CEO Mark Zuckerberg described Graph Search as a new way to search the 1 billion people and more than 240 billion photos on Facebook, as well as the social network's connections, which number more than 1 trillion.
During his presentation at the company's headquarters in Menlo Park, Calif., Zuckerberg emphasized that Graph Search is different from Web search, highlighting both the technology's scale and its constantly changing nature.
Investors, however, were underwhelmed by the beta-search technology, and Facebook's shares fell following the announcement.There had been intense speculation about search news leading up to the press conference, along with talk of a possible video-streaming deal with Netflix (NFLX) and even a Facebook phone. Zuckerberg was unable to say when Facebook might monetize the Graph Search technology. This clearly irked investors. Instead, the youthful Facebook supremo said that "this could be a business over time." TheStreet's Chris Ciaccia, who attended the Facebook event, believes that Graph Search will generate significant revenue over time and could eventually make inroads into Google's (GOOG) search business. Facebook shares ended the week down 6.5% at $29.66.
As always, Apple (AAPL - Get Report) was in the news this week amid rumors of weak iPhone and iPad demand. On Tuesday, Nomura Equity Research cut its estimates and price target for the tech giant. Citing "signs of weaker-than-expected" iPhone 5 sales in its checks, Nomura cut its iPhone unit estimates for fiscal year 2013 by 5%, to 157 million from 166 million. For fiscal 2014, the research firm slashed its estimate by 8%, to 184 million iPhones from 199 million. On Friday, Reuters reported that Sharp has cut output for iPad screens, although TheStreet's Chris Ciaccia suggests that demand is actually shifting from the full-size 9.7-inch iPad to the iPad mini. Apple reports its first-quarter results after market close on Jan. 23. TheStreet will live-blog the report: Apple shares slipped 3.9% during the week to close Friday at $500.