Cha-ching! More on Cisco’s press release:
Cisco today announced its intent to acquire privately held Pure Digital Technologies Inc. San Francisco-based Pure Digital, creator of the best-selling Flip Video(TM) brand, is a pioneer in developing consumer-friendly video solutions with mass-market appeal.
“Flip Video puts the power to instantly capture, edit and share video into the hands of everyday consumers,” said Jonathan Kaplan, chairman and CEO of Pure Digital. “By combining forces with Cisco, we join a company that shares our passion for video and whose global scale and tremendous technology expertise we expect will enable us to quickly expand and enrich the Flip Video experience.”
The Pure Digital acquisition exemplifies Cisco’s “build, buy and partner” innovation strategy to move quickly into new markets and capture key market transitions. Under the terms of the agreement, Cisco will pay approximately $590 million in stock in exchange for all shares of Pure Digital. In addition, Cisco will provide up to $15 million in retention-based equity incentives for continuing employees. The acquisition is subject to various standard closing conditions and is expected to close in the fourth quarter of Cisco’s fiscal year 2009. The acquisition will be accounted for in accordance with generally accepted accounting principles. (Source: Cisco)
The Flip is one of those things you can film a video and upload to YouTube.
Bloomberg reports that IBM is interested in purchasing Sun Microsystems for $6.5 billion. This acquisition makes sense for IBM although I don’t think it’s worth paying that amount for this company. IBM offers numerous Java-based solutions I think. I don’t see much advantage for IBM in this merger.
IBM May Pay $6.5 Billion to Buy Sun Microsystems, WSJ Reports
International Business Machines Corp. is in talks to buy Sun Microsystems Inc., the Wall Street Journal reported, citing people familiar with the matter.
IBM may pay at least $6.5 billion, 100 percent more than Sun’s closing price of $4.97 a share on Tuesday, the report said, citing the people. An agreement may not be reached, the newspaper said.
An acquisition of Sun Microsystems would bolster IBM’s Internet, data storage, government and telecommunications business, the newspaper said, citing the people.
In recent months, Sun Microsystems has contacted a number of technology companies with the aim of being acquired, people familiar with the matter said, according to the newspaper. Hewlett-Packard Co. declined the offer, the newspaper reported, citing a person briefed on the matter. (Source: Bloomberg)
Sun has too much open-source products and failed to really monetize much of their software. Perhaps IBM can do something about it.
Got this email from Pownce:
Pownce is shutting down
We are sad to announce that Pownce is shutting down on December 15, 2008. As of today, Pownce will no longer be accepting new users or new pro accounts.
To help with your transition, we have built an export tool so you can save your content. You can find the export tool at Settings > Export.
Please export your content by December 15, 2008, as the site will not be accessible after this date. Please visit our new home to find out more:
Our thanks go out to everyone who contributed to the Pownce community,
The Pownce Crew
That was fast.
In a not-to-surprising move, Jerry Yang steps down as CEO.
Yahoo to replace Yang as CEO, ending rocky reign
SAN FRANCISCO (AP) — Yahoo Inc. co-foundr Jerry Yang is stepping down as chief executive, ending a rocky reign marked by his refusal to sell the Internet company to Microsoft Corp. for $47.5 billion — more than triple Yahoo’s current market value.
The change in command announced Monday won’t be completed until Yahoo finds his replacement. The Sunnyvale, Calif.-based company said it is interviewing candidates inside and outside Yahoo in a search led by its chairman, Roy Bostock, and the executive recruitment firm Heidrick & Struggles.
“Jerry and the board have had an ongoing dialogue about succession timing, and we all agree that now is the right time to make the transition to a new CEO who can take the company to the next level,” Bostock said.
Yang, who started working on Yahoo with Stanford University classmate David Filo in 1994, will revert to “Chief Yahoo,” a titular role he filled before replacing former movie studio boss Terry Semel as CEO in June 2007. He will also remain on Yahoo’s board of directors. (Source: Associated Press)
Yang has been criticized heavily not having shown support for the Microsoft proposed acquisition. Today Yahoo trades around 10 bucks and is not looking to recover too soon.
I personally feel a little sentimental to all these web companies. Hate to see them just disappear.
My web host, Slicehost, has been acquired by Rackspace.
Big news – Rackspace and Slicehost
What an amazing day for Slicehost and our customers! Our acquistion by Rackspace has been announced and we couldn’t be more excited. Jason and I started Slicehost two years ago and it grew beyond our wildest dreams.
We believe that Slicehost and Rackspace are fantastic complements to each other. Our technology strengthens their position in the cloud hosting world. Their expertise, experience and resources enable us to improve our product and continue meeting our customers’ needs. Fear not loyal Slicehosters, we promise to keep doing what we’ve always done – listening to you and building a product that solves your problems. (Source: Slicehost)
Who is Rackspace Hosting?
Rackspace, now 10 years old, is one of the most respected companies in our industry and are now on the New York Stock Exchange (NYSE: RAX) after recently going public. Rackspace delivers computing-as-service, striving to make it reliable and affordable. One of the reasons we like Rackspace is because they think like we do… they value their customers above everything else.
I think it’s good news. I’m happy for Slicehost. Rackspace has been reputable in server offerings. Acquiring Slicehost betters Rackspace’s developer relationship and is inline with their cloud hosting ambitions which would compete directly with mights such as Amazon.
Slicehost will be a subsidiary of Rackspace. At the upcoming Rackspace Cloud Hosting event, Slicehost would be announcing larger slices and a price reduction.
Washington Mutual becomes next victim in financial turmoil. Washington Mutual is now the biggest bank failure in U.S. history as JPMorgan agree in acquisition for $1.9 billion, erm, only.
JPMorgan Buys WaMu Bank Business as Thrift Seized
JPMorgan Chase & Co., the third biggest U.S. bank by assets, agreed to acquire Washington Mutual Inc.’s deposits and branches for $1.9 billion after regulators seized the thrift in the biggest bank failure in U.S. history.
WaMu collapsed as its credit rating was slashed to junk and its stock price tumbled. Facing $19 billion of losses on soured mortgage loans, the lender put itself up for sale last week after firing CEO Kerry Killinger this month. The bank named Alan Fishman as his replacement on Sept. 8, agreeing to pay him a $7.5 million signing bonus and $1 million salary. (Source: Bloomberg)
I’ll save my commentary.
In a rushed bid to ride out the storm sweeping American finance, 94-year-old Merrill Lynch & Co. agreed late Sunday to sell itself to Bank of America Corp. for roughly $44 billion. (Source: WSJ)
Okay, erm… So now Bank of America is going to be really huge. And they can’t fail, can they?