IN THE PAPERS
In the papers 29 February
29-02-2008
by Sylvia Leatham
Babcock & Brown says it does not plan to sell Eircom | CONTACT4 closes three call centres
The Irish Times says that Northern Ireland's Schrader Electronics is to invest STG4.6 million in a research, development and staff training programme, in an effort to win new business. Schrader specialises in the design and manufacture of sensors and tyre pressure monitoring systems. The company, which is part of British group Tomkins, employs 830 people at its headquarters in Antrim and another manufacturing plant in Carrickfergus.
The paper also says that Microsoft takeover target Yahoo "is in a lot better shape" than the media is giving it credit for, according to Silicon Valley investor Guy Kawasaki. Kawasaki, addressing the Irish Software Association's annual conference on Thursday, said Yahoo's business was much more diverse than that of Google, which is purely predicated on online advertising. Read more on the ISA's conference on ENN.
The paper also says that Cork software firm VoiceSage has received a EUR3 million investment from a group of private investors, which the company will use to fund its expansion into the British market. The new investment was raised through chief executive JJ Kett's network of contacts and the backers want to remain anonymous, according to VoiceSage's director of innovation, Paul Sweeney. Founded in 2002, VoiceSage provides software that allows automated telephone calls to be made to clients of its customers.
The same paper reports that Babcock & Brown Capital has indicated it is not contemplating any immediate sale of Eircom or its assets, after deciding to buy out half its shareholders. In a move seen as a response to a hedge fund investor that called for the flotation or sale of Eircom to help fund a return of money to shareholders, Babcock & Brown said it would avoid making new investments and use more than AUD300 million to buy back up to 50 percent of its shares. The development marks a fundamental change in the strategic direction of the fund, which indicated in December 2007 that it had formally allocated AUD445 million to pursue "specific identified investments".
Meanwhile, the Irish Independent says that surging revenues at Meteor helped to fuel Eircom's revenue growth in the last quarter, as reported by ENN on Thursday.
The paper also says that over 100 jobs have been lost in the Gaeltacht with the sudden closure of three customer call centres operating in the financial services market. A total of 108 workers at centres in Donegal, Mayo and Kerry were informed by management at Glasgow-based CONTACT4 that it was ceasing business in Ireland with immediate effect. The company, founded by Cork businessman Pearse Flynn, had been due to open a fourth call centre in the Kilcar Gaeltacht area of Donegal, with the creation of a further 40 jobs. The company blamed a slump in the mortgage market and the consumer-lending business in the UK for the closures.
The Irish Examiner says that the construction industry is unable to use online planning services because of the lack of broadband in many parts of the country. According to the Construction Industry Federation (CIF), the availability, reliability and speed of broadband services are an increasing problem for Irish construction companies. Speaking before the Construct IT Conference 2008, CIF head of training and development Noelle O'Connell said the unreliability of broadband services threatened to hold back IT innovations in the construction sector.
The Wall Street Journal reports that Take-Two Interactive Software has said it has been approached by other potential acquirers since Electronic Arts' USD2 billion bid for the video games publisher. However, it said it is not in negotiations with any company about a deal, including EA.
The paper also says that eBay and MercExchange have reached a settlement to end a long-running patent battle. The financial terms of the settlement were not disclosed but eBay said it does not expect the settlement to affect its 2007 results or the 2008 financial guidance it issued in January. The parties agreed to dismiss all further actions and appeals in the case. As part of the settlement, eBay said it will purchase the three patents involved in the litigation, as well as some additional related technology and inventions and a licence to another search-related patent portfolio that was not asserted in the lawsuit.
Caped Koala Studios has built a virtual world for kids, combining education and social networking 