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NEW PICK
Spare Backup Inc, (OTC BB: SPBU.OB)
SPBU
SPBU Chart
Currently Trading: $0.14
Admittedly I'm a huge tech geek, and I happen to have a background in Internet security, which is why I'm so excited about SPBU.
There is an ever-growing need for Internet security (specifically cloud-based, and mobile security platforms) and I believe that SPBU has huge potential to take a HUGE bite out of this rapidly growing sector. They are also well positioned for acquisition, which in the network security space seems to happen weekly!
SPBU is an Internet security company that specializes in small to medium businesses to protect computer data. The company's flagship product is Spare Backup, a proprietary online backup service that stores sensitive data quickly and automatically, and most importantly, it is cost-effective for small businesses.
NEW MOBILE SECURITY PLATFORM:
What I'm most excited about is the news this week regarding SPBU's newest offering, Spare Mobile Security.
Spare Mobile Security provides users the means to remotely manage their mobile devices (Smartphones) and protect sensitive data.
There is an ENORMOUS need for mobile security solutions, as Smartphones are the favorite targets of cyber-criminals who realize that people access private and sensitive data from their phones with little or no understanding of how to protect sensitive data!
Spare Mobile Security provides the following benefits:
Track the location of your lost or stolen phone
Lock the phone remotely so that no critical data can be viewed or stolen
Remotely place a message on your lost phone (ex) "Please Contact Me If Found! Call: 555-555-5555 for Reward!"
Remotely trigger an audible alert to draw the attention of persons in the vicinity of the phone
Remote "Wipe" - Once activated the phone will backup automatically and then "wipe" all personal and sensitive data from the phone.
SPBU: AN ACQUISITION TARGET?
SPBU is in an excellent position to attract major security companies who need this technology to package to businesses who already us Desktop/Network security functions but are desperately wanting to add mobile security as well.
SPBU could attract the deep pockets of software companies that love acquiring technologies rather than building them in house. This happens ALL THE TIME in the Internet Security spae, because things change so quickly, it's faster just to acquire your competition than to bother competing with them.
Some of the big security companies have made major acquisitions; HP recently acquired ArcSight, Fortify, and 3Par. Intel recently acquired McAfee. These are big name companies, but there are literally hundreds of smaller companies like SPBU that have been snatched up in 2010 alone.
SPBU is perfectly positioned to compete in the marketplace, or become a very attractive acquisition that would make their stock price instantly skyrocket!
With the secured financing of $10 Million acquired just 2 months ago, they have all the money they need to operate for a very long while, and let the offers pile up!
PARTNERSHIPS:
Sony
Spare Backup is providing online data backup and cloud storage service to Sony's customers, for a 1 year agreed period that began in July of 2010. My Memory Center, backup with Vaio Care warranty support service from Sony Vaio products, should provide an excellent revenue stream for SPBU, from one of the most recognized companies in the entire world!
Sony will be marketing the Spare Backup product to its customers, offering a free introductory, one year subscription service that can be upgraded after one year or for the purchase of larger storage plans.
Simplexity - Wirefly.com
SPBU entered into a 3-year agreement to launch a number of co-branded cloud-based digital platform services. For those of you that don't know "cloud-based" solutions are in high demand from anyone in the IT world, as they refer to solutions that don't require the installation or maintenance of physical hardware. It's a 'clean-pipe' solution that is much easier to manage for anyone in Network Security or Network Management. In my humble opinion eventually everything will be 'cloud-based.'
Simplexity, a privately held company, is the Internet's leading authorized seller of cell phones and wireless services. The company also creates and maintains websites for a variety of companies like Radio Shack, Sears, Kmart, Target, Dell and HP.
SPBU is currently in negotiations with other U.S. and South Pacific Partners, looking to secure agreements before the end of the year. They are actively looking into licensing deals where potential partners can license their software for a flat fee.
SPBU BREAKOUT - TECHNICAL INDICATORS:
SPBU is currently trading around $0.14 and looks to be starting an upward trend as volume has spiked recently with the recent news. Over the last week we've seen 2 volume spikes that pushed SPBU up 30% each time, and I believe that this is a key indicator that a bigger move is about to happen.
These little 'spikes' usually are the key indicators that a stock is about to breakout of it's current trend.
Morningstar.com has already given SPBU and "A" ranking for growth. SPBU has been around since 2003, and now looks ready for a big move. The market is rallying since August, up over 500 points, and tech-stocks are at the front of the move!
I like SPBU this week for a number of reasons, and think that with the recent pickup of activity we could be at the very start of an upward-reversal that could send SPBU soaring. SPBU looks ready to make a nice move, but I even like this stock long term (only because I know the network security world, and how in-demand mobile solutions are, and how few competitors have mobile security 'market ready')
SPBU could be a very attractive acquisition for a larger security company that needs mobile security in its product suite. This would mean $$$ for anyone holding SPBU at that time.
An acquisition is likely a longer-term possibility, so we'll focus mostly on the short-term potential of SPBU for now. Seeing those jumps of 30% that seemed to come out of nowhere, are a great sign for us. If buying picks up next week, SPBU could possibly see above 50% gains very easily.
Keep a close eye on SPBU tomorrow as I believe that the company is about to breakout, and the overall market conditions are perfect for SPBU to have a huge run this week!