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The Brode Report  |  July 2010   Hi, this is David Brode. Welcome to The Brode Report newsletter, where I am sharing monthly with you my thoughts, ideas, and experiences around strategy & finance with a focus on financial modeling. The main article this month is about predicting broadband stimulus awards. What applications are likely to win? Also, World Cup & economics: passing the ball from soccer to finance. Please share your feedback; I'm always happy to hear from you.

Predicting Broadband Stimulus Awards The stimulus bill (ARRA) allocated $7.2 Billion for broadband telecom. First round applications were due last fall; second round this spring. Most applicants are waiting to hear from the government. We crunched the numbers on Round 1 awards and have insight into the chances of success in Round 2.   Watch the presentation   View the slides   Also see Digital West's analysis of the application data here.     Interesting Links: Value of Facebook Fans Surprise: the answer is $0-316. I bet there’s a big cluster around zero. Read the article. A different approach estimates the value per fan at $3.60. Find out how.     What's In: The World Cup  Network use increases 87% during a nation’s game. Best line in the article: "Even in the US (where many mistakenly believe football is a game played by men in helmets using a misshapen ball), bandwidth use is expected to rise to more than 80 percent during some key matches."  Finances of FIFA and the World Cup. Interesting to see that U.S. broadcasting rights cost $425M for 2010 and 2014. Retail sales of logo merchandise is expected to grow from $2.0 to $2.7B between 2006 and 2010 events. More good information in the article.  Private equity firm focused on "football" investments. Invests in football clubs, players & academies, football-related events & franchises, and other football-related businesses. Affiliated with Carlos Alberto Torres, Brazil’s 1970 captain. I would have thought Pele was captain back then.

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