For a start, MediaMemo notes that even though estimates for people viewing President Barack Obama’s inauguration speech hit record highs–70 million on the Web and 37.8 million on television–a Web view can’t be equated with a television viewer, so those numbers remain just estimates. One way viewership can be visualized, though, is a graph published by Google (GOOG) that shows a huge dip in searches performed while people were viewing the ceremony live. The Inauguration had a profound effect on YouTube as well. Though it was perhaps the only big Web site that didn’t offer a live stream during the events, its users made up for this by uploading videos afterward at the incredible rate of 3.52 videos per minute. To put that in context, when Tina Fey’s Sarah Palin skits were the hottest thing on the Web, users uploaded videos at the rate of 9.9 per hour. BoomTown notes that even though he might have to give up his beloved BlackBerry, the gadget-loving President did get a completely tricked out new Cadillac limo–nicknamed the “Beast”–for his day-to-day ride.

During his speech, when he was speaking of building a healthy American economy, Obama said “it will not come easy or happen overnight, and it is altogether likely that things may get worse before they get better.” This is basically the theme for the first week of earnings. As BoomTown points out, this crisis started in the financial sector, but it has ended up affecting everything, including seemingly healthy companies in the digital sector. The list gets longer every day. For the first time in 14 years, Sony (SNE) expects to report an annual loss–a staggering $1.65 billion–forcing CEO Sir Howard Stringer to plan for more drastic cutbacks than anticipated. He plans to cut 16,000 jobs and close six plants. And Ericsson? Despite reporting better-than-ever fourth-quarter financials, CEO Carl-Henric Svanberg will cut some 5,000 jobs, just in case, to maintain the company’s competitive edge. Digg plans to cut 10 percent of its workforce, but still says it’ll be profitable in 2009. BoomTown liveblogged Microsoft’s (MSFT) second-quarter earnings call and reported the fallout–for the first time in the company’s 34-year history, Microsoft will lay off a significant number–5,000 workers–the most drastic headcount reduction it’s ever seen. BoomTown also published Steve Ballmer’s full memo to the Microsoft troops about the company’s weak financial results and the layoffs to come.

Maybe the only good news in the tech market this week was about Palm, which has been resurrected by its long-anticipated new hand-held, the Pre. Palm (PALM) shares were up 157 percent this past week–to put that in context, the S&P was down 5.9 percent during the same period.

Good news for Windows PC owners, too–and it’s about time. In Personal Technology, Walt Mossberg previews Windows 7 and said that even in beta it blows Vista out of the water. In its finished form, it might even turn out to be a worthy competitor to Apple’s (AAPL) OSX Leopard. In Mossberg’s Mailbox, he answers a parent’s question about monitoring a teen’s Facebook activity. And in the Mossberg Solution, Katherine Boehret looks at some options for avoiding slow boot-up times on your computer.

More next week, when, hopefully, the atmosphere will be a little bit more upbeat.

In this week ramping up to the holidays, good cheer–unsurprisingly–was hard to find. 2008 may well be remembered as the year the econalypse stole Christmas.

Yahoo (YHOO) was bereft of cheer, for sure. BoomTown covered its long-dreaded layoffs and published Jerry Yang’s complete memo to Yahoo staff about the painful process, which began on Wednesday. Ex-Yahoos from all corners of the company declared their preferences (and vented) to BoomTown about the as-yet fruitless search for a CEO to replace Yang, who laid himself off last month. But wait–Digital Daily pointed out a singular moment of misplaced cheer–akin to fiddling while the proverbial Yahoo burns–as the company, uh, celebrated the holidays with a bafflingly lavish year-end party last Saturday–four days before its massive layoffs began.

Digital Daily covered a lot more bad news this week–even some for Apple (AAPL). Belkin, historically the largest exhibitor at January’s MacWorld, announced it won’t be at the convention this year. In addition, registrations for the annual Macfest are down 20 percent since last year. Fairchild became the latest in a long procession of semiconductor companies to lower estimates in the face of dwindling demand, and IPO activity dropped 50 percent in 2008, according to Ernst & Young’s year-end Global IPO Update. What’s that word? Oh yeah, schadenfreude. In a cold bit of circumstance, almost any company can feel a little bit better by comparing itself to Nortel (NT), which lost an astonishing 97 percent of its value this year.

MediaMemo wrote about CBS’s (CBS) appointment with the piper–it spent $1.8 billion on CNET last year, and started paying the consequences this week. The re-org of the entire CBS Interactive group is laid out in Quincy Smith’s memo to its staff. Hulu was hurting this past week, too. Its traffic dropped sharply in the absence of Tina Fey/Sarah Palin viral videos. There was at least one happy anomaly in this week’s news, though: Microblogging site Tumblr brought back memories of the heady early days of Web 2.0, announcing a $4.5 million-dollar round of funding from Union Square Ventures and Spark Capital.

On the Mossberg front, Walt is on a holiday break, but Personal Technology is not. Nick Wingfield sat in for him this week with a column about digital projectors, which are getting smaller and more portable. And in anticipation of Mac-themed holidays for Windows PC users, Katherine Boehret discussed reliable methods of getting data from a PC to a Mac.

Election 2008
Whether or not those voting machines malfunctioned or miscounted votes, Barack Obama was set to become the 44th President of the United States, much to the chagrin of comedians like Tina Fey and Amy Poehler, who–since the beginning of the McCain/Palin partnership–were handed once-in-a-lifetime material. Between the brilliant “Saturday Night” Live parody sketches of (and by) both Palin and McCain, and Obama’s victory speech, the other big winner (by a mile) was Google’s (GOOG) YouTube. All 500 video versions of the speech generated nearly seven million views. It doesn’t beat the nearly-naked Britney Spears, with over nine million views, but one can dream.

Yahoo
This week, Yahoo (YHOO) was kind of like a high school senior with a prom night dilemma: Since Microsoft (MSFT) backed out of acquisition negotiations earlier this year, Steve Ballmer insists there’s no deal, but there’s a lot of back-and-forth that makes BoomTown wonder. Google backed out of the much-discussed search ad partnership with the company after the DOJ made it clear that it was not going to happen without a fight. The also-much-discussed merger with Time Warner’s (TWX) AOL has not fared much better. According to BoomTown, where you’ll find the straight dope on all of the rumors, all of this (for starters) has turned CEO Jerry Yang into the Internet’s human pinata.
You know what they say: “Play hard-to-get and you won’t get got.”

Econalypse
Rupert Murdoch admits business is worse than he previously thought. Disney (DIS) admits that ad spending has been declining for more than a year. Does that make it official? Either way, reality sinks in further among the non-start-up set–Time Inc. is laying off hundreds and reorganizing the rest. Viacom (VIA) may or may not have layoffs. Among the start-up set, as witnessed at the recent Web 2.0 conference this past week, companies are in survival mode, getting lean for the downturn. Well, not everybody. MySpace’s over-arching theme, judging from this BoomTown video of the giant’s Web 2.0 party, is “Masque of the Red Death.” Party on, Garth–and have a pleasant tomorrow.

• First and foremost, this week’s big slide on Wall Street hit tech stocks with a vengeance, too, disproving Google CEO Eric Schmidt’s assertion a little more than a week ago: “My guess is that the drama is New York and not here.” Ouch. But don’t say BoomTown didn’t warn you.
• Ted Ullyot, Facebook’s new general counsel, has “strong ties to the Republican Party.” Including a stint in former U.S. Attorney General Alberto Gonzales’s office, where, as chief of staff, he handled the government’s response to the the leak of CIA operative Valerie Plame’s indentity. “Ted’s arrival demonstrates we’re a little more grown up.” No word on whether or not you need to change your status immediately.
• Unsurprisingly, the ad partnership between Yahoo and Google is on hold so the Justice Department can spend more time reading the small print. The much debated deal is now also much delayed.
  Google will spend the interim rolling out Clean Energy 2030, a $4.4 trillion dollar plan to transition the country from coal and oil dependence to clean energy. And to lower the gas and electric bills on all those Google data centers.
• People have some strong ideas about the term “cloud computing”–if not about the concept itself. In September, Oracle CEO Larry Ellison said, “Maybe I’m an idiot, but I have no idea what anybody is talking about … It’s complete gibberish.” Well, Steve Ballmer doesn’t think so–though what he coyly announced this week at Microsoft’s Professional Developer Conference will go by another name. Or maybe not. Says Ballmer: “Let’s just call it for the purposes of today ‘Windows Cloud.’” Let’s.
• Walt Mossberg lays out the different ways to make a Mac emulate a PC, including one option that’s just gotten better. He also answers readers’ questions, which this week include issues about following features from one version of Microsoft Office to another, dealing with malware, and embarrassing CD misidentifications.
• And in a showdown at the iTunes Corral, Apple walked off into the sunset with its profit margin intact. It was threatening to shut down the iTunes Store if the Copyright Royalty Board were to raise royalty rates 66 percent–as had been proposed by the National Music Publishers’ Association.

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