In the papers 24 July

24-07-2008

by Sylvia Leatham

Vodafone to buy back STG1 billion in shares | Microsoft announces reorganisation as key exec departs

The Irish Times reports that Yahoo's second-quarter net profit fell by 19 percent. Read the details of Yahoo's results on ENN.

The paper also reports that mobile giant Vodafone plans to buy back STG1 billion worth of stock because the shares are "significantly" undervalued after a 14 percent drop. The buyback, through the London Stock Exchange, will begin immediately. The stock fell on Tuesday after Vodafone scaled back its sales forecast, warning of slowing revenue growth.

The same paper says that stroke patients could receive better and faster treatment using remote diagnostic equipment if hospitals win funding for a cutting-edge device. The Remote Presence (RP7) device, which would be used primarily in the accident and emergency department of a hospital, would allow stroke specialists to examine patients from a remote location, via a laptop, to decide how treatment should progress. The technology is currently on trial at Dublin's Tallaght Hospital.

The paper also reports that Science Foundation Ireland will announce research awards worth more than EUR20 million on Thursday. Minister of State for Science, Technology and Innovation, Dr Jimmy Devins, will announce the awards and launch the 2007 annual report of SFI. Awards will be made in areas including energy, medicine, genetics, mathematics and engineering.

According to the Irish Examiner, storage equipment maker EMC will on Thursday confirm a major investment at its Cork operations. The investment is likely to result in job creation. The company reported better-than-expected quarterly results on Wednesday, on the back of a 27 percent rise in international revenue. Second-quarter net income rose 13 percent to USD377.5 million, or USD0.18 per share, from USD334.4 million, or USD0.16 a share, a year earlier. Revenue climbed to USD3.67 billion.

The Financial Times reports that Intel has launched a line of embedded chips, relatively high-end processors that will power new kinds of devices. Intel, which believes the embedded chip market is worth USD10 billion, announced its first eight products in the category and said it already had 50 customers. "We're now able to deliver more highly integrated products ranging from industrial robotics and in-car infotainment systems to set-top boxes, [mobile internet devices] and other devices," said Gadi Singer, general manager of Intel's SoC (system-on-a-chip) Enabling group.

The paper also says that Nokia and Qualcomm have settled all litigation in their long-running dispute over licensing of their respective patents. In an unexpected breakthrough, the world's leading handset maker and the biggest maker of chips for mobile phones said they had entered into a 15-year agreement covering a wide range of mobile standards. "The agreement will result in settlement of all litigation between the companies, including the withdrawal by Nokia of its complaint to the European Commission," the companies said in a joint statement.

According to the same paper, Microsoft has announced a major reorganisation and the unexpected departure of the executive who led the company's bid for Yahoo. The software giant said Kevin Johnson, a 16-year veteran and one of three divisional presidents under Chief Executive Steve Ballmer, is leaving the company and his Platform and Services division will be split in two. The new groups would be Windows/Windows Live and Online Services, with both reporting directly to Ballmer. Johnson is understood to have accepted a senior position at Juniper Networks.

The Wall Street Journal reports that online retailer Amazon.com's second-quarter profit doubled on a 41 percent revenue increase. Sales of books, music and movies grew 31 percent to USD2.41 billion, while sales of electronics and other general merchandise rose 58 percent to USD1.53 billion. For the period ended 30 June, net income was USD158 million, or USD0.37 a share, compared with USD78 million, or USD0.19 a share, a year earlier. Analysts had expected earnings of USD0.26. The company also raised its sales forecast for the year.

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