IN THE PAPERS
In the papers 9 November
09-11-2007
by Deirdre McArdle
Boston Scientific to cut 100 jobs in Galway | Cryptologic posts profit, makes acquisition
The Irish Times reports that revenues at BT Ireland increased 6 percent year-on-year to EUR549 million during the first half of its financial year. Read the full story on ENN.
The same paper says that Republic of Ireland residents will be restricted from buying Apple's iPhone when it goes on sale in Northern Ireland this afternoon via the O2 network. An O2 spokeswoman has confirmed that a valid address in Northern Ireland or elsewhere in the UK will be needed to complete the online activation, which is required before calls can be made.
Still in the Irish Times, Calyx Technologies has acquired ServiceTec, a UK firm specialising in the installation and support of IT networks, for an undisclosed sum, as noted by ENN.
The paper also reports that Northgate, the London-listed technology services group with a significant operation in Northern Ireland, said it has won contracts worth more than STG120 million (EUR172.2 million) in the first half of the year.
According to the Irish Times, Ireland's low corporation tax rate is not the main reason tech firms choose to locate here, a representative body for the technology industry claimed this week. In saying that, if the rate was raised, future investments could be in doubt, said Lionel Alexander, chairman of ICT Ireland and vice-president of Hewlett-Packard's Irish manufacturing operations. The Government is strongly contesting proposals to harmonise corporation tax rates across the EU, which would see a significant increase in Ireland's current rate of 12.5 percent. Alexander's comments were made at the launch of a report designed to encourage new investment in Ireland by technology firms.
Finally in the Irish Times, TG4 will next weekend broadcast The Resistors, an animated feature film, aimed at stimulating an interest in science among children aged 8-12. Educational media company Metadigita Ltd produced the film, while Rumble Studios created the animation. The project was funded by Centre for Telecommunications Value-Chain Research, a Science Foundation Ireland initiative, which is tasked with running a schools outreach programme to encourage more students to take science and technology courses.
The Irish Independent reports that multinational medical devices manufacturer Boston Scientific is to reduce its workforce by up to 100, it emerged on Thursday. The firm employs 3,500 at its plant at Ballybrit on the outskirts of Galway city and talks were taking place between employees and management there on Thursday. The bulk of the jobs to be lost in Galway are believed to be in the research and development facility. Boston Scientific's other manufacturing plants at Tullamore, Cork, Clonmel and Letterkenny are also understood to be under the threat of job losses, which come as the firm faces intense worldwide competition.
The same paper says that online gamblers, sensing an opportunity, are betting on a continuing surge in oil prices, said Angus Campbell, head of sales at Capital Spreads, a London-based spread betting company. "People are loving it, the markets are moving in one direction and one direction only. You don't have to do much research, just buy oil," he added.
Still in the same paper Cryptologic, the Dublin-based software developer for the global internet gaming market, posted sales of USD17.5 million and net profit of USD2.4 million in the third quarter ended 30 September. The company also revealed that it has agreed to take a significant stake in Mikoishi Studios, one of Asia's leading game development and design companies. The deal is its second strategic investment in Asia this year. In August, CryptoLogic announced that it had acquired a significant interest in 568 Network Inc., a developer and distributor of online casual games to the Chinese market.
The Wall Street Journal writes that Sprint and Clearwire are scrapping their agreement to jointly build a nationwide high-speed wireless network based on WiMax technology, people familiar with the matter say. In July, the pair signed a letter of intent to pursue the partnership, which they hoped to finalise within 60 days. However, the complexities of the transaction and the departure of Sprint's CEO Gary Forsee last month made matters difficult reports WSJ.
The same paper says that Qualcomm finished its fiscal year with a big increase in quarterly profit, but its comments about the current year sent its stock down sharply. The company, which makes technology used in mobile phones, said net income rose 84 percent in the fiscal fourth quarter, while revenue rose 15 percent from a year earlier. But Qualcomm projected profit for the year ending September 2008 would range from USD2.03 to USD2.09 a share excluding an investment unit and compensation expenses. Analysts, on average, had expected earnings on that basis of USD2.18 a share, according to Thomson Financial.
According to the Financial Times Warner Bros has acquired TT Games, the UK publisher of the LEGO Star Wars series which has sold 12 million copies around the world, for an undisclosed sum. The acquisition will give Time Warner's Hollywood studio a stronger in-house capacity for developing game spin-offs of its film franchises, but will also allow it to create video games which are unrelated to its movies. The move signals Warner Bros intention of expanding more aggressively into the video games industry.
Caped Koala Studios has built a virtual world for kids, combining education and social networking 