ROUNDUPS
In the papers 29 April
29-04-2002
by Paula Mythen
South Korean government looks to save the Hynix-Micron merger from collapse | Possible deal with IBM could cost Eircom workers their jobs
The Financial Times reports that the South Korean government is battling to save from collapse the proposed merger of Hynix Semiconductor and Micron Technology, ahead of Monday's deadline to ratify the deal. Although the two companies agreed provisionally last week to merge, Hynix labour unions and minority shareholders immediately opposed the deal. Creditors are expected to meet on Monday to make a final decision about the memorandum of understanding, which would expire if the directors of both Hynix and Micron failed to reach agreement by the end of Monday.
The same paper reports that Dell Computer has delayed expansion plans at its sole Latin American plant in southern Brazil due to poorer than expected sales and the economic crisis in neighbouring Argentina. Projects to build a new factory, which have been on the agenda ever since the company started operations in rented premises at the end of 1999, have been shelved until market conditions improve.
The Wall Street Journal reports that Apple Computer is set to unveil the eMac, its first personal computer designed exclusively for schools and colleges. The one-piece desktop machine will be priced from USD999 to USD1,999 and resembles the original iMac.
The same paper reports that US regulators are investigating Qwest Communications International for striking secret deals with competitors who agreed not to oppose the Denver phone company's efforts to expand its long-distance business. Some officials and Qwest rivals say the agreements give favoured carriers better terms for the use of parts of Qwest's 14-state local-phone network.
The Sunday Times reports that Anrai O'Toole, a founder of Iona Technologies, and now the chief executive of Cape Clear Software, has resigned as a director of Iona. O'Toole made the decision following allegations that he poached senior staff from Iona to help build Cape Clear. Both companies make Internet software.
The Sunday Tribune reports that an IPO from Dublin-based Spectel could yield EUR38 million for the company's chief executive, Gerard Moore. This figure however is dependent on the firm's shares selling at EUR3.65, the higher end of the planned range, and Moore would also have to sell the maximum agreed number of shares, 10.4 million. Spectel is set to float in London and Dublin on 13 May and the company is expected to raise around EUR46.7 million, which will value the firm at around EUR222 million.
The same paper reports that Irish e-learning company WBT Systems has emerged from a corporate restructuring and hit its first break-even quarter. The firm employs 37 and raised EUR22 million in venture capital in June 2000. Its reorganisation last autumn resulted in six job losses and reduced staff levels in the US.
The Sunday Independent reports that Sean Melly's Eastern European Telecom, eTel, paid close to USD5 million for Austrian firm TeraCom. TeraCom had over 2,000 business customers.
The Sunday Business Post reports that that there are fears of job losses at Eircom, which is currently in negotiations with IBM. IBM is thought to be pitching to outsource Eircom's IT operations. The same paper reports that an on-line mortgage advice company, IrishMortgageCentre.com, is up for sale. The sale appeared in an ad in the Buy & Sell classified newspaper.
The Sunday Business Post also reports that the former chief executive of the power Federal Communication Commission (FCC) in the US has been given until November to convince Irish telecoms that fully unbundling the local loop can be profitable. The paper says that Bill Melody has been appointed head of an industry organisation charged with the task by Irish Telecoms Regulator Etain Doyle.
Caped Koala Studios has built a virtual world for kids, combining education and social networking 