With the overall CE industry expanding 11 percent on a revenue basis in 2005, it is understandable that the household penetration of a handful of categories responsible for driving this double-digit revenue growth have gained momentum over the past year.

Sean Wargo

Basis Expanding Household Industry Overall Percent Revenue Understandable

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We've done that, and they now represent approximately 40 percent of our total revenue.

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With ad revenue down a steady (and not worsening) 8 percent to 9 percent in each month of the quarter, we may have seen the floor.

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It looks like a miss on desktop with revenue in the Americas down 3.5 percent sequentially. That's unusual. Certainly this is a miss.

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