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Thursday, January 6, 2011

Biz Break: From Apple, $458 iPads; plus: more Black Friday in... - San Jose Mercury News

Today: Apple has cut prices on the iPad for today only. In Silicon Valley, malls are crowded, but consumers say they're being careful with their spending. Plus: More Apple news, Del Monte, Silicon Valley tech stocks.

Black Friday deals

It's the day after Thanksgiving, and (as is our holiday weekend custom) we're glad we're working today and not battling the Black Friday crowds at Silicon Valley's favorite malls, big-box retailers and shopping districts.

If we wanted an iPad (hey, we've contributed a lot to Apple's revenue stream already this year), we'd be super-stoked to know that the Cupertino maker of Mac computers and "i" devices has included the new tablet computer

among its own online Black Friday specials.

Apple has reduced iPad prices by $41, the iPod touch by $21 to $41, the iPod nano by $11 to $21, and computers including the iMac, MacBook Pro and the 13-inch MacBook Air by $101.

If you want a new flat-panel TV, this is a good time to buy, according to our friends at The Associated Press. A supply glut will bring prices down sharply from last holiday season, according to the AP report.

Here in Silicon Valley, shoppers were up early this morning. The Merc and our Bay Area News Group siblings have a small army of reporters tracking the frenzy.

While consumer hot spots such as Westfield Valley Fair, Santana Row and Stanford Shopping Center have been busy, many shoppers say they're being careful with their spending this season.

"It's getting crowded earlier," Valley Fair shopper Debbie Fumia of Los Gatos told a Merc reporter this morning. "I think it's the hype. I have a 17-year-old. He left at 7:30 -- a half-hour before me. He said he and his girlfriend want to experience Black Friday. They are not shopping. They are coming for the experience."

Holiday headlines

Here's some Bay Area business news you may have missed since Wednesday afternoon:

Apple: The rapidly growing company has bought more land in Cupertino, according to a Merc report. A spokesman confirmed that Apple bought a 98-acre site on Pruneridge Avenue from tech giant Hewlett-Packard, which is consolidating employees at its Palo Alto headquarters.

The land is adjacent to a 50-acre site Apple bought last year. Both properties are just a short drive from Apple's Infinite Loop headquarters campus off De Anza Boulevard.

"We now occupy 57 buildings in Cupertino and our campus is bursting at the seams," Apple spokesman Steve Dowling told a Merc reporter. "These offices will give us more space for our employees as we continue to grow."

Neither Apple nor HP revealed the purchase price, although HP reportedly had sought as much as $300 million.

Del Monte Foods: The San Francisco company agreed to a $19-a-share buyout by private equity firms Kohlberg Kravis Roberts, Vestar Capital Partners and Centerview Partners. The deal is valued at $5.3 billion, including $1.3 billion in debt.

Del Monte Foods' stock finished trading today at $18.83, up 84 cents, or 4.7 percent, from Wednesday's closing price.

Silicon Valley tech stocks

Up: Apple, Cisco Systems.

Down: Google, Oracle, Intel, HP, eBay, VMware, Gilead Sciences, Yahoo.

The tech-heavy Nasdaq composite index: Down 8.56, or 0.3 percent, to 2,534.56.

The blue chip Dow Jones industrial average: Down 95.28, or 0.9 percent, to 11,092.00.

And the widely watched Standard & Poor's 500 index: Down 8.95, or 0.7 percent, to 1,189.40.

The New York Stock Exchange and the Nasdaq ended regular trading early today.

Check in weekday afternoons for the 60-Second Business Break, a summary of news from Mercury News staff writers, The Associated Press, Bloomberg News and other wire services. Contact Frank Russell at 408-920-5876. Follow him at Twitter.com/mercspike.


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Popularity Contest: Can Facebook and Twitter Predict Election Results? - ABC News

Popularity helps in politics, especially having "friends," "followers" and people who "like" you.

In November's elections, the candidate who more people "liked" on Facebook won in 71 percent of Senate elections. Twitter was even more accurate, with the candidates with more followers winning in 74 percent of elections.

Facebook says it watched 118 races in the Senate and the House, and found 77 winners had more "likes" than their opponents did. Furthermore, candidates with twice as many fans as their opponent won by at least 3.9 percent.

Social media, such as Facebook and Twitter, were often better predictors of election results than how much money a candidate raised and spent, according to Facebook. In 42 of the races Facebook analyzed, the winner had more "likes" but less money.

The two Senate candidates who spent the most of their own money, Republican Linda McMahon of Connecticut and Democrat Jeff Greene of Florida, did not win. Greene did not win the Democratic primary. McMahon spent almost $42 million and Green spent close to $24 million on the primary, according to the FEC.

But as of November 1, McMahon had only 15 more "likes" on Facebook than the winner, Richard Blumenthal, even though she spent more than seven times as much.

In Florida, Jeff Greene had only 644 "likes" on Facebook compared to the Democratic primary winner, Kendrick Meek, with 24,135 "likes." (Meek lost the general election to Republican Marco Rubio.)

Furthermore, according to the FEC, six out of the ten top-spending Senate candidates did not win election. "The consensus is that money makes a difference but it's hard to quantify," said Andrew Gellman, a professor of statistics and political science at Columbia University. "[Campaign finances] are important, but non-linear. The extra $10 million does not help as much as the first million."


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Ore. fire raises Muslims' fears of attack backlash - Bloomberg

CORVALLIS, Ore. (AP) — Someone set fire to an Islamic center on Sunday, two days after a man who worshipped there was accused of trying to blow up a van full of explosives during Portland's Christmas tree lighting ceremony. Other Muslims fear it could be the first volley of misplaced retribution.

The charges against Mohamed Osman Mohamud, a Somali-born 19-year-old who was caught in a federal sting operation, are testing tolerance in a state that has been largely accepting of Muslims. Muslims who know the suspect say they are shocked by the allegations against him and that he had given them no hint of falling into radicalism.

The fire at the Salman Alfarisi Islamic Center in Corvallis was reported at 2:15 a.m., and evidence at the scene led authorities believe it was set intentionally, said Carla Pusateri, a fire prevention officer for the Corvallis Fire Department.

Authorities don't know who started the blaze or exactly why, but they believe the center was targeted because Mohamud occasionally worshipped there.

"We have made it quite clear that the FBI will not tolerate any kind of retribution or attack on the Muslim community," said Arthur Balizan, special agent in charge of the FBI in Oregon.

Mohamud was being held on charges of plotting to carry out a terror attack Friday on a crowd of thousands at Portland's Pioneer Courthouse Square. He is scheduled to appear in court on Monday, and it wasn't clear if he had a lawyer yet.

On Friday, he parked what he thought was a bomb-laden van near the ceremony and then went to a nearby train station, where he dialed a cell phone that he believed would detonate the vehicle, federal authorities said. Instead, federal authorities moved in and arrested him. No one was hurt.

There were also no injuries in Sunday's fire, which burned 80 percent of the center's office but did not spread to worship areas or any other rooms, said Yosof Wanly, the center's imam.

After daybreak, members gathered at the center, where a broken window had been boarded up.

"I've prayed for my family and friends, because obviously if someone was deliberate enough to do this, what's to stop them from coming to our homes and our schools?" said Mohamed Alyagouri, a 31-year-old father of two who worships at the center. "I'm afraid for my children getting harassed from their teachers, maybe from their friends."

Wanly said he was thinking about temporarily relocating his family because of the possibility of hate crimes.

"We know how it is, we know some people due to ignorance are going to perceive of these things and hold most Muslims accountable," Wanly said. "We do what we can, but it's a tough situation."

The imam said Corvallis, a college town about 75 miles southwest of Portland, has long been accepting of Muslims.

"The common scene here is to be very friendly, accepting various cultures and religions," Wanly said. "The Islamic center has been here for 40 years, it's more American than most Americans with regards to age."

In Portland, residents are alarmed by the terror plot, but Mayor Sam Adams said they are "not going to let this change our values of being an open and embracing city." He said that he beefed up patrols around mosques "and other facilities that might be vulnerable to knuckle-headed retribution" after hearing of the bomb plot.

The FBI was working closely with leadership at the Corvallis center as agents investigated the fire, Balizan said. A $10,000 reward was offered for information leading to an arrest.

Authorities have not explained how Mohamud, an Oregon State University student until he dropped out on Oct. 6, became so radicalized. Mohamud graduated from high school in the Portland suburb of Beaverton, although few details of his time there were available Saturday.

Wanly described him as a normal student who went to athletic events, drank an occasional beer and was into rap music and culture. He described Mohamud as religious, saying he attended prayers in Corvallis once or twice a month over a year and a half.

Wanly, 24, said that in about 15 conversations he had with Mohamud, the teen rarely discussed religion. He said that may have been because Mohamud knew his extremist views wouldn't be tolerated, and suggested that Mohamud was influenced by radical teaching he read on the Internet.

"If a person has a type of agenda, he can find anything he wants on the Internet and block out everything else," Wanly said.

In the days leading up to his arrest, Mohamud's friends thought he appeared on edge, Wanly said.

"He seemed to be in a state of confusion," Wanly said. "He would say things that weren't true. He'd say 'I'm going to go get married,' for example. He wasn't going to go get married."

Mohamud is among tens of thousands of Somalis who have resettled in the United States since their country plunged into lawlessness in 1991. The U.N.-backed government controls only a few blocks of Mogadishu, the capital, while large parts of Somalia are controlled by the insurgent group Al-Shabab, which vows allegiance to al-Qaida.

Omar Jamal, first secretary for the Somali mission to the United Nations in New York City, told The Associated Press his office has received "thousands of calls" from Somalis in the United States who are concerned about tactics used by federal agents in the sting operation against Mohamud.

Jamal said there is concern in the Somali community that Mohamud was "lured into an illegal act."

"Rest assured that the community is very against anyone who tries to do harm to the citizens of this country," Jamal said in a phone call.

But many Somalis in the United States are wondering whether Mohamud's "rights have been violated" by federal agents in the sting operation, he said. "What did they tell him to go along with this heinous crime?" Jamal said.

An FBI affidavit said it was Mohamud who picked the target of the bomb plot, that he was warned several times about the seriousness of his plan, that women and children could die, and that he could back out.

Officials said Mohamud had no formal ties to foreign terror groups, although he had reached out to suspected terrorists in Pakistan.

FBI agents say they began investigating after receiving a tip from an unidentified person who expressed concern about Mohamud. This summer an agent e-mailed Mohamud, pretending to be affiliated with an "unindicted associate" whom Mohamud had tried to contact.

Agents had some face-to-face meetings with Mohamud. On Nov. 4, in the backcountry along Oregon's coast, they convinced him that he was testing an explosive device — although the explosion was controlled by agents rather than the youth.

On Friday, an agent and Mohamud drove into downtown Portland to the white van that carried six 55-gallon drums with detonation cords and plastic caps, but all of them were inert.

Authorities said they allowed the plot to proceed to obtain evidence to charge the suspect with plotting to carrying out the attack.

___

Duara reported from Portland. Associated Press writers William McCall and Tim Fought also contributed to this report.

Copyright © 2010 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

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