ROUNDUPS
In the papers 21 May
21-05-2007
by Jonathan Farrelly
Yahoo may bid for Bebo | Kainos invests in SpeechStorm
The Irish Times reports that internet giant Yahoo is rumoured to be working on an attempted takeover of social networking site Bebo. Yahoo is thought to be willing to pay as much as USD1 billion for the site, according to Silicon Valley rumours. Bebo is rumoured to have turned down an offer from BT worth about STG300 million last summer, while US media giant Viacom is believed to have made an offer for the firm last year.
According to the Financial Times, UK telecoms provider Thus cut its operating loss for the year and achieved a net profit thanks to a tax credit of STG69.6 million. The company said it made an operating loss of STG11.1 million after restructuring costs, half that of the previous year. Pre-tax losses were STG15.1 million, down from STG28.3 million, while the tax credit gave a net profit of STG54.5 million on revenues that were more than 50 percent stronger at STG533 million. The company said its board was confident Thus would move into operating profit in the current year, although it remained "cautious on pricing and the market structure for telecommunication services in the UK".
The Wall Street Journal reports that telecoms equipment maker Alcatel-Lucent is launching a product that allows companies to remotely clamp down on security breaches on laptops. The product, called Nonstop Laptop Guardian, is an attempt by the company to boost its position in the fast-growing market for security on mobile devices. The product is essentially a computer housed on a card that slides into a laptop -- with its own power source and internet connection via the mobile network. The card allows company headquarters to back up files, as well as update software and virus protection. If a laptop goes missing, the company can encrypt or destroy the data that the device contained.
The paper also says that Google and Salesforce.com are discussing an alliance that could help them compete more effectively with Microsoft, according to people familiar with the matter. The companies are hashing out details of a potential partnership, expected to be announced in the next few weeks. One outcome, sources say, could be a web-based offering that integrates some of Google's online services, such as e-mail and instant messaging, with Salesforce.com's customer relationship management tools.
The paper also reports that Hewlett-Packard has elected two new directors as it continues to re-make its board following the boardroom leak scandal last year. The company elected John Joyce, managing director at private equity firm Silver Lake, and Joel Hyatt, chief executive officer of Current Media, to its board, raising the total number of board members to 10.
The Sunday Business Post reports that Kainos Software, a Belfast technology firm, is investing more than USD10 million over three years in a spin-off company called SpeechStorm. Oliver Lennon has been appointed chief executive of SpeechStorm, a developer of speech recognition technology.
The same paper reveals that Bebo plans to offer an Irish mobile operator an exclusive deal that will allow the operator to present the 1.1 million Irish users of Bebo with mobile access to the popular social networking site. With 92 percent of Bebo's Irish users aged under 35, securing this deal will be critical for Irish mobile operators hoping to gain new customers in a relatively crowded market. Bebo communications director Sarah Gavin said "We hope to announce something in the next month or two. We will definitely be working with an Irish operator, but we've yet to determine who that will be".
The same paper states that Paddy Power is to launch a new online betting operation covering specialist financial markets later this year. The bookmaker will offer markets to allow customers to gamble on the future direction of equity indices, currency exchange rates, the value of commodities such as gold and oil, and future interest rates. The service will be aimed at people with a strong interest in financial markets and those who are working in the financial services industry.
The paper also says that media group Independent News and Media (INM) has more than doubled its stake in PrimeLearning, a Limerick e-learning firm, to 44.9 percent. INM first invested in PrimeLearning in 2000 and has since lent the firm EUR4 million. Last year the group advanced EUR300,000 to PrimeLearning and increased its stake in the firm to 44.9 percent from 19.9 percent, according to INM's annual report, which was published last week.
The same paper says that software firm Corvil made a pre-tax loss of EUR8.2 million last year, bringing its accumulated losses to more than EUR30 million. The company had a turnover of more than EUR428,000 in the year to the end of July last, up from less than EUR121,000 in the previous 19 months. The low turnover reflects a glitch discovered in the company's software during 2005.
The same paper says that financial services software firm Zarion is hiring ten extra staff for a new consulting division after winning four major deals. The company set up the division recently to meet demand from banks and insurance companies for specialised business process skills. "This is a natural extension of our business," said Gerry O'Connor, chief executive of Zarion, which employs about 40 people in Dublin and London.
The paper also states that in order to keep on top of regulatory obligations, many companies are beginning to look at ways to control their e-mail systems. One company that has benefitted from the growing demand for e-mail control is Waterford Technology, which develops e-mail archiving solutions. The company's MailMeter system has been installed by more than 600 customers and the firm has launched a new version of the software with a number of new features.
The Sunday Independent reports that EasyInternetCafe, the company backed by multi-millionaire entrepreneur Stelios Haji-Loannou, has closed its Irish operations after just four years. A spokesman for the Easy Group said that the Irish franchise owner has withdrawn from the business and does not intend to open any new outlets.
The Sunday Tribune says that Motorola, the world's second-biggest mobile phone maker, has revamped its best-selling Razr handset as it tries to claw back market share from industry leader Nokia. Credit Suisse analyst Michael Ounjian sees potential for Motorola shares to rally to USD24 from about USD18. Motorola shares have lost almost 20 percent of their value in the past six months, while shares of Finland-based Nokia have gained more than 26 percent in euro and 33 percent in the US currency.
Finally, the Sunday Times says that Google chief executive Omid Kordestani has said that the company plans to apply the same data-driven approach to other forms of advertising: television, print, radio and new and emerging formats, such as on mobile phones. He said "Our vision is very simple. The effectiveness and accountability [of search] can extend to all these new areas. There's not only a lot of spending in other segments, but there is a great desire among customers to have the same view into the performance of this advertisement, and be able to understand how best to allocate budgets between the different formats."
Caped Koala Studios has built a virtual world for kids, combining education and social networking 