Big news often comes in small packages and BoomTown was all over the little moves that meant big stories this week. Kara covered a massive redesign of Microsoft’s MSN homepage that follows the old car-racing-mantra-turned-Web-design ethos: Add power and lightness. Everyone breathed a sigh of relief when BoomTown covered the end of the Skype ruckus. All is forgiven, and all it took was a sizable stake in the company and seats on the board. Kara rounded things out by running a quick post about a spankin’ new feature from AllThingsD: Every Friday, the just launched “Almost Famous” will cover interesting start-ups through the eyes of their chief geeks. Kara’s all about geek love.

Digital Daily isn’t usually big into bean-counting, but this week the numbers were where it was happening. The first sales figures came back from Apple’s iPhone launch in China, and the numbers weren’t good. As of pub time for the post, only 5,000 iPhones had been (legitimately) purchased. If the Chinese numbers were a picture of modesty, the App Store’s numbers were parading through Time Square in an orange jumpsuit singing Eddie Grant’s “Electric Avenue.” The two-year-old App store’s epic popularity has pushed its already outsized download numbers past the two-billion mark. Not to be outdone with unprecedented flash, Google (GOOG) violated its own nonrule late in the week and ran a semi-ad on the Google homepage. You say ad, they say synergy, but at the end of the day it was a direct promo for Motorola’s (MOT) new Droid, which runs on Google’s Android platform.

MediaMemo started the week off right with a fresh bite from Apple (AAPL). Peter covered the revamp of Apple TV, which will now be offered for $30 a month. News from News Corp. was no surprise this week, when MediaMemo brought us the story that the media empire (and AllThingsD’s uber-parent company) was doing fine as long as you only pay attention to cable and movies. Broadcast and print? Eh, not so much. Finally, Peter asked a few probing questions of Google CEO Eric Schmidt in regard to his company’s suspicious addition of a “blog” tag attached to some Google News postings. Schmidt speculated, but the ultimate answer wasn’t, as he suggested, because of your mother.

Deep in his Personal Technology bunker, at an undisclosed location somewhere in rural Maryland, Walt got to take a crack at the new Motorola Droid this week, and his response was, well, very positive. He praised the Droid’s exceptional battery life and call clarity, even if the touchscreen wasn’t quite up to the iPhone bar. All in all, he said it was a win for Verizon (VZ) and the Google’s mobile OS.

Mossberg’s Mailbox continues to fill with questions about the speculative Apple tablet. Walt offered some other sage advice about making the Windows 7 switch with 64 bits, and what to do with all that grief over the death of Microsoft’s (MSFT) Outlook Express.

Katie was sweatin’ to the newbies this week, with an energetic review of Fitbit, a wireless fob for tracking calories and exercise stats. The Bluetooth headset-sized clip attaches to your waistband and uploads your activities to the Fitbit Web interface, where you can track how many calories you did or didn’t burn. You can also add water consumed and calories eaten. The Fitbit has been shipping since September, but won’t appear on retail shelves until after the holidays. No word yet on if it will include a “Cheesecake Factory” tab to the interface so as to allow for calorie counts that require exponents.

Like any good gadget lovers, we are all about the small and mighty here at AllThingsD. Stay tuned in with your RSS reader, Twitter feed or the good ol’ homepage. We’ll keep bringing you the little things you need to know.

BoomTown’s week began onstage in front of thousands of chanting women. No, Kara wasn’t filling in for Oprah; she was doing something much cooler. She got snagged to moderate a panel entitled “Changing the World Through the Web” at Maria Shriver’s six-year-strong Women’s Conference. Kara’s panel included a group of VIPs from Facebook, Kiva, Blue State Digital–and the Twitterific Ashton Kutcher. With “Mission: Kutcher” accomplished, Kara followed up with the complicated world of MicroHoo and offered analysis on the still-pending search deal. Moral of the story: Commentators should give it time, and Carol Bartz should quit with the Jerry Yang jabs. BoomTown rounded out the week at TEDMED. The conference covered the scalpel’s edge of med tech. And yes, in case you were wondering, synthetic skin feels gross.

Digital Daily covered the real-time search war early in the week when Microsoft’s Bing search folks announced a nonexclusive deal with Twitter to feed on its data stream. The deal did put Bing out front for once, but no one knows if the new info source will turn into profits for either search group. In a post foreshadowing a grisly murder, John reported results from a ChangeWave research study that placed the iPhone within striking distance of overtaking the Blackberry from Research in Motion (RIMM) in the smart-phone market. Okay, maybe it wasn’t that grisly, but it’s Halloween. Digital Daily rounded out the week by adding the iPhone to the pantheon of cat, dragon, rat and rooster that occupies the rim of your Chinese restaurant placemat. Apple’s (AAPL) iPhone officially made it to China this week, though without its signature Wi-Fi, and at a much heftier price point.

Peter Kafka lives at the crossroads of media and tech, and that’s exactly where he was almost run down by the Windows 7 “Family Guy” episode. Microsoft (MSFT) apparently bailed out of the deal when it took a closer look at what was actually inside. From the “not so fast” files, Peter covered a report from Interpublic Group (IPG) noting that ad revenue isn’t quite as sunny as some have suggested. Grim economic times caught up to AllThingsD’s big brother late in the week when The Wall Street Journal closed its Boston bureau. The move resulted in nine job losses, despite significant resources being poured into the paper by parent News Corp. (NWS).

The leaves are changing color over at Personal Technology, and Walt sensed that chill in the air meant it was time for his annual fall computer-buying guide. Operating-system choice was a big discussion; but he also touched on the latest must-haves in the memory, graphics, processor and form-factor categories. With a cup of Earl Grey tea to fend off the autumn chill, Walt trudged out to Mossberg’s Mailbox this week and came back with a fistful of letters. He dutifully replied to a question about migrating Microsoft files to a Mac running windows, offered clarification on the Windows 7 upgrade process, and weighed in on the rumor of a pending Apple device below a laptop but above an iPhone.

Katie finished it all off with a deep dive on the two latest netbooks. The HP (HP) Mini 31 and the Nokia (NOK) Booklet 3G both offer high style compared with their competitors, and each boast much higher screen resolutions than previous models. Though she came down on the side of the Nokia, Katie remarked that neither option would disappoint.

Bundle up as you head out for tricking and treating, and learn from Weekend Update’s mistakes. Remember to check and make sure that scary face is actually a mask before you bring that new friend home.

Digital Daily came bearing sad news on Monday: The Apple (AAPL) event scheduled for Sept. 9 will not have anything to do with a tablet computer. Just music. And from an organization vulnerable to Palm (PALM) poachers. Presumably, all managers present will be exercising caution and using peripheral vision. Netflix (NFLX) was the recent recipient of good news, as John reported this week: Analysts’ research shows that the DVD-by-mail business has a lot of life left in it. Now, if Google (GOOG) will just stay out of that business. The search giant, in any case, might be a bit preoccupied by the Open Book Alliance and that group’s opposition to its Google Book Search Settlement, the $125 million deal that will allow Google to digitize and monetize some 18 million books. Probably won’t be preoccupied for long, though.

MediaMemo returned this week with an explanation for why the relatively mediocre iPhone camera has become the favorite camera on Flickr: It’s already in your pocket, and no one wants to carry another gadget around. Which is likely to become a more common refrain as high-end handsets grab more marketshare than ever and the quality of secondary functions improves. Another common refrain: The one where media companies start charging for content, and people start paying. News Corp. (NWS) (which owns this Web site) is working on assembling the critical mass of publishers it believes is necessary for making this possible.

Over in Personal Technology, Walt Mossberg reviews a robotic investment adviser called Cake Premium and points out some of the reasons you may or may not want to follow its suggestions for what to do with your 401(k). From Mossberg’s Mailbox, Walt answers questions about Windows OS upgrades on the Mac, and some follow-up questions about DriveSharp. In The Mossberg Solution, Katie Boehret tests out Rosetta Stone’s (RST) Totale, a web-based language-learning system that might be the next best thing for immersing yourself in another culture.

“We intend to charge for our news Web sites. The Wall Street Journal‘s WSJ.com is the world’s most successful paid news site and we will be using our profitable experience there and the resulting unique skills throughout News Corp. to increase our revenues from all our content. Quality journalism is not cheap and an industry that gives away its content is simply cannibalizing its ability to produce good reporting. The increase we have seen in our Wall Street Journal subscriptions since we acquired the paper proves to me that the market is willing to pay for that quality without any special market.”

– News Corp. CEO Rupert Murdoch vows to charge for online content.

Looks like News Corp. was a little too optimistic when the company told investors in May that it expected a decline of around 30 percent in fiscal-year-adjusted operating income.

Reporting earnings this afternoon, the publisher of The Wall Street Journal and this Web site instead posted a decline of 32.5 percent.

And, to think, News Corp. lowered that forecast twice last fall.

Anyway, the company lost $203 million, or eight cents a share, in its fiscal fourth quarter. Revenue fell 10.5 percent to $7.67 billion, dragged down by a decrease in ad revenue and $403 million in impairment charges and $228 million in restructuring costs, both largely attributable to, ahem, “red-hot social networking site” MySpace.

For the quarter, News Corp. swung from $1.1 billion in net income a year ago to a net loss of $203 million. Gruesome. Excluding items, however, it earned 19 cents a share, which beat consensus estimates by a penny. So there’s that.

“I think the worst may be behind us,” News Corp. Chief Rupert Murdoch said during a conference call with analysts. “But there are no clear signs yet of a fast economic recovery.”

Which is pretty much what he said last quarter as well. “I am not an economist…but it is increasingly clear that the worst is over,” Murdoch said back in May. “As you know, I have been uncharacteristically pessimistic in recent calls, though I would argue that it was a well-founded concern. But there are emerging signs in some of our businesses that the days of precipitous decline are done and that revenues are beginning to look healthier.”

Fifty million new users in under four months: Impressive.

“For us, growing to 250 million users isn’t just an impressive number; it is a mark of how many personal connections all of you have made, and how far we at Facebook have to go to extend the power of connection to the billions of people around the world,” CEO Mark Zuckerberg wrote in a post to the company blog.

If Facebook is able to maintain its growth, it will easily hit 300 million users before the end of the year, perhaps as early as November. And as a recent study from Nielsen Online found, users are spending increasingly more time on the site. Americans spent an average of four hours, 39 minutes and 33 seconds on the site in June–significantly more than any other Web site.

Clearly, Facebook is a lot more than “the flavor of the month,” as News Corp. (NWS) chairman and owner of rival MySpace (and this site) Rupert Murdoch once called it. But how long before it’s able to turn its popularity into profit befitting its user base?

According to BoomTown’s reliable sources, the elusive Microsoft (MSFT)-Yahoo (YHOO) deal is making “meaningful” progress. Accordingly, BoomTown wondered whether Microsoft CEO Steve Ballmer planned on visiting Carol Bartz, Yahoo CEO, on his trip to the Bay Area this week or if the proximity of Stanford to Yahoo was just chance, given that Stanford was his main destination. At least one of his reasons for being in the area was to give a talk at Stanford’s Memorial Auditorium for the Entrepreneurial Thought Leaders Seminar. BoomTown liveblogged the session and attempted to determine Ballmer’s soul-mate status. Given some of the acquisition rumors flying around this week, BoomTown decided to conduct a little experiment. Would the same sort of “Brangelina”-esque mystique apply as well to the combination of two incredibly hot tech companies? Would it create the same hysteria, and sell as many magazines (figuratively speaking)? (Non) results on BoomTown.

MediaMemo had a Kindle-ish kind of week. Amazon (AMZN) unveiled the latest iteration of the device on Wednesday in New York, and MediaMemo was there to liveblog the whole thing, including the crazy demo, during which the location’s facilities prevented Jeff Bezos from demoing pretty much anything. Also, Bezos forget to mention the fact that Amazon will be conducting a Kindle pilot program at six colleges starting this fall. Forget about getting your hands on one, though–only five students per school will be carrying their textbooks around in a Kindle instead of a backpack. MediaMemo’s advice for cash-strapped students once the devices do become available? Wait three years until the price drops. $489 is a lot to shell out on a student’s budget.

News Corp.’s (NWS) Rupert Murdoch had some news this week during the company’s earnings call (besides earnings)–he believes that while the state of the economy is still dire, “the worst Is over.” He also noted that although he plans to extend WSJ’s online pay model to his strongest properties soon, News Corp. will not be selling any of its content via the Kindle, as some of its competitors will. All this and more on MediaMemo.

On Thursday, Digital Daily liveblogged a press event hosted by Google (GOOG) in advance of its annual shareholder meeting. Some of the topics covered? Time Warner’s (TWX) AOL, the econalypse, YouTube, netbooks, China, antitrust issues and the Apple (AAPL) Board. CEO Eric Schmidt was most forthcoming about the Federal Trade Commission’s just-opened inquiry into Google and Apple’s overlapping boards: When asked if he’d resign from the board, he replied that the thought “hasn’t crossed his mind.” Elsewhere, Oracle (ORCL) CEO Larry Ellison probably ruined a few people’s mornings over at IBM (IBM) and HP (HPQ) when he told a Reuters reporter that part of his plan for Sun (JAVA) is to create an integrated hardware and software solution, effectively making their competition a little bit steeper. As such, it will be extra interesting to see how the little matter of Sun and a possible violation of the Foreign Corrupt Practices Act plays itself out in the courts. Details on Digital Daily.

Over in Personal Technology, Walt Mossberg reviewed Quickoffice, a program that brings some full-fledged word processing capabilities to the iPhone, but has its limitations. In Mossberg’s Mailbox, Walt answered questions about using Macs and PCs together on the same home network, backing up and transferring Outlook Express data and whether it’s possible to find a GPS program for the iPhone that will speak its directions. In the Mossberg Solution this week, Katie Boehret reviewed the Sidekick LX and found it a little out of touch with its market. More in-depth discussion, of course, on the section of the site containing Walt’s columns.

More next week. RIP Dom Deluise.

Just as MediaMemo predicted, Walt Disney Co. has finally taken a stake in Hulu, the video-streaming site operated by General Electric’s (GE) NBC Universal, News Corp. (NWS) and Providence Equity Partners. Under the terms of the deal announced today, Disney will sign on as a joint partner in the venture and bring full-length episodes of long-absent programs like “Lost” and “Grey’s Anatomy” to Hulu. Financial terms and the structure of the deal weren’t disclosed, but sources say Disney’s stake in the venture will be close to 30 27 percent.

“From our landmark iTunes deal to our pioneering decision to stream ad supported shows on our ABC.com player, Disney has sought to meet the constantly evolving viewing habits of our consumers, and today’s Hulu announcement is the next important step in that ongoing journey,” Disney CEO Bob Iger bloviated. “Disney and Hulu share a focus on delivering the highest-quality entertainment experience and we look forward to working with Hulu to build value for our consumers, our brands and our shareholders.”

A few points worth noting here before the full press release below. This is mostly a broadcast deal. Aside from a smattering of Disney Channel shows, it includes very little cable programming. There is, for example, nothing from ESPN. Presumably, that’s because Disney doesn’t want to upset the folks who actually pay to watch that stuff.

Disney’s decision to join Hulu shows the company is confident that the site’s audience is distinct enough from audiences served by cable, ABC.com and its other sites that there’s no real risk of cannibalizing them. And that runs contrary to what many networks assume about online.

Disappointingly, there’s no mention in the release of classic animation, whether shorts or features.

As MediaMemo has noted, this is a big deal for Hulu, which has now allied with three of the four big broadcast networks.

CBS (CBS) is now the sole holdout among big program providers. When asked about its position, a spokesman replied with this statement: “CBS has long employed open, non-exclusive content partnerships that allow fans across the internet to engage with our programming in such a way that we control our distribution, sales and profit. We continue to discuss similar arrangements with additional partners as we grow our online audience based on the strength of our content, and the passion of the communities it creates. The Company also believes that controlling our own rights for that content–in all media–preserves its value in a multi-platform business system.”

Disney (DIS) to Join NBC Universal, News Corporation and Providence Equity Partners as an Equity Owner of Hulu

LOS ANGELES–Hulu and The Walt Disney Company today announced that Disney, through a subsidiary of ABC Enterprises Inc., has agreed to join NBC Universal, News Corporation and Providence Equity Partners as a joint venture partner and equity owner of Hulu, a leading online aggregator of video content. Upon closing, the agreement will enhance Hulu’s programming line-up through the expanded online distribution of Disney’s most popular current and library primetime series and library feature films. In particular, full-length episodes of hit current and library programs like Lost, Grey’s Anatomy, Desperate Housewives, Private Practice, Ugly Betty, Scrubs, Greek, Hope and Faith, Less Than Perfect, Wizards of Waverly Place, Phineas and Ferb, Who Wants To Be A Millionaire, General Hospital, The View and The Secret Life of the American Teenager will soon be streamed on Hulu on an ad-supported basis.

“From our landmark iTunes deal to our pioneering decision to stream ad supported shows on our ABC.com player, Disney has sought to meet the constantly evolving viewing habits of our consumers, and today’s Hulu announcement is the next important step in that ongoing journey,” said Robert A. Iger, president and CEO, The Walt Disney Company. “Disney and Hulu share a focus on delivering the highest-quality entertainment experience and we look forward to working with Hulu to build value for our consumers, our brands and our shareholders.”

“We’re honored to welcome the Disney team in our mission to help people find and enjoy the world’s premium content, when, where and how they want it,” said Jason Kilar, CEO of Hulu. “With the addition of shows like Lost, Desperate Housewives, Grey’s Anatomy and many more to Hulu, we continue to aspire to deliver a service that users, advertisers and content owners unabashedly love.”

Following the closing, content available to Hulu users will include:

• Full-length episodes of ABC primetime programs like Lost, Grey’s Anatomy, Desperate Housewives, Ugly Betty, Samantha Who?, Scrubs, Private Practice and popular late night talk show Jimmy Kimmel Live
• Full-length episodes of hit ABC Family series like The Secret Life of the American Teenager and Greek
• Popular series from ABC Daytime and SOAPnet like General Hospital and The View
• Classic series from ABC’s library like Hope and Faith, Less Than Perfect, Commander in Chief, Who Wants To Be A Millionaire and Dancing with the Stars
• Select hit programs from Disney Channel like Wizards of Waverly Place and Phineas and Ferb which can be easily accessed from a new DISNEY location in the Channel section of Hulu.com
• Popular library titles from The Walt Disney Studios
• Short-form content including webisodes, sneak peeks and episode recaps from ABC Entertainment, ABC Family and SOAPnet
“Hulu, quite simply, now has the best premium content on the web,” said Peter Chernin, president and COO, News Corporation. “With three major networks and over 150 leading content providers providing content, combined with the best video user interface anywhere on the web, Hulu offers consumers the finest premium online video experience available today.”

“Hulu has shown that if you make quality content available on the web and combine it with an unbeatable user experience, viewers will come, and so will advertisers,” said Jeff Zucker, president and CEO, NBC Universal. “The addition of some of the best content Disney/ABC has to offer will only enhance Hulu’s standing as a top site for high quality video entertainment.”

Jonathan M. Nelson, CEO of Providence, said “Hulu is creating significant value for users, advertisers and content owners. This balance, together with aggregated professional content and an expanding base of over 200 brand advertisers, is establishing Hulu as a compelling online video monetization platform. Hulu is a bright spot in the new media landscape.”

The transaction is subject to customary closing conditions, including regulatory review. As an equity partner, Disney will have three seats on the Hulu Board that will be held by Mr. Iger; Anne Sweeney, co-chair, Disney Media Networks and president, Disney/ABC Television Group; and Kevin Mayer, executive vice president, Corporate Strategy, Business Development & Technology. All other current directors from News Corp, NBC Universal and Providence will remain on the Hulu board.

For instance, BoomTown was in Rome earlier this week attending a conference on business, brand and innovation that happens only once every seven years–and one of the biggest takeaways? Hardly any Italians have heard of Twitter, and those who have don’t really use it. Well, that, and conversations with Arianna Huffington, Reid Hoffman, and several Italian business leaders. Mark Zuckerberg, though, is most definitely plugged into the white-hot microblogging service. This week, he used his Twitter account, plus an appearance on “Oprah,” as a platform to herald the launch of Facebook’s own Twitteresque homepage redesign. In other news, Time Warner (TWX) CEO Jeff Bewkes laid off AOL President and COO Ron Grant and Chairman and CEO Randy Falco. BoomTown interviewed Falco’s replacement, Google (GOOG) ad sales exec Tim Armstrong, who’ll start at AOL as Chairman and CEO on April 7.

MediaMemo had the full memo from Time Warner on the Falco/Grant-Armstrong transition and also spoke with Boxee CEO Avner Ronen this week. Boxee is the start-up that lets you watch Web video on your TV, basically bypassing your cable box. Which is probably why it’s caught up in a cat-and-mouse game with Hulu, the joint venture between GE’s (GE) NBC and News Corp.’s (NWS) Fox that would much rather have you watch TV on the Internet instead. Guess who’s the mouse? Still, Hulu is down two networks, ABC and CBS (CBS)–though presumably, the aim is to offer all three. (News Corp. is the owner of Dow Jones, which owns this Web site.) MediaMemo also noted that Google rolled out its behavioral targeting functionality this week and points out that we all might be hearing a lot more from a man named Rick Boucher in the near future as a result.

Behavioral targeting wasn’t the only thing that Google rolled out this week–it also launched Google Voice, the initiative based on the company’s acquisition of voice communications start-up GrandCentral. Digital Daily covered the story. Elsewhere in the telecom world, major Palm (PALM) investor Roger McNamee made some bold (read: crazy) assertions about iPhone users switching en masse to the Pre, which later needed to be clarified (read: backed away from) by Palm itself. RBC analyst Mike Abramsky is also bullish on the Pre and its WebOS, but in a less crazy way. He gave it a glowing write-up on Friday. For a product that hasn’t yet been given a price or a launch date, it’s certainly building itself some high expectations. Of course, it’ll need to fulfill them to compete with the ever-evolving iPhone, which for which Apple (AAPL) is having a press event Tuesday to announce version 3.0 of the device’s OS.

Walt Mossberg reviewed the new version of Apple’s ever-evolving iPod Shuffle this week, which has the distinction of being the first mp3 player to “speak.” His verdict was in Wednesday’s Personal Technology column. In Mossberg’s Mailbox, Walt answered questions about using a stylus with the iPhone and offered an explanation on how to change Apple’s Safari 4 beta so that it looks and works more like the previous version. And in this week’s Mossberg Solution, Katie Boehret took a look at iSkoot’s Notifier, an app designed to endow basic cellphones with smartphone-like capabilities.

More next week. And beware the Ides of March. Or not.

After its official unveiling on Feb. 9, the e-book reader started shipping on Monday, and actually managed to grab much–but not all–of the hype that’s surrounded Twitter of late. The device has been met with much acclaim, though it’s by no means unanimous. Jeff Bezos made an appearance on “The Daily Show” Monday night to make his pitch to an as-yet unimpressed Jon Stewart. His main sell? “We’d make it cheaper if we could.” Roy Blount Jr., President of the Authors Guild, isn’t thrilled about the Kindle either, but his objection isn’t price–it’s that he believes the text-to-speech feature on the device threatens the audio book market. Rather than engaging in battle with the Guild, Amazon (AMZN) decided to modify the Kindle’s software to make text-to-speech optional. Meanwhile, the Hearst Corporation announced development of its own “Kindle Kopy” aimed at capturing the newspaper and magazine market. The Kindle 2 itself has been shipping for just a week and it’s already gotten some print media looking over its shoulder. It remains to be seen, though, whether it’ll earn the moniker of “iPod for books.” Walt Mossberg’s comprehensive review of the device this week provided a glimpse into its actual pros and cons and some insight into the Kindle hubbub from a hands-on perspective.

Elsewhere, much of the news this week was about reorganizations in the digital space. BoomTown covered the much-anticipated Yahoo (YHOO) reorg, which was sketched out by CEO Carol Bartz for employees first in a post to the company blog, then elaborated upon in not one, but two, internal memos. Even BoomTown’s attention began to wander there toward the end. Must’ve been something in the water this week, because Time Warner’s (TWX) AOL kicked in a little reorganization of its own–CEO Randy Falco announced that Maneesh Dhir, head of AOL International, would be leaving the company and returning to his entrepreneurial roots, and ad head Greg Coleman announced a reshuffling of his own group. Over at News Corp. (NWS), upon official announcement of President and COO Peter Chernin’s departure, CEO Rupert Murdoch alluded to a reorg sometime in the future, and an immediate commitment to “streamlining” the business.

In Mossberg’s Mailbox this week, Walt answered questions about transferring data to an iPhone, giving Vista a dedicated graphics card, and using TrueSwitch to transfer email accounts when switching ISPs. And in the Mossberg Solution, Katie Boehret took a look at the ways different mobile companies back up your data and give you access to it.

More next week.

BoomTown provided continuing coverage of the Yahoo (YHOO) merry-go-round. This time, PR head Jill Nash announced her departure. As the company’s chief communications officer, she’s had a challenging two-year run. New CEO Carol Bartz definitely has some PR ideas of her own, including offering cash prizes to employees who provide info on their colleagues who leak information to the press. Not a huge deterrent yet, apparently–it didn’t take long for BoomTown to get info on both Nash’s farewell memo and Bartz’s bounty system. Next, New Networks, the publisher behind BarelyPolitical and its hugely viral Obama Girl videos, has widened its purview to include the tech sector with BarelyDigital, which the online network has envisioned to include regular shows, tech news remixes and the like. It’s rumored that Obama Girl will be making a cameo appearance or two. If the first two features are any indication, the future looks pretty funny. In another round of executive musical chairs, Time Warner’s (TWX) AOL ad head Lynda Clarizio will be leaving the online service, to be replaced by former Yahoo ad exec Greg Coleman. Microsoft (MSFT) is launching a slick new celebrity site on MSN called Wonderwall, created, designed and produced by BermanBraun Interactive, a Hollywood company run by former Yahoo media chief Lloyd Braun. And speaking of musical chairs, MSN is clearly upping its content ante–earlier this week, it hired Yahoo’s recent media head Scott Moore, who used to work at Microsoft.

MediaMemo asked: What happens when one of the world’s richest men lets loose a swarm (a small swarm) of mosquitoes at a high-end conference? Nothing too exciting, really, but when you consider that the stunt was the publicity-generating part of Bill Gates’s talk at TED, which was a discussion of malaria and some of the problems the Bill and Melinda Gates Foundation is facing head-on, it gets pretty compelling. Kindle 2.0, the new generation of the device dubbed the “iPod of the book world” will be unveiled Monday at a New York press event, but how many of the devices have been sold thus far? Amazon’s (AMZN) not telling, but Citigroup analyst Mark Mahaney estimates the number at 500,000–and believes that the Kindle will be a $1.2 billion business next year. Obviously, a lot will depend on Monday and the new device’s reception. MediaMemo also took some time out this week to wish Facebook a happy fifth birthday, and to stack its track record next to Google’s at the same age, with interesting results. Even the pros are getting hit hard these days–in its quarterly earnings report this week, News Corp. (NWS) missed its estimates, recorded an $8.4 billion write-off and lowered its guidance. CEO Rupert Murdoch admitted that the downturn is worse than he thought. He also admitted that he spent $2.8 billion too much for Dow Jones. (News Corp. is the owner of Dow Jones and this Web site.)

Digital Daily followed the trial of four Google executives this week on criminal charges of defamation and breach of privacy after a much-publicized two-year investigation. Google (GOOG) insists the charges are unwarranted and “akin to prosecuting mail service employees for hate speech letters sent in the post.” Clearly, the ultimate outcome will have a huge impact on the future of a free, open Internet. MySpace said this week that it has identified and ousted 90,000 registered sex offenders–and those are just the ones brilliant enough to use their real names. There’s no way of knowing how many are actually using the service or how to prevent them from re-registering once they’re deleted. A free an open Internet, indeed. DD also pondered the future (or lack thereof) of the Motorola (MOT) handset division. Co-CEO Sanjay Jha says the company is committed to making the business work, but its products are looking boring and outdated, and a turnaround would be prohibitively expensive to execute. In the words of one analyst, the company’s problems are “gruesome.” On the other end of the spectrum, Microsoft continues to vehemently deny reports that it’ll be producing its own smartphone. In a report this week, analysts from Broadpoint.AmTech speculated that the device could be uncrated later this month at the Mobile World Congress in Barcelona. Meanwhile, it’s been up in the air for two years whether or not iPhones will ever be uncrated in historic Georgetown. Apple (AAPL) has been around the table a few times now with preservationists wary of the architectural impact of an Apple store, no matter how much the business traffic is needed in the neighborhood. Looks like perseverance may have finally paid off, though–Georgetown’s Apple store could open later this year.

In Personal Technology this week, Walt Mossberg took a look at a program called Foxmarks, which sets out to synchronize bookmarks among all of your browsers and all of your machines. Sound a little too handy to actually work well? Walt found it does a pretty good job, with a few caveats. In Mossberg’s Mailbox, Walt responds to readers who want to know more about doing “techie” maintenance on their PCs to keep them running well, whether or not to buy a 15-inch MacBook Pro, and options for email within Windows 7, which won’t ship with a built-in email program. In the Mossberg Solution, Katherine Boehret tests Google Latitude, an opt-in program that lets users track one another’s movements on their smartphones using GPS, Wi-Fi, and cell towers. Kind of like Gawker Stalker, only with permission and without Lindsay Lohan (unless you happen to be Lindsay Lohan).

Last but not least, Silicon Valley lost one of its own this week. The widely admired and much loved Mike Homer, whose rare, severe illness was a rallying point for many over the past months, passed away last weekend and was laid to rest on Thursday.

More next week.

Why the sudden interest in a renewed partnership? Could be the recent change in management at DirecTV, which was taken over by Liberty Media (LINTA) in an $11 billion asset swap with News Corp. (NWS) (News Corp. is the owner of Dow Jones and of this Web site). Or could it be that DirecTV simply saw the writing on the wall after TiVo successfully sued Dish for infringing on its patented time-warp technology?

Perhaps a little of both, hmm?