Morning Movers: Microsoft, Google, General Electric

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July 19 (Bloomberg) -- Bloomberg's Scarlet Fu, Sara Eisen and Tom Keene highlight the news you need to follow for today's trading. They speak on Bloomberg Television's "Bloomberg Surveillance."

I am tom keene, by sara eisen and scarlet fu.

We start with microsoft, $18 million worth of shares changing hands and the stock is tanking, down almost seven percent to 32.99. raymond james cut the stock, under for -- underperforming this morning, and the one highlight is the $900 million writedown of its service tablet.

Another tech giant, google shares on the move.

They are falling in the premarket.

Google trying to solve this riddle of mobile advertising, concern about that cost-per- click.

We have asked brian to come on right now, on the phone.

At noted analyst on research.

This technological shift we are all making to mobile, will that help or hurt google?

My view, which is not what most say, is that it does not make a huge difference.

If you were going to buy paid search, what else were you going to do?

Unless you are living in russia or china, you are spending the money anyway.

It is a red herring.

The numbers are good topline.

Analysts were wrongly focused on enhanced campaigns and a few other factors.

It does nothing to expand the market for paid search.

It is beyond me why anyone would expect that this would cause people to spend more money.

But on the mobile shift, you argue that it is not a big deal, what is google dominating facebook, which is what the reports are coming out next week?

Everybody focuses on advertising their bank.

Nobody was talking about the fact that the google display network is probably growing at 30% -- at 30%, 40%. did anyone bring that up on the call?

That is growing rapidly.

So when we talk about mobile and we talk about paid search on mobile devices, if you are a small business, you have a $10,000 annual budget.

This is 70% of spending that comes from those kinds of businesses.

Google is not talking about this.

If you think about that, does it really make a difference whether a query happens on a mobile device or not?

It doesn't. they made this shift about two years ago, and they said your default is running mobile devices.

This is a good thing.

It is product innovation, makes it easier to execute, but it is not causing any revenue shortfall.

What about acquisitions?

Google purchased wax ze for a lot of money.

Is that the opening for more acquisitions?

I don't know that waze was intended to generate revenue near term.

The point of that was keeping waze out of someone else's hands.

They closed the transaction remarkably fast.

Despite being one of the four global providers of mapping services, they did not clear this through the department of justice.

It is being investigated right now.

We will see what happens with that.

The point is they didn't really quickly to avoid scrutiny, and they got control of it.

Brian wieser, thank you for joining us.

Putting a positive spin on what was positive earnings.

Also, don knauss with us from clorox.

How do you use these?

Three ways.

All of our brands have a facebook page, so we understand how to build awareness with consumers.

The second way is getting feedback from consumers on how the rant performs.

The third way is probably the most -- how the brand performs.

The third way is really talking to our customers.

During the recent flu epidemic, reminder that our facebook pages and twitter to see what locales had the most chatter around people getting sick.

We shifted into stores by zip

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