Replies to Post #119811 onORIONS Money Stocks

Replies to #119811 on ORIONS Money Stocks

$oldier Hard

02/13/11 9:13 PM

#119812 RE: AugustaFriends #119811

PARD.
http://stockcharts.com/h-sc/ui?s=PARD&p=D&b=5&g=0&id=p55792898230

*LAO*

02/14/11 12:23 AM

#119815 RE: AugustaFriends #119811

Good List AF. My top five plays are similar to yours--CRBC, GMET, AUTH, AEZS and RXII.

jealouZ

02/14/11 1:26 AM

#119817 RE: AugustaFriends #119811

I compiled some DD on the stock I told you about. This isn't everything that I've come across, but this should give a good idea of the overall potential of the company. If you see a red flag, please tell me as I'm in this heavy:

Augme Technologies, Inc.
43 West 24th Street
11th Floor
New York, NY 10010
Phone: 800-825-8135
Website: http://www.augme.com (nearly all of this came from their website and yahoo finance)
Full Time Employees: 50

Business Summary
Augme Technologies, Inc. provides strategic services and mobile technology to consumer and healthcare brands. The company offers AD LIFE mobile marketing technology platform that allows marketers, brands, and agencies the ability to plan, create, test, deploy, and track mobile marketing programs. Through the use of consumer response tags, such as 2D codes, UPC codes, SMS, and image recognition, AD LIFE facilitates consumer brand interaction and the ability to track and analyze campaign results. Using its own patented device-detection and proprietary mobile content adaptation software, AD LIFE solves the mobile marketing industry problem of disparate operating systems, device types, and on-screen mobile content rendering. The company also provides business to consumer utilities, including national mobile couponing solutions, strategic mobile healthcare tools, custom mobile application development, and consumer data tracking and analytics. In addition, it owns and licenses the digital broadcast platform BOOMBOX. The company was formerly known as Modavox, Inc. and changed its name to Augme Technologies, Inc. in February 2010. Augme Technologies, Inc. was founded in 1999 and is headquartered in New York, New York

Valuation Measures
Market Cap (intraday)5: 245.89M
Enterprise Value (Feb 13, 2011)3: 245.23M
Trailing P/E (ttm, intraday): N/A
Forward P/E (fye Feb 28, 2012)1: N/A
PEG Ratio (5 yr expected)1: N/A
Price/Sales (ttm): 120.02
Price/Book (mrq): 13.22
Enterprise Value/Revenue (ttm)3: 119.70
Enterprise Value/EBITDA (ttm)3: -27.36

Financial Highlights
Fiscal Year
Fiscal Year Ends: Feb 28
Most Recent Quarter (mrq): Nov 30, 2010

Income Statement
Revenue (ttm): 2.05M
Revenue Per Share (ttm): 0.04
Qtrly Revenue Growth (yoy): 1,099.40%
Gross Profit (ttm): -152.94K
EBITDA (ttm): -8.96M
Net Income Avl to Common (ttm): -9.05M
Diluted EPS (ttm): -0.17
Qtrly Earnings Growth (yoy): N/A

Balance Sheet
Total Cash (mrq): 657.58K
Total Cash Per Share (mrq): 0.01
Total Debt (mrq): 0.00
Total Debt/Equity (mrq): N/A
Current Ratio (mrq): 1.40
Book Value Per Share (mrq): 0.30

Trading Information
Stock Price History
Beta: 1.53
52-Week Change3: 205.43%
S&P500 52-Week Change3: 23.58%
52-Week High (Jan 20, 2011)3: 4.25
52-Week Low (May 25, 2010)3: 0.81
50-Day Moving Average3: 3.63
200-Day Moving Average3: 2.54

Share Statistics
Avg Vol (3 month)3: 242,567
Avg Vol (10 day)3: 142,444
Shares Outstanding5: 62.41M
Float: 51.51M
% Held by Insiders6: 18.20%

OVERVIEW
Founded in 1999, Augme Technologies, Inc. ("Augme") provides Internet applications and services based upon marketing driven technology platforms that enhance the delivery of marketing communications through intelligent distribution to all Internet-enabled devices. Augme owns the "Method and System for Adding Function to a Webpage" portfolio of patents, which cover technical processes and methods which are an indispensable component of behavioral targeting - the automatic provision of customized content to individuals based on information such as past web activity, personal preferences, geography, or demographic data. Augme platforms enable Internet video broadcasting, Internet advertising, and mobile marketing - all aimed at increasing marketing return on investment ("ROI") or monetizing audio and video content delivery to Internet-enabled devices.
In 2009, Augme initiated a comprehensive business growth strategy aimed at fully leveraging the value of its technology and patent portfolio by accelerating the advanced development of technology platforms that apply the most valuable aspects of the patents.
In an effort to support Augme's new business strategy, and in conjunction with the repositioning of other corporate assets earlier in 2009, Augme executed a Letter of Intent, effective December 31, 2009, to dispose of certain tangible and intangible assets and certain liabilities and to transfer certain obligations related to our Internet Radio services. This transaction transferred the business operations of our Internet Radio services to World Talk Radio, LLC, an Arizona based limited liability company ("WTR") to be owned and operated by VoiceAmerica.
The disposition of the Internet Radio operations resulted in a reduction in our expenses, enabling management to focus all available resources on the corporate strategy defined in 2009 that includes an expanded IP licensing structure as well as supporting the development and further commercialization of marketing driven technologies. Furthermore, as part of the strategy to streamline operations and to create non-encumbered revenues to support growth businesses, we will receive a perpetual royalty as a percentage of gross revenue generated by WTR for as long as the new entity provides Internet radio services.
With the disposition of the Internet Radio operations effective December 31, 2009, we are managing three newly defined operating divisions in the high growth markets of mobile marketing (AD LIFETM), video content delivery (BoomBox?) and ad network provisioning (AD SERVETM). These three divisions are branded under "Augme" - derived from the verb Augment: to make something greater by adding to it. The Augme branded portfolio offers products and services based upon marketing driven technology platforms that enhance the delivery of marketing communications through intelligent distribution to all Internet-enabled devices.
AD LIFETM ("Augme Mobile") is our interactive platform to provide marketers, brands and advertising agencies the ability to create, deliver, manage and track interactive marketing campaigns targeting mobile consumers through traditional print advertising channels. AD LIFETM continues to validate its growth plan of becoming the premier mobile marketing provider for the world's largest consumer package goods (CPG) companies and their marketing agencies. By integrating the AD LIFETM platform within the marketing technology function of these formidable clients, we anticipate highly annuitized growth as the platform is utilized across multiple brands under a single master contract. AD LIFETM is experiencing significant momentum, evidenced by our success with Fortune 500 CPGs as clients and some of the most common household brands, where we were able to compete successfully against major corporations for these clients. Our websites are located at www.augmemobile.com and www.augme.com and include a complete overview of our technology.
Our indirect sales channel partnership strategy continues to show activity and growth for AD LIFETM, highlighted by our working relationships with top traditional media purveyors in the US such as Graphic Packaging, News Corp's News America Marketing (a division of News Corp), Clear Channel Outdoor, and OMD (a division of Omnicom Group). Technical partnerships are equally valuable, demonstrating our vision and leadership in mobile marketing solutions. Our recently announced collaboration with Inmar - the nation's leading promotions transaction settlement provider - to enable consumer directed rebate charity program for Springer Mountain Farms. We also recently delivered the SmartSource mobile coupon program for News America Marketing, offering top national brand coupons available exclusively through the mobile phone. In the coming months, we look forward to sharing more on the depth and value of these important indirect sales and technical partnerships.
In addition to CPG clients, the AD LIFETM platform has tremendous potential within specific vertical markets. In fact, our fastest growing product line is Augme Mobile Health, which is the AD LIFETM platform modified for the unique needs of the health care and pharmaceutical industry. Our HIPAA-compliant mobile interactive technology enables marketers of prescription-drugs and their agencies to communicate with health care providers and their patients instantly through mobile phones. We are currently doing business with three of the world's top ten pharmaceutical companies that have combined net revenues of over $150 billion. Some of our other clients include six Fortune 100 companies, seven Fortune 200 companies and one Global Fortune 500 company.
Three Months Ended August 31, 2010 versus August 31, 2009
For the quarter ended August 31, 2010, revenues were $718,717 compared to $39,509 for the quarter ended August 31, 2009. The resulting increase is directly related to the added emphasis on providing mobile media and services. Production and service delivery costs were $251,711 for the August 31, 2010 quarter compared to $105,760 for the quarter ended August 31, 2009 reflecting additional costs related to human capital in order to facilitate the delivery of the new service oriented philosophy.
Selling, general, and administrative expenses were $2,180,524 for the quarter ended August 31, 2010 compared with $1,106,866 for the quarter ended August 31, 2009, an increase of 97%. The current quarter expense consisted primarily of approximately $799,000 of non-cash stock option expense, and approximately $1,200,000 of other expenses, including payroll, accounting, consulting fees and software development expenses.
Depreciation and amortization expense was $244,257 for the quarter ended August 31, 2010 compared with $205,590 in the quarter ended August 31, 2009. Amortization expense increased to $174,805 for the quarter ended August 31, 2010 compared to $128,785 for the quarter ended August 31, 2009. Depreciation expense for the quarter ended August 31, 2010 decreased to $69,452 compared to $76,805 for the quarter ended August 31, 2009. The total increase in depreciation and amortization relates to the increased intangible assets associated with the New Aug, LLC acquisition last year.
Interest income was $7 for the three months ended August 31, 2010 versus interest expense of $574 for the quarter ended August 31, 2009.
Gain (loss) on derivative instruments was a loss of $0 for the three months ended August 31, 2010 compared to $63,682 for the quarter ended August 31, 2009.
During the quarter ended August 31, 2010, the Company incurred a net loss of $1,956,340 compared to a net loss of $1,477,262 in the prior year quarter. The $479,078 increase in the net loss is a result of increased expenses, including non-cash expenses, as described above.
Pursuant to accounting rules for discontinued operations, we have included the results for the comparable prior reporting period to present the activity related to the Internet Radio operations as a discontinued operation. Discontinued operations for the three months ended August 31, 2009 are summarized as follows: Revenues of $671,858; Cost of Revenues at ($149,832); Operating Expenses of ($556,325), giving us a Loss from discontinued operations (before income taxes) of ($34,299).
-5-
________________________________________
Six Months Ended August 31, 2010 vs. 2009
For the six months ended August 31, 2010, revenues were $1,005,040 compared to $78,202 for the six months ended August 31, 2009, an increase of 1185%. The increase in overall revenues is due to increased customer demand for our Ad Life platform.
Production and service delivery costs were $485,038 for the six months ended August 31, 2010 compared to $170,761 during the six months ended August 31, 2009 reflecting higher sales volume and higher overall costs related to telecommunications, higher cost of hosting our content as well as higher personnel costs associated with increased staffing and compensation levels.
Selling, general, and administrative expenses were $3,722,581 for the six months ended August 31, 2010 compared with $1,999,709 for the six months ended August 31, 2009, a change of $1,722,872, or 86%. The change in expense primarily consisted of $1,026,479 of increased non-cash stock option expense, $962,990 due to increased staffing and employee benefits and outside contracting costs associated with an increased level of product development. Of these administrative expenses, $692,087 of the increase is related to increased staffing and compensation levels in sales and general management, and $348,065 in professional fees is related to investor relations, accounting, legal, software development, and other consulting fees and other expenses. Approximately $1,414,000 of the total selling, general, and administrative expenses for the six months ended August 31, 2010 was non-cash in nature versus approximately $1,409,000 for the six months ended August 31, 2009, and consisted of the fair value accounting for stock options and certain expenses that were paid with shares of common stock of the Company.
Depreciation and amortization expense was $491,716 for the six months ended August 31, 2010 compared with $361,122 in the comparable 2009 period. Amortization expense increased to $350,025 for the six months ended August 31, 2010 compared to $207,444 for the comparable 2009 period. Depreciation expense for the six months ended August 31, 2010 decreased to $141,691 compared to $153,678 for the six months ended August 31, 2009. The increase in depreciation and amortization relates to the increased capitalization of internal software and for the intangible assets related to the New Aug, LLC; and Radio Pilot acquisitions.
Interest income was $15 for the six months ended August 31, 2010 versus interest expense of $390 for the six months ended August 31, 2009.
Gain (loss) on derivative instruments was a loss of $0 for the six months ended August 31, 2010 compared to a loss of ($548,452) for the six months ended August 31, 2009.
For the six months ended August 31, 2010, the Company incurred a net loss of $3,694,279 compared to a net loss of $3,220,782 in the comparable prior year period. The $473,497 increase in the net loss is a result of increased direct expenses and increased selling, general and administrative expenses including non-cash expenses, as described above.
http://biz.yahoo.com/e/101013/augt.ob10-q.html
Three Months Ended November 30, 2010 versus November 30, 2009
For the quarter ended November 30, 2010, revenues were $853,169 compared to $71,132 for the quarter ended November 30, 2009. The resulting increase is directly related to the added emphasis on providing mobile media marketing and services. Production and service delivery costs were $361,349 for the November 30, 2010 quarter compared to 28,349 for the quarter ended November 30, 2009 reflecting additional costs related to human resources in order to facilitate the delivery of the new service oriented philosophy.
Selling, general, and administrative expenses were $3,064,546 for the quarter ended November 30, 2010 compared with $1,297,543 for the quarter ended November 30, 2009, an increase of 136%. The current quarter expense consisted primarily of approximately $832,358 of non-cash stock option expense, and approximately $2,232,188 of expenses, including payroll, accounting, consulting fees and software development expenses. Professional services costs ("Professional Fees") comprise a major percentage of the costs in the approximate amount of $991,743 in the aggregate.
Depreciation and amortization expense was $261,209 for the quarter ended November 30, 2010 compared with $280,481 in the quarter ended November 30, 2009. Amortization expense decreased to $170,688 for the quarter ended November 30, 2010 compared to $194,164 for the quarter ended November 30, 2009. Depreciation expense for the quarter ended November 30, 2010 increased to $90,521 compared to $86,317 for the quarter ended November 30, 2009. The total change in depreciation and amortization relates to the change in intangible assets associated with the New Aug, LLC acquisition last year.
Interest income was $7 for the three months ended November 30, 2010 versus interest expense of $590 for the quarter ended November 30, 2009.
The Gain (loss) on derivative instruments was $0 for the three months ended November 30, 2010 compared to $158,588 for the quarter ended November 30, 2009.
During the quarter ended November 30, 2010, the Company incurred a net loss of $2,833,928 compared to a net loss of $1,758,248 in the prior year quarter. The $1,075,680 increase in the net loss is a result of increased expenses, including non-cash expenses, and increased professional fees, as described above.
Pursuant to accounting rules for discontinued operations, we have included the results for the comparable prior reporting period to present the activity related to the Internet Radio operations as a discontinued operation. Discontinued operations for the three months ended November 30, 2009 are summarized as follows: Revenues of $312,002; Cost of Revenues at ($168,075); Operating Expenses of ($524,932), giving us a Loss from discontinued operations (before income taxes) of ($381,005).
Nine Months Ended November 30, 2010 versus 2009
For the nine months ended November 30, 2010, revenues were $1,858,208 compared to $149,334 for the nine months ended November 30, 2009, an increase of 1144%. The increase in overall revenues is due to increased customer demand for our Ad Life platform. Deferred Revenue increased to $409,090 for the period ended November 30, 2010 from $234,036 for the period ended February 28, 2010.
Production and service delivery costs were $846,387 for the nine months ended November 30, 2010 compared to $199,110 during the nine months ended November 30, 2009 reflecting higher sales volume and higher overall costs related to telecommunications, higher cost of hosting our content as well as higher personnel costs associated with increased staffing and compensation levels.
Selling, general, and administrative expenses were $6,780,777 for the nine months ended November 30, 2010 compared with $3,297,252 for the nine months ended November 30, 2009, a change of 3,483,525, or 106%. Professional services costs ("Professional Fees") comprise a major percentage of the costs in the approximate amount of $1,718,783 in the aggregate.
The change in expense primarily consisted of $1,641,483 of increased non-cash stock option expense, $1,842,042 due to increased staffing and employee benefits and outside contracting costs associated with an increased level of product development. Of these administrative expenses, $1,219,658 of the increase is related to increased staffing and compensation levels in sales and general management, and $622,384 in professional fees is related to investor relations, accounting, legal, software development, and other consulting fees and other expenses.
Approximately $2,246,655 of the total selling, general, and administrative expenses for the nine months ended November 30, 2010 was non-cash in nature versus approximately $605,172 for the nine months ended November 30, 2009, and consisted of the fair value accounting for stock options and certain expenses that were paid with shares of common stock of the Company.
Depreciation and amortization expense was $752,925 for the nine months ended November 30, 2010 compared with $641,603 in the comparable 2009 period. Amortization expense increased to $520,713 for the nine months ended November 30, 2010 compared to $401,608 for the comparable 2009 period. Depreciation expense for the nine months ended November 30, 2010 decreased to $232,212 compared to $239,995 for the nine months ended November 30, 2009. The net result of changes in depreciation and amortization relate to the increased capitalization of internal software and for the intangible assets related to the New Aug, LLC; and Radio Pilot acquisitions.
Interest income was $23 for the nine months ended September 30, 2010 versus interest expense of $980 for the nine months ended November 30, 2009.
The loss on derivative instruments was $0 for the nine months ended November 30, 2010 compared to a loss of $389,864 for the nine months ended September 30, 2009.
For the nine months ended November 30, 2010, the Company incurred a net loss of $6,521,858 compared to a net loss of $4,979,030 in the comparable prior year period. The $1,542,828 increase in the net loss is a result of increased direct expenses and increased selling, general and administrative expenses including non-cash expenses and Professional Fees, as described above.
http://biz.yahoo.com/e/110107/augt.ob10-q.html
Retailers
How to utilize the mobile device as a point of sale (POS) tool is a common question. While mobile devices cannot yet be scanned at checkout because of non-compatible technologies, the possibilities are endless for communicating with consumers in the retail environment. To drive sales, we can build coupon mobile technology, develop POS initiatives, create sweepstakes, promotional-to-mobile retail campaigns, and tools that allow consumers to navigate the retail environment from their handheld mobile devices.
We enlist the retailers to discuss with us their concerns about utilizing mobile. We strategize and develop turnkey mobile applications to enhance the retail experience
Real Estate
Now realtors can instantly mobilize all of their multimedia assets. A potential homebuyer can see a property they like, scan or text a CRT and have, right there, a virtual tour of the property, learn about the neighborhood, schedule a showing, or put a push pin in a virtual map and come back later. As the real estate industry begins to go digital, we are providing the tools to enhance the realtor-to-customer experience.
Media and Advertising Firms
Augme Mobile is the perfect partner to provide mobile as an additional revenue channel for your sales teams. We partner with global advertising agencies, media and publishing companies, newspapers and major magazines to enable their sales teams to incorporate mobile response as added value or for additional revenue into their advertising sales programs. Your sales teams for television, radio, print, FSI and out-of-home advertising and media buying can include mobile response into their arsenal this quarter.
Pharmaceuticals
No industry is better suited to utilize the custom features that mobile provides. Utilizing our robust mobile marketing system, we create custom medication features for the consumer to be reminded to take dosages, learn specific information, re-order medication, and so much more.
Consumer Package Goods
When we meet with a CPG brand team, we are usually talking with people who know that they need to utilize mobile but think it is very expensive. They’ve often been discussing mobile for months, sometimes years, with no progress.
By utilizing Augme Mobile’s capabilities, our major CPG partners incorporate Consumer Response Tags (CRT’s) right into their packaging graphics and all static advertising. With Text Message (SMS) or 2D Codes, consumers can personally interact with the brand and be guided to specific campaign drivers, such as coupons (which can be printed out, or attached right to their loyalty rewards program at the retailer), sweepstakes, recipes or nutritional information.
Augme Mobile manages and creates every aspect of the mobile experience. Most CPG companies can be mobile within a few short weeks of our initial meeting and begin to track and interact their consumer’s behaviour.
We understand that time is money; Augme Mobile is a turnkey tool to quickly mobilize your assets.

Our Patents
Augme owns US Patent No. 6,594,691, patent No. 7,269,636, patent No. 7,783,721, and patent No. 7,831,690 resulting from an original October, 1999 patent filing with the U.S.P.T.O. protecting our Inventions through 2018 The Augme patents cover a two-code module system that enables any networked, delivered content to be customized based on end-user criteria. These patents will allow a single webpage to have an infinite number of tailored service responses that allow individuals to receive content that is customized to their own computing environment, connectivity, bandwidth level, geographic location, gender, age, or any other targeting criteria such as behavioral marketing data.

Our Partnerships
We see each of our clients as a business partner. All projects are fully scoped in advance, with the ultimate goal to deliver the best product that meets the needs and demands of our clients.

Our Client service
Each project has a dedicated project management and tech team assigned to their business.

Our on-time product delivery and on-schedule build-out.
Our Flexibility
Our approach is a solution based one rather than a product in a box.

Fear not mobile marketing
Augme Mobile’s AD LIFE mobile marketing platform dispels the fear and reduces the expense of Mobile Marketing. It Adds Life to traditional advertising and promotional media, allowing brands to reach a new level of connectivity with consumers.

Turnkey Solution
Augme Mobile’s AD LIFE is a comprehensive turnkey end-to-end solution that solves the mobile maze with patented technology allowing brands and agencies to easily create and manage all mobile interactivity.

Dialogue Monologue
Use Augme Mobile to create heightened engagement, uplift consumer response, increase sales and establish deeper relationships with consumers.

Personal Engagement
Connect, interact, build relationships via magazine ads, packaging, television advertising, radio spots, newspaper advertising and editorials, points of purchase, out of home, freestanding inserts and more.

Marketing’s “Moment Of Truth” is no longer just a single moment

Back in 2002, the CEO of Procter & Gamble coined a phrase that summed up the decision a consumer had to make upon entering a store: “The First Moment of Truth.”
Some could argue that this notion was a bit hyperbolic – by virtue of all those capitalized letters – but back then, the “First Moment Of Truth” was a fact of marketing life. At that very moment, the consumer would decide what to buy, and which brand. But thanks to technology, that is no longer the case.
As we wrote in our landmark white paper, Upward Mobility: Developing an Effective Mobile Shopper Marketing Strategy, the consumer has become an ever-moving target that is never more than one click, ring, text or Tweet away from entering “shopper mode.” While it’s true that the First Moment Of Truth still exists, thanks to mobile, they’ve really become multiplemoments – and we believe there are still better ways to harness mobile and make it a part of overall marketing strategies.
It is hard to capture the undivided attention of a shopper. And even when the consumer makes up his or her mind, it only takes one more marketing message to change their mind. Make no mistake: the traditional touchpoints still apply when it comes to in-store marketing – banners, displays, endcaps, point-of-purchase displays, et cetera, all focused on the shopper’s attention span. But there is a relatively new marketing element that most companies have yet to take advantage of on a wider scale: the mobile phones owned by an estimated 230 millionAmericans.
People who are not in marketing often point to the 2002 film Minority Report as an example of how over-commercialized society has become: in the movie, Tom Cruise’s character has his retinas scanned and is subsequently bombarded with ads custom-tailored for him, projected as he walks through a building. In some respects, the film foresaw how modern Internet advertising works – small display ads pop up depending on what pages you visit, the contents of a Gmail message you just opened, or your Facebook status updates.
Mobile shopping and mobile marketing takes this concept from the desktop and puts it in the hands of those 230 million subscribers in the U.S. – and tens of millions more around the globe. It marries the best of in-store and web-based display ads, mobile couponing and offers, and gets them to those just ready to enter “shopper mode.”
From feature phones, which comprise 172 million users, to web-enabled smartphones with near-field communications technology embedded, those multiple Moments Of Truth suddenly become more predictable, as consumers walk into a store armed with mobile coupons or offers that bring them to a specific product or products. Or perhaps they’ve texted a shortcode and received a discount offer via SMS. Or they’re ready to scan a QR code at a display to redeem a buy-one, get-one offer.
Mobile marketing 1) takes all the guesswork out of what the consumer will buy by leading them to specific products; 2) is the most effective use of technology to reinforce brand loyalty; 3) is non-intrusive, by virtue of being opt-in; 4) its results are easily trackable; 5) its campaigns are scalable; and – most importantly – 6) such campaigns are cost-effective, with a potential reach of up to hundreds of millions of consumers.
If there’s ever been a “moment of truth,” it’s this: these days, not implementing a comprehensive mobile strategy into your company’s overall marketing efforts just doesn’t make sense.

Of NFC, Apple and the Next Big M-Commerce Thing

Recently, Starbucks announced that it would begin accepting mobile payments – via an iPhone app – at its 6,800 stores and in-store Target locations nationwide, the first significant rollout of a mobile payment system by a retailer in the U.S.
Then, Tuesday brought news – based on unconfirmed rumors – that Apple was going to include near-field communications technology, or NFC, in the next generation of its hugely popular iPhone (16.2 million units sold in Q4 ’10) and the iPad (7.4 million units in Q4 ’10). Simply described, NFC is like a contactless payment card integrated into phones – that is, technology that allows customers to forgo their credit cards and cash and “tap” to pay with their smartphones instead.
When you take into consideration the recent announcement that Verizon will now offer the iPhone, with an expected addition of millions more iPhone users, you have the perfect storm for the latest frontier in m-commerce: the proliferation of mobile payments – expected to balloon to $1 trillion by 2015, according to one executive – with NFC-enabled devices as the foundation.
NFC technology has been around for a few years: Google has announced that NFC would be included in phones with the Android 2.3 OS. And credit card-linked bank cards such as those branded with Visa (Blink) and MasterCard (pay/pass) already use a version of NFC that allows customers to “tap” payments at deli cash registers and inside cabs. And Augme itself knows NFC well, having worked on NFC development since 2007.
So what does all of this mean for mobile marketing? If NFC has been around for years, why do companies like Augme think it will take off in 2011?
It’s simple: by including NFC in its most popular devices, Apple, the company that revolutionized m-commerce with the iTunes store (more than ten billion songs downloaded, and millions more e-books, movies and TV shows sold) is demonstrating confidence in the technology, betting that near-field communications could soon be used to pay for everything from groceries to luxury goods. In the words of one analyst, Apple’s move is a “game-changer.”
An NFC-embedded iPhone or iPad would allow customers to walk into a store or restaurant and make payments straight from their device, like a virtual wallet. There’s no cash or (physical) credit card involved, and as an added benefit, NFC-enabled devices allow for mobile couponing: users can get discounts off individual items, percentages off of total purchases price, and even loyalty rewards and credits for purchases, without having to clip coupons or flash club cards.
“This is an exciting time for m-commerce, with one of the most popular device-makers in the world – Apple – including NFC technology in their products for the very first time,” says Anthony Iacovone, Chief Innovation Officer and Founder of Augme Technologies. “We’re potentially looking at tens of millions of people – via their new iPads and iPhones, and yes Android phones – having access to a widely-available, easy-to-use mobile payment platform for the first time. Customers with NFC-enabled devices are ones that businesses will want to target, and having worked with NFC since 2007 gives Augme and its clients a significant advantage, especially when designing mobile marketing campaigns that incorporate NFC technology.
“2011 will soon be known as the year when mobile payments really took off,” added Iacovone. “The question your company has to ask itself is, ‘Are we working with someone who understands NFC and how it can benefit us?’ If you’re working with Augme, the answer is ‘yes.’”
Apple’s announcement – if and when they officially make it – will be a watershed moment in m-commerce, and we look forward to adoption of NFC on a broad scale. Until then, we at Augme wait with bated breath, confident that we’re ready to embrace and work with The Next Big (M-Commerce) Thing.

Sub Article:
Apple Plans Service That Lets IPhone Users Pay With Handsets
Apple Inc. plans to introduce services that would let customers use its iPhone and iPad computer to make purchases, said Richard Doherty, director of consulting firm Envisioneering Group.
The services are based on “Near-Field Communication,” a technology that can beam and receive information at a distance of up to 4 inches, due to be embedded in the next iteration of the iPhone for AT&T Inc. and the iPad 2, Doherty said. Both products are likely to be introduced this year, he said, citing engineers who are working on hardware for the Apple project.
Apple’s service may be able to tap into user information already on file, including credit-card numbers, iTunes gift-card balance and bank data, said Richard Crone, who leads financial industry adviser Crone Consulting LLC in San Carlos, California. That could make it an alternative to programs offered by such companies as Visa Inc., MasterCard Inc. and EBay Inc.’s PayPal, said Taylor Hamilton, an analyst at consultant IBISWorld Inc.
“It would make a lot of sense for Apple to include NFC functionality in its products,” Crone said.
The main goal for Apple would be to get a piece of the $6.2 trillion Americans spend each year on goods and services, Crone said. Today, the company pays credit-card processing fees on every purchase from iTunes. By encouraging consumers to use cheaper methods -- such as tapping their bank accounts directly, which is how many purchases are made via PayPal -- Apple could cut its own costs and those of retailers selling Apple products.
Apple's plans could change, and the new products may be delayed or not come to fruition.Natalie Harrison, a spokeswoman for Apple, declined to comment.
Adding Features to Phones
“NFC is definitely one of the technologies that’s getting a lot of attention, but ultimately the consumer is going to choose,” said Charlotte Hill, a spokeswoman for PayPal, owned by San Jose, California-based EBay. Elvira Swanson, a spokeswoman for San Francisco-based Visa, said the company is “excited to see NFC mobile devices coming into the market.”
Ed McLaughlin, chief emerging payments officer at MasterCard, said the company is “running the world’s fastest payment network, and that doesn’t need to be re-created.” MasterCard sees NFC “as an opportunity to partner with organizations” and already has run NFC payment trials around the world.
The recently passed Durbin Amendment makes the timing right for a push by Apple, Crone said. The regulation, which will go into effect this summer, may limit debit-card fees paid by retailers and lets them encourage consumers to use one payment method over another.
Competing With Android
Under Apple Chief Operating Officer Tim Cook, who’s handling day-to-day operations as Chief Executive Officer Steve Jobs takes medical leave, the iPhone is adding features that will help it compete with phones that use Google Inc.’s Android software. Samsung Electronics Co.’s Nexus S phone, which runs Android, can read information from NFC tags. Nokia Oyj, the world’s largest maker of mobile phones, has pushed NFC adoption for years, though the technology has been slow to take off.
“Apple could be the game-changer,” Doherty said.
Apple, based in Cupertino, California, is considering starting a mobile payment service as early as mid-2011, Doherty said. It would revamp iTunes, a service that lets consumers buy digital movies and music, so it would hold not only users’ credit-card account information but also loyalty credits and points, Doherty said.
Using the service, customers could walk into a store or restaurant and make payments straight from an iPad or iPhone. They could also receive loyalty rewards and credits for purchases, such as when referring a friend, Doherty said.
Targeted Advertising
Apple also could use NFC to improve how it delivers mobile ads to customers’ handsets and charge higher fees for those ads, Crone said. NFC would let Apple’s iAd advertising network personalize ads to the places where a customer is spending money. That could double or triple the ad rates that Apple charges, Crone said.
Apple has created a prototype of a payment terminal that small businesses, such as hairdressers and mom-and-pop stores, could use to scan NFC-enabled iPhones and iPads, Doherty said. The company is considering heavily subsidizing the terminal, or even giving it away to retailers, to encourage fast, nationwide adoption of NFC technology and rev up sales of NFC-enabled iPhones and iPads, he said.
To help get ready for NFC, Apple last year hired Benjamin Vigier, who worked on the technology at mobile-payment provider MFoundry. It also has applied for a patent on a system that uses NFC to share information between applications running on various Apple devices.

Google, Augme Report First Wave of Huge Mobile Revenue Growth

Google’s Mobile Run Rate Tops $1B
Google (GOOG)
For the first time ever Google broke out its Mobile revenue stream (see earnings call transcripthere). There are probably a number of reasons they decided to do this. The first is so investors can start to see what the future is going to be like at Google as Mobile becomes the dominant revenue growth source in the very near future. The second is they will now be able to show growth ramping at a huge rate each future quarter. Finally, I think that this growth easily allows them to justify recent and future purchases in this space such as the AdMob $750M acquisition that seemed high at over 35 times revenue. With their near term target of $10B annually in Mobile revenues they may buy their way into the mobile space where they see opportunities to take core technology and greatly accelerate another company’s growth. They do have $33.4B in cash after this last quarterly report.
- Mobile is on a run rate of more than $1 billion. That is, people accessing Google services through mobile devices–not just Android–are adding $1 billion per year to Google’s revenue.
- YouTube is monetizing over 2 billion views per week. That’s an increase of 50% year over year.

Augme (AUGT.OB)
Augme Technologies, Inc. the only patented and innovative end-to-end mobile marketing platform
On the other side of the spectrum in terms of revenues but not necessarily growth is Augme Technologies. I have been following their patent infringement cases against Time Warner (TWX)/AOL/Yahoo (YHOO) for the last few years but let’s first focus on their Mobile business. Revenues grew an astronomical 1700% from last year’s second quarter but what is of much more significance is that their backlog is up to over $20M. Plus their current list of clients has to be a who’s who of Fortune 500 companies. What large company wouldn’t want that as a starting point and does any other company have as good a mobile foot print in this just emerging market space?
Business Outlook
The Company forecasts that recognizable revenues should exceed $10 million during the next twelve months, based on an estimate that approximately 50% of current bookings will convert into revenues within that period of time. The Company defines “current bookings” as the combination of signed agreements, initialed statement-of-work documents, indications of interest and commitments for AD LIFE™ services that have been received from, but not yet delivered to, 10 Fortune 100 companies, twelve Fortune 200 companies and one Global Fortune 500 company.
On the patent infringement front, besides the settlement conference scheduled for October 28th with Time Warner, there is a new development. The USPTO is issuing to Augme a new patent based on their original foundational patents titled: APPLIANCE METAPHOR FOR ADDINGMEDIA FUNCTION TO A WEB PAGE.
Does anyone think that adding Media to a web page is significant? As has been seen by numerous patent announcements by companies like Google, Apple (AAPL) and Microsoft (MSFT) and by companies winning large judgments like VirnetX, I4I and NTP (see Don Stout and Augme), intellectual property is going to be a huge battleground going forward.

CURRENT LEGAL PROCEEDINGS

Tacoda, Inc., AOL, LLC, Time Warner, Inc., and Platform-A, Inc.
In 2007, Augme filed a lawsuit against Tacoda, Inc. in the U.S. District Court, Southern District of New York , alleging infringement of Augme-owned U.S. Patent Nos. 6,594,691 (“Method and System for Adding Function to a Web Page”) and 7,269,636 (“Method and Code Module for Adding Function to a Web Page”). We previously reported this proceeding in our Quarterly Report on Form 10-Q for the quarter ended May 31, 2010 filed with the SEC on July 9, 2010. We also reported in such Form 10-Q our complaint filed against AOL, LLC in the U.S. District Court, Central District of California, for infringement of our trademark BOOMBOX RADIO and our First Amended Complaint filed against AOL, LLC, Time Warner, Inc. and Platform-A, Inc., for trademark infringement relating to our word-mark BOOMBOX RADIO, and infringement of our U.S. Patent Nos. 6,594,691 and 7,269,636. Per court order dated April 14, 2009, the case was transferred to the Court where our complaint against Tacoda, Inc. for infringement of our U.S. Patent Nos. 6,594,691 and 7,269,636 is pending. In our case against Tacoda, Inc., AOL, LLC, Time Warner, Inc. and Platform-A, Inc., Judge Robert W. Sweet endorsed a letter on August 26, 2010 that was dated August 17, 2010, requesting that the Court assign to Magistrate Judge Ronald L. Ellis the above action for settlement purposes.

On October 28, 2010, a mediation hearing was held before Magistrate Judge Ronald L. Ellis. It was also ordered that all proceedings relating to the mediation hearing were to be held confidential, that all information disclosed between the parties would be subject to the strict confidentiality requirements of mediation hearing practices, and that this confidentiality would carry on subsequent to the meeting.

Yahoo! Inc.
On November 16, 2009, Augme filed a Complaint against Yahoo! Inc. for patent infringement relating to U.S. Patent Nos. 6,594,691 and 7,269,636, which patents relate to methods and systems for delivery of selected content from a network to a web page visitor. The matter is currently pending in the United States District Court for the Northern District of California, Case No. C-09-5386 EDL. The remedies available to Augme, if successful, include an injunction prohibiting any infringing actions, an award of damages adequate to compensate for the infringement, and costs of the action. We previously reported this proceeding in our Quarterly Report on Form 10-Q for the quarter ended May 31, 2010 filed with the SEC on July 9, 2010.

A settlement conference was held on July 28, 2010. An order was issued by Magistrate Judge Elizabeth D. Laporte directing that the parties attending the settlement conference be members of management with full knowledge of the case and full authority to settle. It was also ordered that all proceedings relating to the settlement conference were to be held confidential, that all information disclosed between the parties would be subject to the strict confidentiality requirements of settlement conference practices, and that this confidentiality would carry on subsequent to the meeting.

On November 12, 2010, Yahoo! filed a motion for summary judgment with the United States District Court for the Northern District of California. On December 3, 2010, an order was issued by Magistrate Judge Joseph C. Spero denying the Yahoo! motion without prejudice. On December 3, 2010, Yahoo! filed a Notice of Motion and Motion for Leave to File Amended Answer with Additional Counterclaims and to join WorldTalk Radio, LLC as a Counterclaim Defendant. Augme denies that any merit exists with respect to these counterclaims and will continue to pursue the prosecution of Yahoo!'s infringement against the Company's patent claims.

Charts

Volume
Day Range:
Bid Price
Ask Price
Last Trade Time:

Boards:

Quotes:

Boards

News

Market Data

Markets

Discover

Discover

Boards:

Quotes:

Go Ad-Free