Google’s Pivot, Tesla’s Record, Netflix’s New High
Motley Fool Hidden Gems Investing
The Motley Fool
4.3 • 3.1K Ratings
🗓️ 22 October 2021
⏱️ 39 minutes
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| 0:00.0 | Everybody needs money. That's why they call it money. |
| 0:07.0 | From full global headquarters, this is Motley Full Money. |
| 0:18.0 | It's the Motley Full Money radio show. I'm Chris Hill joining me this week. |
| 0:22.0 | Senior analyst Maria Gallagher and Emily Flippin. Good to see you both. |
| 0:26.0 | We've got the latest headlines from Wall Street. We've got some reading recommendations for investors. |
| 0:31.0 | And as always, we've got a couple of stocks on our radar. |
| 0:34.0 | But we begin with the business of apps. On Thursday, Google sent its lowering service fees in its Google Play App Store from 30% to 15% starting on day one. |
| 0:46.0 | Under the current model, developers pay a 30% cut on subscriptions to Google for the first year before the commission drops to 15%. |
| 0:54.0 | The ripple effect of this news, sent shares of Bumble, Duolingo, Match Group and others up as much as 10% and higher. |
| 1:03.0 | So, Emily, you tell me, is the future significantly brighter for the Bumble's and the Match Groups of the world? |
| 1:10.0 | Using the word significant is perhaps an overstatement. |
| 1:13.0 | But it certainly is brighter for the app developers existing in the Google Play Universe. |
| 1:18.0 | Certainly, when you compare that to Google's universe right now, Google's in the unfortunate position of having to negotiate this kind of from the bottom, which is to say they're not in a particularly strong position of power because they've been the subject of antitrust concerns in the past. |
| 1:35.0 | So, when you see them making these moves, some investors will like it to sticking a bandaid over a really bad and complicated situation. |
| 1:43.0 | Is the move necessary? Yes, they're doing what they do best, which is following in Apple's footsteps. Apple recently took their commissions down. Google is doing the same. |
| 1:53.0 | But again, this is not going to decrease the concern that legislators have over the power of big tech. |
| 1:59.0 | And we're actually seeing additional news out today that Google's stuck now in another fight with Roku, the app developer, who streams directly to people's services. |
| 2:10.0 | Google's YouTube wanted preferential treatment, that's what the reports say, on the Roku app. |
| 2:16.0 | And legislators are, you know, debating what this means. Google's saying it's not true. |
| 2:21.0 | But one way or another, legislators are finding their way into this conversation. |
| 2:26.0 | So it's a great thing for the smaller players in this space because legislators tend to not want to support anti-competitive behavior. |
| 2:32.0 | But when you are a behemoth, when you are the Googles, when you are the apples of the world, moves like this are only concerning. |
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