IN THE PAPERS
In the papers 30 July
30-07-2007
by Jonathan Farrelly
Transport smartcard system budget set to double | eBay to create new Irish jobs
The Irish Times reports that independent phone retailers have complained of difficulties securing prepaid mobile phones from O2 for customers who wish to upgrade their handsets. A number of independent phone retailers confirmed that they have had limited or no stock of Speakeasy upgrade phones since last May. An O2 spokeswoman said it had "redirected some investment in the business into value-based propositions" such as reduced tariff offers and providing additional call credit for online top-ups. "As a result of this redirected investment there has been a minimal reduction in the volume of Speakeasy upgrade packs in the supply chain at present; however, we have not stopped the supply of these packs."
The paper also says that the Data Protection Commissioner has issued its first warning to a restaurant for sending unsolicited text messages to customers. The commissioner's office received a number of complaints from members of the public who received unwanted marketing text messages from the Dublin city-centre restaurant Brasserie Sixty6. The restaurant said it had used mobile phone numbers from its reservations book to send the messages.
The Irish Examiner says that the management buyout of Kenmare-based CNG Travel has cleared its final hurdle. The MBO vehicle, CTH, has got the backing for the takeover of 82.9 percent of CNG shareholders. The way is now clear for the company to go to the High Court to look for permission to seek the compulsory acquisition of the remaining shares.
The paper also says that the long-anticipated smartcard system for public transport is spiralling over budget and could result in cost overruns of EUR20 million, according to government documents obtained by the newspaper. Despite being promised by 2002 within a budget of EUR29.5 million, the integrated ticketing system is now expected to cost EUR49.6 million.
The same paper reports that an EU data retention directive means that mobile operators will soon be obliged to store text message contents for between six months and two years. Up to now, regulations only required the retention of the mobile numbers of the origin and destination of text messages, rather than the contents. Digital Rights Ireland (DRI) is challenging Ireland's decision to force the retention of mobile records for three years and is opposed to the storage of text message contents.
According to the Wall Street Journal, Cisco Systems has agreed to invest USD150 million in VMware. The networking giant will acquire a 1.6 percent stake in VMware, a unit of data-storage powerhouse EMC, as VMware prepares for a closely-watched initial public offering. EMC plans to spin off 10 percent of VMware in an IPO. Earlier this month, Intel agreed to invest USD218.5 million in VMware.
The paper also says that Yahoo has named veteran telecommunications executive Maggie Wilderotter as a director, the first addition to the internet firm's board since co-founder Jerry Yang took over as chief executive last month. Wilderotter is chairman and chief executive of Citizens Communications, which provides telephone and internet services in more than 20 states. In her 25-year career, Wilderotter has also worked for AT&T, McCaw Cellular Communications and Microsoft.
The Financial Times says that Dutch telecommunications company KPN has said it intends to make a EUR766 million cash offer for Getronics, the struggling Dutch IT company that has been at the centre of takeover speculation for months. The offer will be pitched at EUR6.25 a share and paid from KPN's existing financial resources, the Dutch telecoms group said. It represents a 23 percent premium to Gertronics' closing price on Friday.
The Sunday Business Post reports that internet firm eBay is creating up to 200 new jobs on Ireland, but has chosen Dublin over Sligo for its latest expansion. A spokesperson for eBay said it had not made any official expansion announcement and could not comment on any plans. He said the firm's business continued to grow and the company was expanding "as per normal business requirements".
The paper also reports that PayPal International, a subsidiary of eBay, has moved a significant portion of its business to Singapore for accounting and taxation purposes. The decision to relocate the majority of the company's assets overseas was part of a "tax realignment" by the internet giant, according to a Dublin-based eBay spokesman. PayPal International provides eBay with payment and support services, as well as acting as a holding company for elements of its intellectual property assets.
The same paper says that Dublin technology firm VoiceVault has received more than EUR6 million in funding in the past year. The firm, now run by British-based company Biometric Security, is backed by Eden Adventures and The Chiimu Partnership. New accounts for Biometric Security show Eden Ventures, a British venture capital firm, invested STG2 million (EUR3 million) in the firm in July last year, while both Eden and The Chiimu Partnership invested a further STG1 million each (in February and March) in the form of convertible loan notes.
The same paper reports that Intune, an Irish laser technology firm, plans to hire 25 more staff after raising EUR13 million in funding. Tom Fritzley, chief executive of Intune, said the funds would be used to expand the firm's Dublin base and to develop its product range. Intune develops optical technology for the telecommunications industry.
The Sunday Tribune says that information security giant Symantec reported that its second quarter profits slumped 5.3 percent last week. The company said a USD19 million restructuring charge arising from job cuts earlier this year had an impact on its financial results. The firm shed around 30 jobs in Ireland and around 800 worldwide from a starting base of 1,700.
The paper also reveals that licensing for mobile television is expected to begin by the middle of next year, although no technology standard has been decided on yet by the commission for communications regulation. "The market will decide a standard," said Hugh Tuckey of ComReg's broadcasting section, "We're not going to back a winner now at this stage." The Irish regulator has not yet decided how much mobile TV licences will cost, but industry experts estimated EUR17 million was not beyond the realms of possibility.
The same paper states that Stormont's minister for enterprise, trade and industry, Nigel Dodds, is considering proposals to connect Belfast to the transatlantic telecommunications network linking Europe and North America, in a bid to attract international firms. PA Consulting has submitted a report to the minister assessing the feasibility of connecting Northern Ireland to a submarine cable which travels from Halifax, Nova Scotia, north of Ireland, then loops southeast to Southport in northwest England.
Caped Koala Studios has built a virtual world for kids, combining education and social networking 