For Immediate Release

Chicago, IL – October 9, 2009 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: International Business Machines (IBM), Microsoft (MSFT), Oracle (ORCL), Intel (INTC) and Advanced Micro Devices (AMD).

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Here are highlights from Thursday’s Analyst Blog:

IBM Faces Antitrust Hurdle

International Business Machines (IBM) has been charged by the Computer and Communications Industry Association (CCIA), a non-profit trade group organized by IBM’s rivals Microsoft (MSFT) and Oracle (ORCL). The allegation is directed at its Mainframe computer business, which is taking

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International Business Machines (IBM) has been charged by the Computer and Communications Industry Association (CCIA), a non-profit trade group organized by IBM’s rivals Microsoft (MSFT) and Oracle (ORCL). The allegation is directed at its Mainframe computer business, which is taking revenues and pressurizing profits of its competitors by withdrawing the license access to customers using non-IBM hardware operating systems. The U.S. Justice Department (DOJ) is investigating the allegations against IBM for its conduct in the Mainframe business. Some smaller companies in the banking, government and health care sector develop technologies that would allow the software to run on cheaper hardware. Thus, to freeze competition, IBM has combined its mainframe operating systems with hardware and acquired startup Platform Solutions Inc. Moreover, it has been alleged that IBM has curbed license of its mainframe operating systems to users of Hercules, which is an open-source software that ...

Despite earlier this week announcing disappointing first-quarter results, Oracle Corp. (Nasdaq: ORCL) says it expects its second quarter will be stronger. However, many analysts are skeptical, as the company’s attempted takeover of Sun Microsystems Inc. (Nasdaq: JAVA) has not gone as smoothly as planned.

Oracle reported revenue for the three months ended Aug. 31 fell 5%, to $5.05 billion. Analysts were expecting $5.2 billion of sales.

Net income rose 4% to $1.1 billion, or 22 cents a share, by Generally Accepted Accounting Principles (GAAP), but the company leaned heavily on support contracts and cost cutting to maintain profitability. The world’s second-largest software maker blamed the drop on declining overseas sales and a stronger U.S. dollar.

“Oracle’s results were impacted by the reduced value of foreign currencies when compared to U.S. dollars, reducing Q1 GAAP earnings by $0.02 per share,” the company said. “Without this impact, Oracle’s Q1

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Several patents previously held by Microsoft (MSFT) are expected to change hands. Microsoft acquired the patents from Silicon Graphics and subsequently sold them to Allied Security Trust (AST) at a private auction. AST is expected to resell the patents to Open Invention Network (OIN). The patents purportedly relate to Linux open source technology, which is the reason for the interest in them.

OIN consists of member companies such as RedHat (RHAT), International Business Machines (IBM), Phillips and Novell (NOVL), which use open source technology in their products. OIM licenses the patents but typically does not resell them.

AST is in the business of acquiring patents from owners, licensing the technology back to them and ultimately selling off the patents. The member firms include big names in the technology space, such as Motorola (MOT), Cisco Systems (CSCO), Sun Microsystems (JAVA), Hewlett Packard Co.

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Google Chrome: The science of free economics Google Inc. (GOOG) has announced a new operating system that is specifically targeted at netbooks. The Google Chrome, as it is called, is expected to hit the market in the second half of 2010.

Meanwhile, Google’s new Android operating system (specially designed for mobile phones) has already been selected for Acer netbooks (scheduled to launch in October this year). Apple (AAPL) has also indicated its intention to introduce its own netbook by the end of this year.

Since Microsoft (MSFT) dominates the netbook market, any competition irrespective of the source will take share from the company. So both Google and Apple can do significant damage.

But the real fear for Microsoft is Chrome’s potential to take over the entire PC market. Chrome will work with chips based on both x86 architecture from Intel (INTC) and Advanced

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Intel (INTC) and Nokia (NOK) have joined hands to tap the smart phone and MID market. Nokia will use the Atom processor in its smart phones and mobile Internet devices going forward, even as Intel licenses Nokia's 3G HSPA modem technology.

The two companies have used open source software from Linux to develop their respective mobile platforms. The strategic relationship is expected to enable Intel's Moblin (currently in beta stage) and Nokia's Maemo to incorporate several open source applications, such as oFono, ConnMan, Mozilla, X.Org, BlueZ, D-BUS, Tracker, GStreamer and PulseAudio through some co-coordinated effort. The association will also enhance device functionality for both in terms of Internet connectivity, wireless communication, superior graphics and comprehensive multimedia capabilities.

Nokia currently holds about 40% share of the mobile phone market and a 34% market share in smart phones. The partnership should, therefore, be of great strategic

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Investors active in the IT sector were shocked on the morning of 3/18/09 as they awoke to news that International Business Machines [IBM: 91.95, 0.00 (0.00%)] is working to make its largest acquisition ever when the offered to buy Sun Microsystems [JAVA: 8.89, 0.00 (0.00%)]. The important thing to consider here is whether this aligns with IBM’s overall strategy and reinforces their competitive edge over the likes of Hewlett-Packard [HPQ: 28.99, 0.00 (0.00%)], Cisco [CSCO: 16.50, 0.00 (0.00%)], and Oracle [ORCL: 15.83, 0.00 (0.00%)]. So where do I stand on this acquisition, after all, don’t acquisitions destroy shareholder value? Initially, one could say that this is a terrible move for IBM. Who wants a company that posted a loss per share of -$2.40, and has been unable to shake off

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Red Hat, Inc. (NYSE: RHT): Stock of the Day

by Ted Leinbach, Research Team, The Oxford Club 

When the New York Stock Exchange needed a computer operating system to handle its vast amount of daily transactions, it did not look to the perennial tech-bellwethers like Apple or Google.

Instead, the exchange had a much better company in mind, one whose technology is stronger and more efficient. And one whose technology is “crash-proof”.  

You see, the NYSE simply can’t run on a program like Microsoft Windows. Why? According to this company’s President and CEO Jim Whitehurst, “It crashes too often.”

That’s why the New York Stock Exchange selected Red Hat, Inc. (NYSE: RHT). Headquartered in Raleigh, North Carolina, Red Hat is the largest provider of Linux software and is the most recognized open brand source in the world.

The company serves global enterprises with technology

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One of the granddaddies of Silicon Valley, Sun Microsystems (NASDAQ:JAVA) may finally have to give up the good fight - presenting investors with the prospects of a quick profit grab.

Although not quite in the pantheon of Intel, Apple and Seagate, Sun has been braving its own path in technology since its founding in 1982. The paradox is that a company which professed a radical departure in business computing has itself been too slow to adapt to rapid change, and now finds itself as takeover prey.

With assets far exceeding its current valuation, investors stand to make modest gains if the company decides to break itself up, or if it finally succumbs to the takeover rumors circulating for years.

The alarm sounded louder than ever when the company report Q1 2008 earnings. A $1.68 billion loss was attributed to a slowdown in technology,

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