MAJOR PAPERS:

• Corporate advertisers are not flocking to YouTube despite the fact that the video sharing site attracts one billion views a day, upsetting Google Inc's (NASDAQ: GOOG) expectations for a strong revenue stream, according to the Wall Street Journal. Total ad revenue for Google this year will be about $200M from the site, where the company is counting on growth beyond its text ads from Web searches.
• A day after Microsoft Corporation (NASDAQ: MSFT) said it would be interested in reopening talks to acquire some of all of Yahoo! Inc (NASDAQ: YHOO) if Carl Icahn's proxy battle succeeds, the Wall Street Journal reported that Yahoo! CEO Jerry Yang accused Microsoft of "trying to destabilize" the company "without a real desire to complete a deal".

OTHER PAPERS:

• The Atlanta Journal Constitution reported that Comair, a subsidiary of Delta Air Lines Inc (NYSE: DAL), is set to cut 300 pilots and 220 flight attendants from its staff. The paper said the layoffs will go into effect in September when Comair cuts its flight schedule as part of Delta's capacity cuts and will affect crew members based at Cincinnati/Northern Kentucky International Airport and New York's John F. Kennedy International Airport.

WEB SITES:

• Iran successfully test-launched a long-range version of its Shahab-3 missile, according to Iranian news service Al-Alam. The missile can reach U.S. military bases in the Persian Gulf and Israel.

The best defense is a good offense. If Yahoo Inc. (NASDAQ: YHOO) does not like Microsoft (NASDAQ: MSFT)'s buyout offering price of $31 per share and Microsoft insists this is a fair price, then Yahoo should turn the tables on the software giant and buy its internet search and advertising assets at a similar valuation. Since it is smaller, it should cost less. If this is too big for Yahoo to swallow, then they could do it with a partner -- would Mr. Murdoch have an interest in this? Or maybe Mr. Diller or Mr. Malone would?

Another possibility would be to forget about an acquisition strategy and think merger!

The idea I like best is for Microsoft to spin out its internet assets and merge them with Yahoo's. I think this approach would add value to Microsoft, the cash machine, and create a new, larger, independent internet competitor for Google Inc. (NASDAQ: GOOG). If it were independent from Microsoft, it may also facilitate on the deal's acceptance as far as antitrust issues are concerned. If Murdoch's News Corp (NYSE: NWS) took an interest, then MySpace could be added to the mix. It would be a very strong company.

Sheldon Liber is the CEO of a small private investment company and the design and research principal for an architecture & planning firm. Disclosure: I do not own shares of GOOG, MSFT, NWS or YHOO.

It seems that Google (NASDAQ: GOOG) is not only interested in conquering virtual space but outer space as well. Through the ever expanding horizons of billionaire Google co-founder Sergei Brin, Google has created together with the X PRIZE Foundation the Google Lunar X PRIZE. Like so many Google activities, this is a very long-term enterprise.

Our architecture practice has done work for the aerospace industry, including the structural test lab for the space shuttle and other unique projects. This created the impetus for our involvement with numerous interesting organizations, one of which is the X-Prize Foundation. It and the Ansari Family Foundation were instrumental in the promotion through a $10 million prize to privately fund sub-orbital travel.

We had the spectacular privilege of being present at both launches of Space Ship One from the Mojave Spaceport (thanks JSS) near Edwards Air Force Base that managed to put a manned vehicle outside the atmosphere for a duration of 60 seconds twice in a ten-day period. Space Ship One, the winning entry, was designed and built by Burt Rutan, supported by funding from Paul Allen.

With Google (NASDAQ: GOOG) set to bid billions in next month's FCC wireless auctions, will the search giant be joining with any other company to wrestle control of the wireless industry into another direction? Google's CEO does sit on the board of Apple (NASDAQ: AAPL), of course. But the question just posed will be answered pretty darn soon as many of us sit on our heels.

This past week, Google released a new "entry point" for its most popular services that runs on Apple's iPhone and gives near-immediate access to its prominent services: Google Maps, Gmail, Docs & Spreadsheets, Calendar and more. What is Google up to? Colluding with Apple to make the underlying wireless carrier service on the iPhone mostly irrelevant? Yes.

If you have an iPhone or even an iPod Touch, visit Google.com to see all the new goods. It's not a software download, but a presentation that gives access to all of Google's better products from one touch screen. But I ask again -- is this Google's way of muscling into Apple's territory, or using the iPhone's Safari web browser to make each iPhone user a complete Google convert? A little of both, I suppose -- and it's a great move for Google, given the ubiquity of the iPhone, still just in its infancy.

On today's STOP TRADING! segment on CNBC, Jim Cramer said there is instant reaction to a whole group of stocks. MSNT/BA/ADM.....he said it's a fulcrum day and he's extremely bullish.

3 names to discuss are Under Armour Inc. (NYSE:UA) down 7% is one that is OK. It is down because it reaffirmed instead of raised guidance. He expects the drop to shakeout some of the weaker money. He thinks it will be down again tomorrow because there wasn't more accelerated revenue growth. He thinks if you can get it at $43 to $44 then you want look at it.

Comcast Corp. (NASDQ:CMCSA) is down on spending $1 billion more. Cramer said he is actually impressed because it's a real growth story. He is spending his money to grow instead of to buy back stock.

On his favorite Google, Inc. (NASDAQ:GOOG) Cramer said the revenues not accelerating is why people are being shaken out. Cramer said it probably isn't done going down and could fall to $450, but now he says it's capped at $600. In prior shows he has used $650 as his number, so this is a much less bullish Cramer on GOOG than just 3 weeks ago and this was one of his 5 tech exceptions for the year recently when he panned the whole tech sector.