Silicon Valley Wire

Thousands Gather in San Jose for Game Developers Conference

San Jose, Calif. -- More than 12,000 developers, publishers and industry enthusiasts have gathered in San Jose for this week's 19th annual Game Developers Conference, a week-long event dedicated to the art, technology and business of game creation. The conference features more than 300 lectures, panels, tutorials and roundtable discussions covering all aspects of the game business. Organizers this year are focusing on issues such as the development of next-generation games, the targeting of mass markets and collaborations with the film industry.
http://www.gdconf.com/

Survey: Adults Spend More Time Gaming Than Teens

Arlington, Va. -- About one-third of adult gamers spend 10 or more hours a week playing video games, compared with just 11% of teens (12-17), according to a new survey by the Consumer Electronics Association (CEA), a trade group of consumer electronics makers. The survey also found that PC games dominate the adult game market, with female gamers outnumbering males among 25-34-year-olds. "The fact that adults are racking up more gaming hours than teens is startling," said Steve Koenig, a  senior analyst for the CEA. The CEA also predicts that 19 million next-generation video game consoles will be sold during their first year on the market, generating $8 billion in revenue between Sony, Microsoft and Nintendo.
http://www.ce.org/Press/CurrentNews/press_release_detail.asp?id=10972

San Mateo-Based Genius Inc. Raises $5.1 Million in First Round

San Mateo, Calif. -- Genius Inc., a San Mateo-based maker of customer intelligence software for sales and marketing professionals, said on Tuesday that it has secured $5.1 million in its first round of funding, co-led by Emergence Capital Partners and Walden International. The company, formerly known as MarketingGenius.com, said that it will use the proceeds to expand its management team and market its first product, scheduled for release by mid-year. Genius Inc. was founded by David Thompson, the former CMO of WebEx, and Robert Seidl, the former co-founder and CEO of Ceneca Software, which was acquired by Adobe Systems in 1995.
http://www.genius.com/
http://biz.yahoo.com/bw/060321/20060321005393.html?.v=1

Santa Clara-Based SafeView Acquired by L-3 Communications

Santa Clara, Calif. -- SafeView, a Santa Clara-based provider of personnel screening technology, said on Tuesday that it has been acquired by security technology giant L-3 Communications for an undisclosed sum. SafeView will become a subsidiary of L-3 Communications, and its current management will remain in place. SafeView’s technology, developed at the Department of Energy and Federal Aviation Administration, is designed to detect objects such as weapons, explosives, plastics, ceramics and metals by scanning the body and creating 3-D images of hidden contraband. 
http://www.paladincapgroup.com/portal/index.php?option=com_content&task=view&id=45&Itemid=1

Monterey-Based AirPlay Raises $4 Million in First Round

Monterey, Calif. - AirPlay, a Monterey-based company developing TV game shows where viewers participate with their mobile phones, said that it has raised $4 million in its first round of venture capital financing, from Redpoint Ventures and Qualcomm. AirPlay TV, scheduled to launch in the fall, will allow mobile phone users to play along with live broadcasts, choosing winners and losers in reality TV shows, competing against contestants on game shows and predicting plays in football games and other sporting events. The company's first product, AirPlay Sports, will let users make live game and play predictions during pro and college football games.
http://www.airplaytv.com/press.html

Redwood City-Based Migo Software Raises Nearly $4 Million in Placement

Redwood City, Calif. -- Migo Software, a Redwood City-based maker of mobile computing software, said on Tuesday that it has raised nearly $4 million through a private placement. Migo, a trade name of PowerHouse Technologies Group, said that it sold 12.4 million shares of stock for $0.32 each, with net proceeds going toward working capital and general corporate purposes. The company’s software lets users work with their own desktop environment on any borrowed PCm then synchronizes the remote work back to their main PCs when they return.
http://www.migosoftware.com/press_room/press_releases/mar_21_2006.php

Mountain View-Based Google Launches New Finance Site

Mountain View, Calif. -- Google on Tuesday launched its beta version of Google Finance, a tool that allows users to search for financial information about public and private companies, as well as mutual funds. The Mountain View-based company said that the free site will incorporate stock prices with relevant news -- through Google News -- and blog postings in an attempt to add insight as to why a stock has moved. Though the tool is mostly focused on the North American market, Google said that it also will include some international content on markets in Amsterdam, Brussels, Lisbon, Paris and Toronto.
http://finance.google.com
http://www.google.com/intl/en/press/annc/finance.html

Cupertino-Based Borland Gets Regulatory OK to Complete Segue Deal

Cupertino, Calif. -- Borland Software, a Cupertino-based provider of software development and delivery technology, said on Tuesday that it has received early regulatory clearance to complete its $100 million acquisition of Massachusetts-based Segue Software ahead of schedule. Segue shareholders will now vote on the deal at a special meeting on April 19. If approved, the acquisition would likely close by the end of April. Borland first announced its deal for Segue, a maker of software quality and testing tools, in early February.
http://www.borland.com/us/
http://biz.yahoo.com/bw/060321/20060321005107.html?.v=1

San Francisco-Based mFoundry Raises $7.3 Million in Second Round

San Francisco -- mFoundry, a San Francisco-based developer of mobile applications and platforms, said on Monday that it has raised $7.3 million in its second round of private equity financing, led by GRP Partners. Previous investors Ignition Partners and Apax Partners also participated in the round, which the company plans to use to continue development of its mobile applications platform, as well as expand its international presence. mFoundry's customers include large marketers such as Nestle, Lexus and Advance Auto Parts.
http://www.mfoundry.com/

Mountain View-Based VeriSign to Acquire m-Qube for $250 Million

Mountain View, Calif. -- Continuing its recent buying spree, VeriSign, a Mountain View-based provider of network infrastructure services, said on Monday that it will pay $250 million to acquire m-Qube, a Massachusetts-based provider of services that help companies develop, deliver and bill for mobile content, applications and messaging services.  M-Qube employs about 200 people in North America, and boast a client base that includes Sony Pictures, Major League Baseball Advanced Media and Reuters. VeriSign recently also announced plans to acquire Silicon Valley-based Kontiki for $62 million and completed its $65.5 million acquisition of Austria-based 3united Mobile Solutions.
http://www.verisign.com/press_releases/pr/page_037188.html

California Micro Devices to Acquire Arques Technology

Milpitas, Calif. -- California Micro Devices (CMD), a Milpitas-based maker of analog chips for the mobile handset, personal computer and digital consumer electronics markets, said on Monday that it will acquire Santa Clara-based Arques Technology, a maker of analog semiconductor devices. Under the deal, CMD will make an initial payment of $8 million in cash, as well as future payments based on performance. CMD said that the acquisition will add white LED drivers for mobile handsets and DDR memory voltage regulators for digital consumer electronics products to its product portfolio. "In addition to strengthening our analog design team and our portfolio of active analog devices, it also expands our presence in Asia," said Robert Dickinson, CMD's president and CEO.
http://phx.corporate-ir.net/phoenix.zhtml?c=88234&p=irol-newsArticle&ID=832765&highlight=

Mountain View-Based Actel Opens European R&D Center in Ireland

Mountain View, Calif. -- Actel, a Mountain View-based developer of chip technologies, said on Monday that it has opened a new European processor research and development center in Ireland. The company said that it will use the facility to develop new processor and processor-related technologies. "The availability of designers with in-depth intellectual property and microprocessor experience made Dublin an appropriate choice," said Fares, Mubarak, Actel's senior vice president of engineering. 
http://www.entemp.ie/press/2006/20060320a.htm

Worldwide Sales of Chip-Making Equipment Drop 11% in 2005

San Jose, Calif. -- Worldwide sales of semiconductor manufacturing equipment totaled $32.9 billion last year, a drop of 11% from 2004, according to new figures released by San Jose-based industry group SEMI. The figures included data for seven major semiconductor producing regions and 22 product categories. "This past year marked an anticipated decline in the global semiconductor equipment industry following a large expansion in 2004," said Stanley Myers, the president and CEO of SEMI. "However, 2005 still posted the third all-time strongest year for the semiconductor equipment industry." The South Korean market region grew the most in 2005, rising 26%, while Chinese market decreased 50%.
http://wps2a.semi.org/wps/portal/_pagr/117/_pa.117/122?dFormat=application/msword&docName=P037538

Redwood City-Based BigBand to Power Digital TV for Chinese Firms

Redwood City, Calif. -- BigBand Networks, a Redwood City-based provider of broadband multimedia infrastructure for video, voice and data, said that it has signed deals to provide digital TV services to three Chinese companies with a combined subscriber base of more than 1 million. BigBand said that Luoyang Radio and Television Information Network, Lanzhou Radio and Television Information Network and Wuyang Iron and Steel's digital TV project will use its routers to process and deliver digital video content to their customers.
http://biz.yahoo.com/prnews/060317/nyf025.html?.v=46
http://www.bigbandnet.com

Redwood City-Based EA to Complete Purchase of Sweden's DICE

Redwood City, Calif. -- Electronic Arts, the Redwood City-based developer and publisher of video games, said on Friday that it plans to complete its acquisition of Swedish game developer Digital Illusions CE (DICE). EA already owns about 68% of company shares through previous tender offers, but now plans to acquire the remaining stake for $8.80 a share, effectively making DICE a fully integrated studio within EA. Two-thirds of DICE's shareholders would need to approve the deal when they meet on May 24. If approved, the deal would likely close in September. DICE is the creator of the "Battlefield" game franchise.
http://biz.yahoo.com/bw/060317/20060316006081.html?.v=1

Google Says $1 Billion Investment in AOL to Close in Second Quarter

Mountain View, Calif. -- Google, the Mountain View-based Internet search giant, expects its $1 billion investment in America Online to close during the second quarter, the company said in a filing with the Securities and Exchange Commission. The companies initially agreed to the deal, under which Google will acquire a 5% stake in AOL, in late December. The close, however, has since been slightly delayed, primarily due to ongoing negotiations about commercial agreements between the companies, the filing indicated. The deal is expected to create a cross-promotional atmosphere, with AOL selling ads that will be displayed on the Google network, and Google promoting AOL's properties in the sponsored links section of its search results
http://www.sec.gov/Archives/edgar/data/1288776/000119312506056600/0001193125-06-056600.txt

Santa Clara-Based Riverstone Receives $178 Million Offer from Ericsson

Santa Clara, Calif. -- Riverstone Networks, a provider of Ethernet infrastructure equipment, said on Friday that Swedish telecommunications giant Ericsson has offered to buy the company for $178 million through a bankruptcy auction. Riverstone said that the company and its advisors are currently reviewing the offer, which is $8 million more than an offer made last month by Lucent Technologies. Riverstone filed for Chapter 11 in February, and set a deadline of Thursday to accept bids for its assets. The auction is scheduled to take place Monday morning in New York.
http://www.riverstonenetworks.com/
http://biz.yahoo.com/bw/060317/20060317005161.html?.v=1

Menlo Park-Based PodTech Raises $5.5 Million in First Round

Menlo Park, Calif. - PodTech, a Menlo Park-based provider of podcasting technology and distributor of established podcasts, said that it has raised $5.5 million in its first round of venture capital financing. Investors in the round included Venrock Associates, US Venture Partners and several Silicon Valley angel investors. Founded in May 2005, PodTech distributes the InfoTalk technology and business-focused podcast, and has also developed a set of sponsors and paid content for its sponsorship network. Its corporate clients include Intel, Yahoo, Symantec and Nvidia.
http://biz.yahoo.com/prnews/060316/sfth040.html?.v=49
http://www.podtech.net

Sausalito-Based Federated Media Lands First Round of Funding

Sausalito, Calif. -- Federated Media Publishing, a Sausalito-based provider of Internet publishing services founded by Wired and Industry Standard founder John Battelle, said that it has raised an undisclosed amount in its first round of funding, led by JPMorgan Partners. Other participants included previous seed investors: Omidyar Network, The New York Times, Mitchell Kapor, Andrew Anker, Mike Homer and Tim O’Reilly. Federated Media offers advertising, technology, publishing and business development services to independent weblog authors.
http://fmpub.net

House Committee Approves Bill That Would Ban Internet Gambling

Washington, DC -- A bill that would prohibit U.S. companies from accepting credit cards, checks, and wire and electronic funds transfers such as PayPal as payments for online gambling has passed in the House Financial Services Committee, Reuters reported. The legislation targets offshore gambling sites frequented by U.S. residents, and would cover all gambling establishments not permitted by federal or state law. The bill, which now moves to the House floor, has been opposed by Antigua, a haven for offshore gaming operations, as well as Rep. Barney Frank (D-Mass.), the ranking Democrat on the Financial Services Committee. "Adults are entitled to do with their money what they want to do," said Frank.
http://today.reuters.com/investing/financeArticle.aspx?type=bondsNews&storyID=2006-03-15T174222Z_01_N15403811_RTRIDST_0_CONGRESS-FINANCIAL-GAMBLING.XML

EarthLink Invests $50 Million in Covad for Joint VoIP Offering

San Jose, Calif. -- EarthLink, one of the largest Internet service providers in the U.S., has signed an agreement to provide $50 million in debt and equity financing to San Jose-based Covad to support a joint, voice-over-Internet (VoIP) offering to EarthLink's customers. Under the agreement, Covad will use the funds for network build-outs in Atlanta, Chicago, Los Angeles, Miami, New York, Philadelphia, San Diego and Washington, DC. EarthLink already provides DSL and VoIP home telephone service in Dallas, San Francisco and San Jose. Covad's voice access marries the "last mile" of traditional telephone copper wiring with EarthLink's VoIP features by taking advantage of new technology.
http://www.earthlink.net/about/press/pr_covad_markets/

San Francisco-Based Tira Wireless Lands $13 Million in Third Round

San Francisco -- Tira Wireless, a San Francisco-based provider of technology for mobile content deployment, said on Thursday that it has secured $13 million in its third round of funding, led by Lehman Ventures. Previous investors Brightspark Ventures, Flagship Ventures and Export Development Canada also participated. Tira said that it will use the new capital to round out its latform to include all data types, including music and video; and expand its support and distribution. The company said that more than 80% of mobile content publishers have used its Jump technology to create and deploy mobile games and applications in multiple languages.
http://www.tirawireless.com/press_releases/news_press_release_March_16_2006.asp

San Francisco-Based Six Apart Raises $12 Million in Third Round

San Francisco -- Just days after announcing its acquisition of mobile photo blogging company SplashBlog, San Francisco-based Six Apart, a provider of blogging software and services, said that it has raised $12 million in its third round of funding. The round was led by Palo Alto-based Focus Ventures, and also included participation from Intel Capital and previous investor August Capital. Six Apart is the maker of the Movable Type publishing platform, the TypePad hosted blogging service and LiveJournal, an online community organized around personal journals. The company said that more than 15 million people currently use its software and services, and over 30 million visit its hosted sites each month.
http://www.sixapart.com/about/press/2006/03/six_apart_close.html

Sony Computer Entertainment Delays PlayStation 3 Launch to November

Foster City, Calif. -- Sony Computer Entertainment, which has its U.S. headquarters in Foster City, said that it will delay the planned launch of its PlayStation 3 video game console from the spring of 2006 until early November, when it will simultaneously launch the console in Japan, North America and Europe. The company cited delays in finalizing the copyright protection technology that will be part of the next-generation Blu-ray Disc DVD drives included with the PlayStation 3. Sony plans to ship 6 million of the devices worldwide by the end of March 2007. The company also announced new details for the PlayStation 3, which will include a 60GB hard drive and a free online game service called the PlayStation Network Platform. The online service will compete with Microsoft's Xbox Live online game service.
http://biz.yahoo.com/prnews/060315/sfw079.html?.v=44

Transaction Network Services Acquires InfiniRoute Networks

San Francisco -- Transaction Network Services (TNS), a Virginia-based provider of telecommunications services used in credit card processing, said that it has acquired InfiniRoute Networks, a provider of Voice-over-Internet Protocol (VoIP) peering services with West Coast operations in San Francisco. Financial terms of the deal were not disclosed. TNS said that the acquisition allows it to offer VoIP peering services -- which link various networks on the Internet -- to its customer base. "The technology firmly positions TNS as a player in the VoIP market," said Barry Toser, the executive vice president and general manager of the Telecommunication Services Division at TNS. The company said that it initially will focus on interconnecting large carriers using the public Internet.
http://www.tnsi.com/newMenu/displayNewsFile.php?ID=231&TYP=1

Report: Google Planning Push into European Retail Industry

Mountain View, Calif. -- According to a report in The Financial Times, Mountain View-based Internet search giant Google is planning a "significant push" into the European retail industry. The paper said that Google is developing a new service that aims to give retailers in Europe a base from which to market and sell their goods online. Nikesh Arora, the head of Google's European division, told the FT that service is a response to a recent survey, which found that many leading European retailers feel they are insufficiently competitive online.
http://news.ft.com/cms/s/6dd2bef6-b456-11da-bd61-0000779e2340.html

Leading Internet, Payment Companies Team to Fight Child Porn

Alexandria, Va. -- Eighteen of the world's most prominent financial institutions and Internet companies have joined with the Alexandria-based National Center for Missing & Exploited Children (NCMEC) and its international sibling in an effort to eradicate the growing problem of Internet child pornography. The new Financial Coalition Against Child Pornography said that its goal is to eliminate commercial child porn by 2008 by stopping the flow of money to its creators and distributors. To that end, all the major credit card companies and web payments company PayPal have teamed with Internet giant such as Dulles-based AOL, Microsoft and Yahoo. The organization said that child pornography has become a multi-billion dollar commercial enterprise and is among the fastest growing businesses on the Internet, in part because of how easy it has become to purchase child porn by using credit cards and other online payment methods.
http://www.missingkids.com/missingkids/servlet/NewsEventServlet?LanguageCountry=en_US&PageId=2314

CEA Campaign to Inform Consumers About Digital TV Transition

Arlington, Va. -- The Consumer Electronics Association (CEA), a trade group of consumer electronics manufacturers, has announced a voluntary industry effort to inform consumers about the nation's transition to digital TV on Feb. 17, 2009. The campaign will include placing informational labels on new analog TV sets, notifying consumers that the units will require a converter box after the transition date in order to receive over-the-air broadcasts. The CEA forecasts that U.S. consumers will purchase 18 million digital TVs and displays this year, with the industry shipping a total of over 48 million digital TVs by the end of 2006.
http://www.ce.org/Press/CurrentNews/press_release_detail.asp?id=10966

Cell Genesys Lands Funding Committment Worth Up to $75 Million

South San Francisco -- Cell Genesys, a South San Francisco-based developer of cancer drugs, said on Wednesday that Kingsbridge Capital has committed to buying up to $75 million of the company's newly issued shares over the next three years. Cell Genesys said that the deal allows it to raise capital at the time, price and in the amounts that it deems suitable to support its corporate, research and development activities. The company said that it is currently pursuing two clinical stage product platforms. It also continues to hold an equity interest in its former subsidiary, Ceregene, which is developing gene therapies for neurodegenerative disorders.
http://phx.corporate-ir.net/phoenix.zhtml?c=98399&p=irol-newsArticle&ID=831923&highlight=

Milpitas-Based Nanometrics Acquires Soluris for $7 Million

Milpitas, Calif. -- Nanometrics, a Milpitas-based supplier of metrology equipment to the semiconductor industry, said on Wednesday that it has acquired Soluris, a Massachusetts-based overlay metrology company, for $7 million in cash. Soluris was formed in 2003 through a management buyout of optical and electron metrology assets of Schlumberger's semiconductor group. The company's flagship product is a tool for 200mm semiconductor overlay and CD measurement. Soluris' overlay equipment has been in the market for more than 20 years, with an installed base of over 150 systems worldwide. Nanometrics said that it will add 37 employees in the U.S., Europe and Asia through the acquisition, as well as annual revenue of $8-$10 million.
http://www.nanometrics.com/news/pr-2006-0315.html

Saratoga-Based NBX Lands Another $3 Million in First Round

Saratoga, Calif. -- NBX, a Saratoga-based provider of sports entertainment services, said on Wednesday that it has secured more than $3 million in new funding to complete its first round oat $3.3 million. Illinois-based MK Capital led the round, which also included participation from several prominent seed investors. The company's web site, NBX.com, allows fans to participate in sports-based social network, wager fantasy-style points in a sportsbook and view related media shows, including podcasts, animations and daily blogs. NBX was founded in September 2004,and reported 2 million show downloads in the second half of last year.
http://www.nbx.com/
http://biz.yahoo.com/bw/060315/20060315005250.html?.v=1

San Jose-Based eBay to Increase Dublin Workforce by More Than Third

San Jose, Calif.-- EBay, the San Jose-based online auction giant, said that it is planning to increase its workforce at its European headquarters in Dublin by more than a third in response to double-digit growth in membership and transactions. The division, set up two years ago with the support of IDA Ireland, currently employs more than 900 workers. Hiring will begin immediately with positions being offered to graduates and non-graduates with foreign languages, eBay said.
http://www.rte.ie/business/2006/0315/ebay.html
http://www.ebay.ie/

Top Grad Students to Compete at USF Business Plan Competition

San Francisco -- Graduate student teams from twenty of the world's top universities will come to the Bay Area next week to compete in the 4th Annual University of San Francisco International Business Plan Competition. Teams scheduled to present include those from such schools as the London School of Economics, Hong Kong University of Science and Technology and Duke University. Beginning next Thursday, they will vie for the attention and funding of more than 50 venture capitalists and top executives. "These global entrepreneurial events help lead to the development of new products and services that improve people's lives," said Mark Cannice, a USF professor and the competition's director.
http://www.usfca.edu/sobam/nvc/bpc/

AP: Judge to Order Google to Turn Over Some of Its Internet Records

Mountain View, Calif. -- A federal judge on Tuesday said that he will order Mountain View-based Google to turn over a portion of its Internet records subpoenaed by the Justice Department as part of the Bush administration's effort to revive a law intended to restrict minors' access to online pornography. The Associated Press reported that U.S. District Judge James Ware plans to order Google to turn over some of the requested records -- including a random list of web sites indexed by the company -- but expressed reservations about requiring the company to divulge actual requests entered into its search engine. Ware said that he was "particularly concerned" about creating the perception of Internet search engines turning into tools of surveillance for the government. The Justice Department is asking to see a random sampling of one million searches conducted on Google over a one-week period as part of its effort to revive the 1998 Child Online Protection Act (COPA), designed to protect minors from sexually explicit material.
http://biz.yahoo.com/ap/060314/google_doj.html?.v=8

Mountain View-Based Reliant Technologies Raises $22 Million

Mountain View, Calif. -- Reliant Technologies, a Mountain View-based maker of medical laser devices, said that it has raised $22 million in a its fourth round of funding, led by new investor Meritech Capital Partners. Three Arch Partners, as well as other previous investors, also participated. Len DeBenedictis, the president and CEO of Reliant, said that the new capital will allow his company to ramp up its marketing, clinical education and distribution infrastructure worldwide. The company's lasers are used primarily in aesthetic procedures to treat wrinkles, lesions and damaged skin.
http://biz.yahoo.com/prnews/060313/sfm095.html?.v=42
http://www.reliant-tech.com/

S.F.-Based Metaweb Technologies Raises $15 Million in Funding

San Francisco -- Metaweb Technologies, a San Francisco-based developer of web infrastructure technologies currently in stealth mode, said on Tuesday that it has rasied $15 million in a round of funding led by Benchmark Capital. Other investors included Millennium Technology Ventures, Omidyar Network and several individuals. Danny Hillis, the chairman of Metaweb, said that the company's vision is to "fundamentally change how information is stored, organized and shared online."
http://biz.yahoo.com/prnews/060314/sftu047.html?.v=50
http://www.metaweb.com

S.F.-Based AllBusiness.com Lands $12.4 Million in Third Round

San Francisco -- AllBusiness.com, a San Francisco-based provider of online information and services for small and medium-sized businesses, said on Tuesday that it has secured $12.4 million in its third round of venture capital funding. Sutter Hill Ventures led the round, which also included participation from previous investor VantagePoint Venture Partners and new investor Reed Elsevier Ventures. The company said that it will use the funding to invest in audience growth, infrastructure development and product expansion. The AllBusiness.com site includes how-to articles, business forms and contracts, as well as other features such as expert advice, blogs and business news.
http://www.allbusiness.com/press/release_2975187.htm

S.F.-Based Golden Gate Capital Completes Acquisition of Geac Computer

San Francisco -- Golden Gate Capital, a San Francisco-based private equity firm, said that it has completed its $1 billion acquisition of Geac Computer, a Massachusetts-based maker of financial and corporate performance management software. As part of the acquisition, Geac has been reorganized into two separate Golden Gate Capital portfolio companies. One company, Infor, has acquired Geac's ERP software products, while Geac's core financial and corporate performance management applications will form the framework for a new Golden Gate-funded company called Extensity.
http://www.geac.com/object/pr031406.html

France Seeking to Open Apple's iTunes to Other Devices

Cupertino, Calif. -- According to Reuters, France is on the verge of passing a new law that would force Cupertino-based Apple to allow consumers using its iTunes online music store to download songs to devices other than iPods. The bill, to be voted on later this week, would allow consumers to use software that converts digital content into any format, giving them the legal authority to crack digital rights management codes. "It will force some proprietary systems to be opened up," Christian Vanneste, a senior parliamentarian, told Reuters. "You have to be able to download content and play it on any device." So far, Apple has declined to comment on the report.
http://www.pcmag.com/article2/0,1895,1937504,00.asp

Following Merger, San Mateo-Based Kayak Interactive Renames Itself Blaze

San Mateo, Calif. -- Kayak Interactive, a San Mateo-based publisher of mobile games, said that it has changed its name to Blaze, following its 2005 merger with Synergenix Interactive and recent acquisition of mobile games publisher Chasma. Blaze will remain headquartered in San Mateo, with European headquarters in Stockholm and additional offices in London. The company said that it plans to release mobile game titles this year based on licenses from MTV and VH-1, "The Da Vinci Code," The Three Stooges and Guinness World Records.
http://www.blaze.com/press_release.php?id=17

Report: U.S. Broadband Users Spending More Time Online

New York -- As more and more Americans switch to broadband connections, the amount of time they are spending online also continues to surge, according to a new report from Nielsen//NetRatings. The firm said that since February 2003, the average PC time per person among active Internet users has increased by about five hours a month, from 25.5 hours to 30.5 hours. During that same period, the number of U.S. broadband users has more than doubled.  Jon Gibs, the senior director of media for Nielsen//NetRatings, credited the increase in time spent online to "broadband users' greater satisfaction with their online experience."
http://www.netratings.com/news.jsp?section=new_pr

Report: VoIP Slowly Gaining Ground in Residential Phone Market

San Francisco -- Home telephone users are slowly making the switch to Voice-over-Internet-Protocol (VoIP) technology, according to a new study by San Francisco-based Telephia, a provider of market research to the communications and mobile industries. The firm said that overall penetration for VoIP increased to 3.5%, or nearly 3.9 million households, in January, up from 2.9% in June 2005. Vonage led the market with nearly 1.9 million customers, followed by Skype, AT&T and Verizon. "With more of the population converting to high-speed Internet connections, it opens up an opportunity for VoIP providers to gain a significant foothold in the market," said Kanishka Agarwal, Telephia's vice president of new products.
http://www.telephia.com/
http://biz.yahoo.com/bw/060314/20060314005587.html?.v=1

McClatchy to Buy San Jose-Based Knight-Ridder for $6.5 Billion

San Jose, Calif. -- McClatchy, the Sacramento-based newspaper publisher, said on Monday that it will acquire San Jose-based Knight-Ridder for $6.5 billion, making it the second largest newspaper publisher in the U.S. McClatchy will now operate 32 daily newspapers -- including the Miami Herald, Kansas City Star and Charlotte Observer -- and more than 50 other publications. The company said that it also plans to sell off 12 Knight Ridder newspapers, including the Philadelphia Inquirer and San Jose Mercury News, Contra Costa Times and Monterey Herald. Looking to take advantage of corporate synergies, McClatchy said that it plans to cut an undetermined number of jobs, and expects to save about $40 million by eliminating corporate redundancies and another $15 million by combining Internet operations. Shareholders had been pressuring Knight-Ridder to pursue a sale for several months.
http://biz.yahoo.com/prnews/060313/nym089.html?.v=33

Mountain View-Based VeriSign to Pay $62 Million for Kontiki

Mountain View, Calif. -- VeriSign, the Mountain View-based provider of infrastructure services for the Internet and telecommunications networks, said on Monday that it will pay $62 million to acquire Kontiki, a Mountain View-based provider of managed peer delivery systems for video, software and digital content. VeriSign said that Kontiki's system will form the cornerstone of its platform to enable the delivery of rich media over broadband networks to personal computers, television sets and portable devices. "Kontiki immediately enters us into the broadband content market," said Vernon Irvin, the executive vice president and general manager of VeriSign Communications Services. Kontiki has 34 employees in the U.S. The deal is expected to close before the end of this month. VeriSign also said that it has completed its $65.5 million acquisition of Austria-based 3united Mobile Solutions. That deal was first announced in mid-February.
http://www.verisign.com/press_releases/pr/page_037168.html

Palo Alto-Based scanR Lands $4.65 Million in First Round

Palo Alto, Calif. -- ScanR, a Palo Alto-based provider of services that allow camera phones and digital cameras to scan, copy and fax, said on Monday that it has landed $4.65 million in its first round of funding, led by Trinity Ventures. Other participants included Thomvest International, as well as Don Listwin, the former president and CEO of Openwave Systems, and James Joaquin, the current CEO of Xoom.com. ScanR's services are based on proprietary image processing and data refinement technology and are designed to work with any mobile phone platform. The company also has launched services that convert photos of whiteboards and documents into searchable PDF files.
http://www.scanr.com/
http://biz.yahoo.com/bw/060313/20060313005392.html?.v=1

S.F.-Based Six Apart Acquires Mobile Blogging Service SplashBlog

San Francisco -- Six Apart, a San Francisco-based provider of blogging software and services, said on Monday that it has acquired SplashBlog for an undisclosed amount. SplashBlog is a mobile photo blogging application and service that allows users to publish photos from a camera phone to a blog. SplashBlog makes client software that runs on a wide variety of camera phones, and also operates a photo hosting service. The service allows users tp capture photos on their camera phones and upload them to splashblog.com to share with others.
http://www.splashblog.com/index.aspx
http://biz.yahoo.com/bw/060313/20060313005948.html?.v=1

American Airlines Subpoenas YouTube, Google Video Over Training Video

San Francisco -- American Airlines has filed subpoenas seeking the identities of individuals who uploaded portions of its copyrighted training videos to video-sharing site YouTube and Google Video, CNET News.com reported. The airline said that the people who posted the video violated the Digital Millennium Copyright Act, and has asked that their identities be turned over -- similar to the actions taken against file-swappers by the music and movie industries. Representatives from both companies told News.com that they will comply with valid subpoenas and applicable laws. Recently, YouTube has respected requests from ABC and NBC to remove copyrighted video from its network, with no legal action taken. The video-sharing site tells users they may not upload material for which they do not own the copyrights.
http://news.com.com/American+Airlines+subpoenas+Google%2C+YouTube/2100-1030_3-6048032.html
http://video.google.com

BlackBerry Maker RIM Acquires San Jose-Based Ascendent Systems

San Jose, Calif. -- Research In Motion (RIM), the Canadian maker of the popular BlackBerry wireless email device, said on Friday that it has acquired San Jose-based Ascendent Systems, a maker of software designed to extend the functionality of desk phones to wireless devices. Financial terms of the deal were not disclosed. Ascendent, which also has established relationships with companies such as Cisco, Intel and Microsoft, will become a unit of RIM. Jim Balsillie, the chairman and co-CEO of RIM, said that the acquisition will allow his company to "enhance the use of wireless communications" in the workplace.
http://www.rim.com/news/press/2006/pr-10_03_2006-02.shtml

Livermore-Based FormFactor Prices $182 Million Offering

Livermore, Calif. -- FormFactor, a Livermore-based maker of semiconductor wafer probe cards, on Friday priced its secondary public offering, agreeing to sell 5 million shares for $38 each in a deal that will produce approximately $182 million in net proceeds, after expenses. The company first announced plans for the offering a week ago. FormFactor said that it plans to use a portion of the funds to increase its manufacturing capacity, as well as for possible acquisitions
http://biz.yahoo.com/bw/060310/20060309006037.html?.v=1
http://www.formfactor.com/

Milpitas-Based Rackable Systems Prices Follow-On Offering at $39

Milpitas, Calif. -- Rackable Systems, a Milpitas-based maker of servers and storage products for data centers, said on Friday that it and some of its shareholders have raised a total of $292.5 million though a new public offering, selling 7.5 million shares for $39 each. The company said that it sold about 3.3 million shares for total net proceeds of $123.0 million, with current shareholders selling the remainder. Rackable, whose customers include Microsoft, Amazon and Yahoo, has seen the value of its stock more than triple since raising $75 million in its initial public offering in mid-2005
http://www.rackable.com
http://biz.yahoo.com/bw/060310/20060310005176.html?.v=1