore, former Arizona AG Grant Woods, former Hawaii AG Margery Bronster, and former Louisiana AG Richard Ieyoub.

Facebook’s first day on the stock market wasn’t amazing

Today, Facebook officially launched its initial public offering (IPO) on the NASDAQ under the ticker "FB." The company's stock began trading at $38 after a nearly 30 minute delay from when it was initially scheduled to begin trading. The delay was reportedly due to heavy load on NASDAQ's network in preparation for the launch.

After its first day of trading, Facebook's stock ended the day at $38.23, up $0.23 from the original stock price. The number is down from the high for the day, which was about $42. While the end result wasn't as high as most investors and analysts believed it would be, the IPO still put Facebook at a $104 billion valuation.

Report: HP to layoff nearly 25,000 employees

According to a report from Bloomberg, Hewlett-Packard (HP) is considering to layoff nearly 8% of its total workforce, equivalent to about 25,000 employees. The move comes as the company is going through a minor transition period and attempts to reduce costs as struggles in sales continue.

The number to be cut includes 10,000 to 15,000 from Hewlett-Packard’s enterprise services group, which sells a range of information-technology services and has been beset by declining profitability, said these people, who asked not to be identified because the plans aren’t final and may change.

Verizon Wireless clarifies plans for axing unlimited data

Yesterday, news broke that Verizon Wireless would be axing the unlimited data plan option for existing customers. Last year, the carrier introduced tiered data plan options, but allowed existing customers to be "grandfathered" in and keep their unlimited data plan. The move would force any customer to switch to a tiered data plan.

Today, Verizon Wireless made some clarifications to the upcoming change to The New York Times. The company stated that customers who upgrade their line with a subsidized price will be the only ones forced to switch to a tiered data plan. If a customer doesn't upgrade their line or chooses to buy a new device at an unsubsidized price, they will be able to keep the unlimited data plan.

- Customers will not be automatically moved to new shared data plans. If a 3G or 4G smartphone customer is on an unlimited plan now and they do not want to change their plan, they will not have to do so.

- When we introduce our new shared data plans, Unlimited Data will no longer be available to customers when purchasing handsets at discounted pricing.

- Customers who purchase phones at full retail price and are on an unlimited smartphone data plan will be able to keep that plan.

- The same pricing and policies will be applied to all 3G and 4GLTE smartphones.

Facebook announces IPO share price of $38

Today, Facebook announced that the share price of its initial public offering that will be launching on the NASDAQ tomorrow morning will be $38. As a result, the company will be placed at a $104 billion valuation and will raise around $16 billion, both of these numbers are significantly higher than expected. Facebook will be offering a total of 421,233,615 shares of common stock. This IPO will be the largest in technology history.

The full press release follows:

Facebook Announces Pricing of Initial Public Offering

MENLO PARK, Calif., May 17, 2012 /PRNewswire/ — Facebook (NASDAQ: FB) today announced the pricing of its initial public offering of 421,233,615 shares of its common stock at a price to the public of $38 per share. The shares are expected to begin trading on the NASDAQ Global Select Market on May 18, 2012, under the symbol “FB.” Facebook is offering 180,000,000 shares of Class A common stock and selling stockholders are offering 241,233,615 shares of Class A common stock. Closing of the offering is expected to occur on May 22, 2012, subject to customary closing conditions.

In addition, Facebook and the selling stockholders have granted the underwriters a 30-day option to purchase up to 63,185,042 additional shares of Class A common stock to cover over-allotments, if any.

Morgan Stanley, J.P. Morgan, Goldman, Sachs & Co., BofA Merrill Lynch, Barclays, Allen & Company LLC, Citigroup, Credit Suisse and Deutsche Bank Securities are serving as book runners for the offering. RBC Capital Markets and Wells Fargo Securities are serving as active co-managers.

The offering will be made only by means of a prospectus. Copies of the prospectus related to the offering may be obtained from: Morgan Stanley & Co. LLC, 180 Varick Street, 2nd Floor, New York, New York 10014, Attention: Prospectus Department (Tel: +1 866 718 1649; e-mail: prospectus(at)morganstanley.com); J.P. Morgan Securities LLC, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, (Tel: +1 866 803 9204); or Goldman, Sachs & Co., 200 West Street, New York, NY 10282, Attention: Prospectus Department (Tel: +1 866 471 2526, e-mail: prospectus-ny(at)ny.email.gs.com).

A registration statement related to these securities has been filed with, and declared effective by, the U.S. Securities and Exchange Commission. This press release shall not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

Comcast enables Skype for Xfinity in Boston and Seattle, more locations coming later this week

Today, Comcast launched a new service for its Xfinity brand - Skype. Skype on Xfinity is now available for use by customers in the Boston and Seattle areas, with Atlanta, Augusta, Ga., Chicago, Detroit, Harrisburg, Pa., Indianapolis, Miami and Pittsburgh coming by the end of this week. Customers willing to pay $9.95/month can add Skype to their Xfinity plan and use text and video chatting services. The cost also includes a camera and a Skype remote that includes a keyboard for text chatting.

Facebook adds 84 million more shares to IPO

According to a report from The Associated Press, Facebook has announced yet another update to its initial public offering that is expected to be launched this Friday, May 18. This time, Facebook revealed that it has added an extra 84 million shares into its stock pool, all of which will be coming from early investors and internal people from the company.

Facebook plans to offer each share at somewhere between $34-$38, possibly raising a much-higher-than-expected $16 billion.