Silicon Valley Wire

Milpitas-Based SanDisk to Acquire msystems for About $1.3 Billion

Milpitas, Calif. -- SanDisk, the Milpitas-based maker of flash memory data storage cards, said that it will buy Israel's msystems for about $1.3 billion in stock. SanDisk said that the deal, which will pay msystems shareholders w just over three-quarters of a share of SanDisk for each of their shares, will unite a pair of flash memory pioneers with complementary products, customers and channels. msystems specializes in flash memory systems for the mobile, portable and embedded markets. The deal is expected to close before the end of the year.
http://www.sandisk.com/Corporate/PressRoom/PressReleases/PressRelease.aspx?ID=3494

ESA to Radically Downsize Annual E3 Gaming Expo

Los Angeles -- The Entertainment Software Association (ESA) said on Monday that it plans to radically reduce the size of its annual Electronic Entertainment Expo (E3), an event that over the past 12 years has become the pre-eminent event of the video game industry. The organization said that it will move the 2007 version of the event to a more intimate venue in Los Angeles, focused on press events and small meetings with media, retail, development and other key sectors. Douglas Lowenstein, the president of the ESA, said on Monday that the goals of the event have changed since its launch. "At that time we were focused on establishing the industry and securing orders for the holiday season," said Lowenstein. "Over the years, it has become clear that we need a more intimate program." According to a report by the web site Next Generation, "the larger exhibitors have jointly decided that the costs of the event do not justify the returns," instead choosing to focus on "events that bring attention to their own product lines rather than the industry as a whole."
http://www.theesa.com/archives/2006/07/for_immediate_r.php
http://www.next-gen.biz/index.php?option=com_content&task=view&id=3538&Itemid=2

Fremont-Based Ikanos to Acquire San Jose-Based Doradus Technologies

Fremont, Calif. -- Ikanos Communications, a Fremont-based developer of broadband chipsets, said on Friday that it signed a deal to acquire San Jose-based Doradus Technologies, a developer of signal processing products for the DSL, wireless and digital TV markets. Financial terms were not disclosed. The acquisition will give Ikanos technology for communications and digital TV applications, as well as seven new engineers.
http://www.ikanos.com/news/press1.html

Menlo Park-Based Trinity Ventures Leads $10 Million Round for Netcordia

Menlo Park, Calif. -- Trinity Ventures, a Menlo Park-based venture capital firm, has led a new $10 million funding round for Maryland-based Netcordia, a maker of network analysis tools, the company said on Monday. Previous investor Novak Biddle Venture Partners also participated in the round, which increased the company's total backing to $13 million. Netcordia said that it will use the new capital to further accelerate its product development in the network management space, as well as expand global distribution. The company is the developer of a network analysis appliance, designed to allow network engineers to quickly pinpoint and fix network trouble spots.
http://www.netcordia.com/news/news-press.shtml

Santa Clara-Based Intel Rolls Out New Chips, Lowers Some Prices

Santa Clara, Calif. -- Intel, the Santa Clara-based chip-maker, has released 10 new computer chips and lowered the prices on its older ones, all in an effort to ramp up the pressure on its chief competitor, Sunnyvale-based AMD. The company, which has lost about 5% of its market share to AMD over the past year, rolled out its Core 2 Duo processors, including five for desktops and five for mobile PCs. Intel said that the desktop PC version of the new processors, built using its new 65-nanometer silicon process technology, provide up to a 40% increase in performance and are more than 40% more energy efficient than its previous best processors. Intel also has lowered the prices of some of its older chips by as much as 61%.
http://biz.yahoo.com/bw/060727/20060727005815.html?.v=1

Redwood City-Based Emphasys Medical Raises $18.4 Million

Redwood City, Calif. -- Emphasys Medical, a Redwood City-based developer of minimally invasive devices designed to help emphysema patients breathe easier, said that it has raised $18.4 million in its fifth round of funding, led by Cargill Ventures. All of the company's previous investors, as well as new investor Trellis Health Ventures, also participated. Emphasys is the third portfolio company from the medical device company incubator, The Foundry.
http://biz.yahoo.com/prnews/060727/lath078.html?.v=61
http://www.emphasysmedical.com

Google to Launch Version of Web Advertising Platform for Radio

Mountain View, Calif. -- Google, the Mountain View-based web search giant, plans to make its successful online advertising model available for the radio industry within three months, CNET News.com reported. The company paid $102 million in January to acquire dMarc Broadcasting, which developed an automated radio advertising system that will be integrated with Google's AdSense service for the radio initiative. The current radio advertising business requires advertisers to work through agencies that have relationships with individual radio stations, while Google's system will automate the process of buying, placing and tracking radio ads. The Google radio advertising service has already placed ads on the air at a station in Detroit. The company also signed a one-year agreement with broadcaster Greater Media, which will begin placing Google ads on some of its 19 stations over the next two months.
http://news.com.com/Google+rides+the+radio+waves/2100-1024_3-6099025.html
http://www.google.com/intl/en/press/pressrel/dmarc.html

Palo Alto-Based Hercules Technology Invests $1.5 Million in Barrx Medical

Palo Alto, Calif. -- Hercules Technology Growth Capital, a Palo Alto-based specialty finance company focused on technology and life science companies, said on Friday that it has made a $1.5 million investment in Sunnyvale-based Barrx Medical as part of that company's $27.8 million round of equity financing, announced a week ago. Barrx is a maker of medical devices for the treatment of Barrett's esophagus, a precancerous condition of the esophagus. The device allows physicians to remove the thin layer of esophageal lining containing Barrett's esophagus cells before it has a chance to develop into cancer. The company's funding round was led by Montagu Newhall Associates.
http://biz.yahoo.com/prnews/060728/sff016.html?.v=63

Interactive TV Emmy Awards Go to TiVo, ABC.com's Streaming TV

Alviso, Calif. -- TiVo, the Alviso-based provider of digital video players and subscription services, and ABC.com's full episode streaming player were the recipients of this year's interactive TV Emmy Awards, announced on Thursday by the Academy of Television Arts & Sciences. TiVo won the Emmy for Outstanding Achievement for Enhanced or Interactive Programming: Television, beating out finalists including AOL Music on Demand, CNN Enhanced and DirecTV Interactive Sports. Disney's ABC.com launched a service in May that streamed full episodes of series like "Lost" and "Desperate Housewives" with commercials; while the service was taken off-line for the summer, the company is expected to re-launch it for the fall season. The ABC service won the Emmy for Outstanding Achievement for Enhanced or Interactive Programming: New Delivery Platforms, from among a field of finalists that included MLB.TV Mosaic, Starz's Vongo video download service, and Riddle Productions' "Danny Bowles and the Jade Treasure, Stranger Adventures."
http://www.emmys.org
http://www.tivo.com

San Jose-Based Intelleflex Raises $15.5 Million in Second Round

San Jose, Calif. -- Intelleflex, a San Jose-based developer of radio frequency identification (RFID) technology, said on Thursday that it has raised $15.5 million in its second round of funding, led by Menlo Park-based Morgenthaler Ventures. Previous investors Woodside Fund, Alloy Ventures and Selby Venture Partners also participated. the company said that it plans to use a portion of the proceeds to ramp up production and extend its line of RFID tags and readers. Intelleflex had previously raised $11.3 million in its first round, which it used to develop new tags with ranges in excess of 100 meters.
http://www.intelleflex.com/pages/press9.htm

Palo Alto-Based Agilent to Acquire Milpitas-Based Xpedion

Palo Alto, Calif. -- Agilent Technologies, the Palo Alto-based technology giant focused on communications, electronics, life sciences and chemical analysis, said on Thursday that it has signed a deal to acquire Milpitas-based Xpedion Design Systems, a maker of software for wireless and high-speed digital circuit and systems design. Financial terms were not disclosed. Agilent said that the acquisition will help it to bolster its offerings for designers of radio frequency integrated circuits.
http://www.agilent.com/about/newsroom/presrel/2006/27jul-em06101.html

TiVo Launches Audience Research and Measurement Division

Alviso, Calif. -- TiVo, the Alviso-based provider of digital video recorders and subscription services, said that it has launched a new division offering advertisers second-by-second data and analysis on viewing of recorded TV ad content. TiVo Audience Research and Management will provide anonymous data collected from TiVo's 4.4 million subscribers, such as whether viewers fast-forwarded through or replayed ads, and their effectiveness by network, genre, day-part, time slot, day of week and commercial pod position. TiVo said that Nissan and several clients of ad agency Omnicom Media Group are among the first customers of its new division.
http://biz.yahoo.com/prnews/060726/sfw025.html?.v=69
http://www.tivo.com

Mobile 365 to Provide SMS Messaging for eBay's Skype

San Jose, Calif. -- Mobile 365, a Virginia-based provider of mobile messaging and data services, said that it has been picked to provide SMS messaging services to Skype, the Internet phone subsidiary of San Jose-based online auction giant eBay. The service will allow Skype's users to send text messages to mobile subscribers from their computer keyboards. Skype said that it chose Mobile 365 not only because of its SMS reach, but also for its ability to access markets such as China and India.
http://www.mobile365.com/365_news/index.php?release=81

Metallica to Finally Sell Songs on Apple's iTunes Store

Cupertino, Calif. -- Metallica, a band vocal in its opposition to free file-sharing and late to digital services, finally has ended its boycott of Cupertino-based Apple's iTunes Store, agreeing to license songs from four of its early albums to be sold a la carte on the service, Billboard reported. Full Metallica albums have previously been available for purchase on other digital services, but the band's opposition to selling single tracks put it at odds with Apple's retail policy. The songs from "Kill 'Em All," "Ride the Lightning," "Master of Puppets" and "…And Justice for All" are currently available only from the U.S. and Canadian iTunes Stores, in light of an ongoing dispute with Mercury, the label that distributes the band's albums outside of North America.
http://news.yahoo.com/s/nm/20060726/tc_nm/metallica_dc_2

Emeryville-Based Planitax Lands $5 Million in Third Round

Emeryville, Calif. -- Planitax, an Emeryville-based provider of software services to corporate tax departments, said on Wednesday that it has raised $5 million in its third round of funding. Mobius Venture Capital led the round, which also included participation from fellow previous investors Draper Fisher Jurvetson and Access Venture Partners.The company said that it plans to use the new capital to accelerate its growth and extend its flagship product line, which targets a range of tax processes such as document management, entity management and audit management.
http://www.planitax.com/co_ne_072606.html 

San Mateo-Based Digital Chocolate Raises $22.5 Million in Third Round

San Mateo, Calif. -- Digital Chocolate, a San Mateo-based publisher of original software for mobile phones, said on Wednesday that it has secured $22.5 million in its third round of funding, led by new investor Bridgescale Partners of Menlo Park. Other participants included new investors Outlook Ventures, Montagu Newhall, DN Capital, Glynn Capital Management and CHI Capital, as well as previous investors Sequoia Capital, Kleiner Perkins Caufield & Byers, Sutter Hill Ventures and Chengwei Ventures. The company has now raised a total of $43.8 million since its inception in 2003. Trip Hawkins, the founder and CEO of Digital Chocolate, said that the new funding will allow his company to continue its expansion. The company currently has relationships with more than 250 carriers and partners, including Cingular, Sprint, T-Mobile and Verizon Wireless.
http://www.digitalchocolate.com/
http://biz.yahoo.com/bw/060726/20060726005287.html?.v=1

Mountain View-Based Asthmatx Files for $74.75 Million IPO

Mountain View, Calif. -- Asthmatx, a Mountain View-based developer of technology designed to treat asthma, has filed with the Securities and Exchange Commission to raise up to $74.75 million in an initial public offering (IPO). The company, which has applied to list its stock on the Nasdaq under the symbol "AZMA," said that it plans to use $20.0 million of the proceeds for clinical trials and other research and development expenses, and another $20 million for building its commercial infrastructure, incluyding sales and marketing efforts. Asthmatx is developing a technology designed to deliver controlled thermal energy to patients' airways, helping them breathe more easily during asthma attacks.
http://ipoportal.edgar-online.com/ipo/displayFundamentals.asp?cikid=630448&fnid=50854&IPO=1&coname=ASTHMATX+INC
http://www.asthmatx.com/

S.F.-Based GarageBand.com Lands $2.5 Million to Launch "iLike" Service

San Francisco -- GarageBand.com, a San Francisco-based independent music community, said on Wednesday that it has raised $2.5 million in its first round of funding, led by Menlo Park-based Khosla Ventures and partner David Weiden. Other investors included Bob Pittman, the co-founder of MTV and former head of AOL; Herbert Allen III of Allen & Company and other individuals from the music, Internet, and media industries. Launched in 1999, GarageBand.com is now preparing to launch its social networking site, "iLike." The company said that the new service will
We're working on a brand new service to help users organize their music, share their music tastes and discover new music through friends.
http://www.garageband.com/htdb/companyinfo/pr072606.html

PBS to Offer Downloads Through Mountain View's Google, Palo Alto's OMN

Mountain View, Calif. -- In a major step toward its self-proclaimed transformation into a "digital public media service," PBS, the media entity serving 348 public noncommercial television stations, on Wednesday announced a pair of major initiatives designed to make its programs available for download on the Internet. The organization said that a selection of its primetime and children's programming will now be available for download on both Mountain View-based Google and the Palo Alto-based Open Media Network (OMN), mostly for $1.99 an episode. "We've received significant viewer feedback this year, requesting that we offer our television content in downloadable formats," said Paula Kerger, the president and CEO of PBS. While Google Video offers downloads to its own video player, OMN delivers its programming to a variety of devices, including notebook computers, portable media players, cell phones and set top boxes.
http://www.pbs.org/aboutpbs/news/20060726_pbsgooglevideo.html   
http://www.pbs.org/aboutpbs/news/20060726_pbsomndownloadtoown.html

FCC: High-Speed Internet Subscriptions Jumped 33% in 2005

Washington, DC -- The number of high-speed Internet subscribers in the U.S. jumped 33% last year to 50.2 million, according to figures released on Wednesday by the Federal Communications Commission (FCC). Of those, about 58% used cable modems and 41% used DSL connections, though for the first time, the increase in new DSL subscribers outnumbers that of cable subscribers. As of Dec. 31, at least one kind of high-speed connection was available in 99% of U.S. Zip Codes.
http://www.fcc.gov/headlines.html

Palo Alto-Based HP to Pay $4.5 Billion for Mercury Interactive

Palo Alto, Calif. -- Hewlett-Packard, the Palo Alto-based technology giant, said late Tuesday that it has signed a deal to acquire Mountain View-based Mercury Interactive, a provider of IT management software and services, for approximately $4.5 billion. HP said that it will launch a $52-a-share tender offer, then merge the company with its HP Software business. The deal is expected to close before the end of this year. Mark Hurd, the CEO of HP, said that the acquisition "will help customers cut their IT costs, speed the delivery of new services and drive profitable growth at HP." HP expects the deal to increase the revenue of its HP Software business by 10%-15% in fiscal 2008.
http://www.hp.com/hpinfo/newsroom/press/2006/060725a.html

Palo Alto-Based SolFocus Raises First $25 Million of Funding Round

Palo Alto, Calif. -- SolFocus, a Palo Alto-based developer of systems that generate electricity from solar panels, said on Tuesday that it has raised the first $25 million of its planned $32 million first round of funding. Led by New Enterprise Associates, the round also included seed investors NGEN Partners and Yellowstone Capital. The company, which completed its $3.5 million seed round in March, plans to use the new funds to accelerate large-scale testing of its technology, as well as ramp production of its solar modules and secure a long term supply of photovoltaic cells. SolFocus claims that its products will "dramatically" reduce the cost of delivering renewable solar energy.
http://www.solfocus.com
http://biz.yahoo.com/bw/060725/20060725005317.html?.v=1 

San Mateo-Based Tello Secures $10 Million in Second Round

San Mateo, Calif. -- Tello Corp., a San Mateo-based provider of communication and collaboration services designed to imp[rove business interactions, said on Tuesday that it has raised $10 million in its second round of funding, led by BCE Capital. Other participants included previous investors Eagle River, Evercore Partners, Rho Ventures and Intel Capital. Tello said that it plans to use the new capital to further develop its services, which allow users to filter inbound communications, improve control of outbound communications and enhance interactions with others
http://www.tello.com/pressreleases/072506.html

Menlo Park-Based Francisco Partners to Acquire WatchGuard Technologies

Menlo Park, Calif. -- Francisco Partners, a technology focused venture capital firm based in Menlo Park, said on Tuesday that it will pay $151 million in cash to acquire Seattle-based WatchGuard Technologies, a provider of network security appliances to small and mid-size businesses. The deal, if approved by WatchGuard's shareholders, is expected to close before the end of this year. Ed Borey, the chairman and CEO of WatchGuard, said that the deal will allow his company to become "stronger" and "more nimble."
http://www.watchguard.com/press/releases/wg365.asp

San Mateo-Based Greylock Leads $6 Million Round for Panther Express

San Mateo, Calif. -- Greylock Partners, a San Mateo-based venture capital firm, has led a new $6 million funding round for New York-based Panther Express, which operates an Internet content delivery network, the company said on Tuesday. Founded in 2005 by Kevin Ryan and Dwight Merriman, the former CEO and CTO of online advertising technology firm DoubleClick, Panther Express maintains a plethora of data centers designed to speed content delivery for its clients. The company officially launched its network five months ago.
http://www.pantherexpress.net/cui/news?tnc=1

Korea's NHN to Launch Online Games Portal for U.S. Market

Mountain View, Calif. -- Korean Internet firm NHN, an operator of gaming sites in Asia with U.S. headquarters in Mountain View, said that it plans to launch an online games portal for the American market in the fall. NHN claims more than 170 million subscribers for its games site in China, and operates popular online games portals in both Japan and Korea. NHN USA said that it will look to expand its staff from 50 to over 80 by the end of the year.
http://www.nhncorp.com
http://biz.yahoo.com/bw/060724/20060724005264.html?.v=1

South San Francisco's Genentech to Collaborate with Inotek on Cancer Drugs

South San Francisco -- Genentech, a South San Francisco-based biotechnology firm, said on Tuesday that it has signed a collaboration agreement with Massachusetts-based Inotek Pharmaceuticals to develop possible cancer treatments. Under the agreement, Genentech will make an upfront payment of $20 million to Inotek, with the potential for up to $405 million in additional milestone payments based upon the successful completion of various clinical development and regulatory approvals. Genentech also has retained an option to develop and commercialize Inotek's "PARP" inhibitors to prevent cell death and complications associated with various cardiovascular conditions and procedures.
http://www.gene.com/gene/news/press-releases/display.do?method=detail&id=9907

Peerflix Partners with Postal Service to Enable Tracking of DVDs

Menlo Park, Calif. -- Peerflix, a Menlo Park-based service that facilitates the swapping of DVDs by members through the mail, said that it has forged a partnership with the U.S. Postal Service that will allow Peerflix members to track the shipping status of their DVDs online. As part of the deal, postage will now be printed directly on the company's PeerMailer DVD envelopes, eliminating the need for stamps. Peerflix said that it has additionally created a Google Maps "mash-up" that allows users to follow the journey of their DVDs against a map of the U.S.
http://www.peerflix.com
http://biz.yahoo.com/bw/060724/20060724005161.html?.v=1

EA, ESPN Partner on "Madden NFL 07" Pay-Per-View Special

Redwood City, Calif. -- Electronic Arts, the Redwood City-based developer and publisher of video games, said that it has partnered with ESPN on a pay-per-view event to promote the upcoming release of its "Madden NFL 07" video game. Produced by ESPN Original Entertainment, the 60-minute "Inside Madden NFL 07" special will offer a guided tour of the game from EA game designers, and comments from top gamers and NFL athletes chosen to preview the title. The program will be available for $19.95 on cable or satellite TV systems, and also via download from ESPN.com.
http://biz.yahoo.com/bw/060724/20060724005620.html?.v=1
http://www.easports.com/madden07

Bay Area Venture Capital Investing Reaches Highest Level Since 2001

San Francisco -- The amount of venture capital invested in Bay Area companies during the second quarter reached its highest level since the end of the Internet boom, according to new figures released on Monday by Dow Jones VentureOne and Ernst & Young. Area companies raised a total of $2.4 billion in 207 rounds, up from $1.8 billion last quarter and $2.1 billion a year ago. In fact, the last time the figure was higher was the fourth quarter of 2001. The majority of the funding, about $1.6 billion, went to information technology companies, led by San Jose-based NeoPhotonics, which raised $75 million in June. Other large investments went to Palo Alto-based Nansolar ($75 million), Berkeley-based Aerovance ($60 million) and South San Francisco-based Proteolix ($45 million). The local activity closely mimicked a national trend. In the U.S., venture capital investing reached its highest point in 4 ½ years with $6.73 billion invested. The increase was boosted by the highest infusion of capital in recent quarters in the market's two major industry groups -- health care and IT.
http://biz.yahoo.com/iw/060724/0146630.html
http://www.ventureone.com/

Cupertino's Sequans Communications Raises $24 Million in Funding

Cupertino, Calif. -- Sequans Communications, a Paris-based supplier of WiMAX chips with U.S. headquarters in Cupertuino, said on Monday that it has raised $24 million in a new round of private equity funding led by Kennet Venture Partners, a British private equity firm with U.S. headquarters in Foster City. Previous investors Add Partners, Cap Decisif, T-Source, SG Asset Management and Vision Capital also participated. "We will use our new funding to grow our organization, particularly in the areas of sales and customer support," said Georges Karam, the CEO of Sequans.
http://www.sequans.com/site/news_july2406.html

Menlo Park-Based AutoTradeCenter to Acquire Onlane Group

Menlo Park, Calif. -- AutoTradeCenter (ATC), an Internet-based provider of automotive remarketing services, said on Monday that it has signed a deal to acquire Toronto-based rival Onlane Group for an undisclosed sum. The companies said that the deal will create the industry's largest online auction company for automotive dealers to purchase and sell wholesale vehicles. The combined company will be known as ATC-Onlane, with Roger Butterwick, the current CEO of ATC, remaining CEO of the combined company, which will have more than 200 employees and headquarters in Menlo Park. 
http://www.autotradecenter.com/news.html

San Francisco-Based InterSearch Raises $7 Million in Debt Financing

San Francisco -- InterSearch Group, a San Francisco-based provider of Internet search services and operator of industry-specific destination portals, said on Monday that it has raised $7 million in debt financing. The debt was privately placed with CapitalSouth Partners and Harbert Management. The company said that it plans to use $6.15 million of the proceeds to buy back its stock, issued in connection with its acquisition of tax-related Internet domains in September. InterSearch said that it generated $2.8 million in revenue from www.irs.com in the first quarter.
http://app.quotemedia.com/quotetools/popups/story.jsp

Report: 9 Million U.S Web Users Download Podcasts

Hollywood, Calif. -- More than 6% of U.S. adults, or about 9 million web users, have downloaded podcasts in the past month, according to a new report by Nielsen Analytics. More than 75% of these regular podcast downloaders were male, and 38% said they are now listening to radio less often. The report noted that the most successful podcasts claim as many as 2 million downloads a month, attracting mainstream advertising. "While essentially still in nascent form, podcasts offer free audio and video content that is inexpensive to create, easy to access and on a portable platform that has already reached mass distribution," said Larry Gerbrandt, general manager and senior vice president of Nielsen Analytics.
http://biz.yahoo.com/prnews/060720/nyth161.html?.v=46
http://www.nielsenmedia.com

Bay Area Tech Stocks Continue To Fall As Nasdaq Hits 14-Month Low

San Francisco -- Local technology stocks continued their downward trend on Friday, with the Nasdaq dropping to its lowest weekly close in 14 months, pulled down by Dell's 9.9% selloff and missed earning estimates by Sunnyvale-based AMD. The Nasdaq closed down .9% on Friday to close at 2,020.39. Sunnyvale-based AMD saw its stock drop 15% on Friday after missing Wall Street profit estimates for the second quarter. Other local technology companies that had large price declines on Friday, included: HP (down 4%), Brocade (down 4%), and Xilinx (down 5%)

Federal Authorities File Fraud Charges Against Former Brocade Executives

San Jose, Calif. -- In a case that is sending shockwaves through technology companies, federal authorities have filed criminal and civil securities fraud charges against Gregory Reyes, the former CEO of San Jose-based Brocade Communications, and Stephanie Jensen, its former Vice President of Human Resources, alleging that the two routinely backdated stock option grants. The complaint alleges that the back-dated option grants provided employees with "favorably priced options without recording necessary compensation expenses." Reyes' lawyers have argued that he did not benefit personally from the back-dating and had no criminal intent. The filing is the first cases involving manipulation of stock option grants after an 18-month investigation of dozens of companies.
http://www.sec.gov/news/press/2006/2006-121.htm

Sunnyvale-based Barrx Medical Raises $27.8 Million in Third Round

Sunnyvale, Calif. -- Barrx Medical, the Sunnyvale-based developer of a treatment for precancerous conditions of the esophagus, has raised $27.8 million in its third round of venture capital, led by Montagu Newhall Associates. Barrx was founded in 2000. Its system was cleared by the U.S. Food and Drug Administration in 2001 and has been commercially available since January 2005. Other investors in the company's latest funding round include Delphi Ventures, Alloy Ventures, Frazier Healthcare Ventures, and Sutter Hill Ventures.
http://biz.yahoo.com/bw/060720/20060720005428.html?.v=1

High School Sports Publisher MaxPreps Raises $7 Million, Partners with ESPN

Cameron Park, Calif. - MaxPreps, a publisher of high school sports information, announced that it has raised $7 million in its second round of venture capital financing. Dolphin Equity Partners led the investment round; BEV Capital and DFJ Frontier also participated. Founded in 2003, Cameron Park, Calif.-based MaxPreps publishes detailed high school sports information from around the country, culled from a network of thousands of high school coaches, professional photographers and freelance writers. The company recently signed a promotional and content-sharing agreement with ESPN, and in the past has helped partners including USA Today, the NFL and the Los Angeles Times to expand their high school sports coverage.
http://www.maxpreps.com/FanPages/PressReleases.mxp

WatchGuard Settles Trade Secrets Theft Case with Former Employee

Sunnyvale, Calif. -- WatchGuard, a Seattle-based provider of firewall and virtual private network technology, announced that it has settled a trade secrets misappropriation lawsuit that the company filed in March 2005 against a former employee, Michael Valentine, who currently works for SonicWALL, a Sunnyvale-based provider of IT security products. Neither side in the lawsuit admitted to any fault and the terms of the settlement were not disclosed.
http://biz.yahoo.com/prnews/060720/sfth109.html?.v=19

Intel Becomes Sponsor of Palo Alto-based Anita Borg Institute

Palo Alto, Calif. -- The Anita Borg Institute for Women and Technology, a Palo Alto-based organization that supports the use of technology to help women, announced that Intel has become a full sponsor of the institute. Intel will also underwrite the Anita Borg Technical Leadership Award. The institute said the $10,000 award -- to be announced in October 2006 -- recognizes an "outstanding woman technical leader who has inspired the women's technology community through outstanding technological and social contributions." Other sponsors of the institute include IBM and Cisco.
http://www.anitaborg.org/news/releases/intel_06.php

eBay To Auction Barry Bonds' 715th Home Run Ball Starting Monday

San Jose, Calif. -- San Jose-based eBay announced that an auction for Barry Bonds' 715th home run ball will begin on Monday. eBay said the ball comes with an official Major League Baseball certification and hologram. The starting bid for the 10-day auction will be $10,000. It was caught by Andrew Morbitzer, a Giants fan who made the catch while waiting to buy a beer and peanuts.
http://biz.yahoo.com/bw/060721/20060721005467.html?.v=1
http://www.ebay.com/715

Mountain View-Based Google Beats Earnings Estimates for Second Quarter

Mountain View, Calif. -- In largely positive news for the company and its investors, Google, the Mountain View-based Internet search giant, on Thursday reported second quarter earnings that exceeded Wall Street estimates, including a 110% jump in net profits from a year ago. The company reported net income of $721.1 million, or $2.33 a share -- $0.11 a share higher than consensus forecasts, according to a survey by Thomson First Call. That's up from a year ago, when the company's net income was $343 million. Revenue of $2.46 billion rose 77% from a year ago, eclipsing estimates of $2.4 billion, according to Reuters Estimates.
http://biz.yahoo.com/bw/060720/20060720005835.html?.v=1

Santa Clara-Based Intel Shakes Up Senior Management

Santa Clara, Calif. -- Intel, the Santa Clara-based chip-making giant on Thursday announced a series of senior management changes that the company said are designed to improve its structure and speed decision making. Sean Maloney, an executive vice president who previously co-managed Intel's Mobility Group, will now lead its Sales and Marking Group. Donald MacDonald, who previously served as the vice president and general manager of the company's Digital Home Group, will become vice president of marketing and brands, reporting to Maloney. In addition, Anand Chandrasekher, a senior vice president who formerly served as co-general manager of the Sales and Marketing Group, will manage a newly created business unit focused on low power Intel Architecture products and the ultra-mobile PC market. Eric Kim, a  senior vice president, who previously co-managed the Sales and Marketing Group, will become general manager of the Digital Home Group. Two other long-time Intel executives also have announced their retirements. William Siu, who served as the vice president and general manager of the Channel Platforms Group, and Richard Wirt, the vice president, senior fellow and co-general manager of the Software and Solutions Group, will both remain full time with Intel through the end of the year
http://www.intel.com/pressroom/
http://home.businesswire.com/portal/site/google/index.jsp?ndmViewId=news_view&newsId=20060720005563&newsLang=en

Emptoris Acquires Sourcing Software Firm Mindflow Technologies

San Carlos, Calif. -- Emptoris, a Massachusetts-based maker of supply and contract management software with West Coast operations based in San Carlos, said on Thursday that it has completed its acquisition of Texas-based sourcing software firm Mindflow Technologies. It marks the company's second acquisition this year, following its deal for San Carlos-based diCarta, a provider of contract management software, in April. Financial terms of nthe latest deal were not disclosed. Emptoris said that the acquisition gives it a number of major new customers, as well as further strengthening its team of sourcing experts and product managers and developers. Emptoris' clients include American Express, Bank of America, Boeing and Motorola.
http://www.emptoris.com/newsroom/pressreleases/news_press98.asp

YouTube Sued for Copyright Infringement of L.A. Riots Beating Video

San Mateo, Calif. -- An independent reporter has filed a copyright infringement lawsuit against San Mateo-based video-sharing site YouTube, alleging the site offered unauthorized clips of his video footage of the 1992 L.A. riots, the Associated Press reported. Robert Tur filed suit in U.S. District Court against YouTube, claiming that his helicopter video footage of truck driver Reginald Denny's beating from rioters has been viewed over 1,000 times and hampered his ability to license the footage. YouTube said that the suit is without merit. The company said that it removed Tur's video as soon as it learned of his complaint, adding that Tur never asked YouTube to take the video down before filing suit. Tur's lawsuit seeks $150,000 for each violation and an injunction against YouTube's posting any more of his works.
http://www.sfgate.com/cgi-bin/article.cgi?f=/n/a/2006/07/18/financial/f142836D78.DTL&hw=youtube&sn=001&sc=1000 http://www.youtube.com

Survey: Majority of Women Make at Least Half of Calls Through Cell Phone

Reston, Va. -- More than 50% of women now make at least half of their calls from their wireless phones, according to a new survey by Sprint Nextel. The company also said that women (37%) are more likely than men (30%) to want their phone within reach 24 hours a day. Seventy percent of women say they text message with family members, and 61% say they take pictures of their family with a camera phone. Women are also more interested in ring tones than men, and are more likely to use ring tones to personalize their phone.
http://www2.sprint.com/mr/news_dtl.do?id=12742

Shares of Sunnyvale-Based Yahoo Plummet to Two-Year Low

Sunnyvale, Calif. -- Shares of Sunnyvale-based Yahoo plunged nearly 22% on Wednesday, sending company shares to a two-year low. The sell-off came after Yahoo reported a drop in second-quarter profits, as well as the delay of an upgrade to its search advertising system. Late Tuesday, the company reported a 28% increase in net sales to $1.12, but the figure still fell below consensus analyst estimates of $1.14 billion, according to a survey by Thomson First Call. Yahoo also has pushed back the release of its new search platform from the third to the fourth quarter. All told, the company lost nearly $10 billion in market value on Wednesday. Arch-rival Google is scheduled to release its earnings on Thursday.
http://biz.yahoo.com/rb/060719/media_yahoo_stocks.html?.v=3
http://www.marketwatch.com/News/Story/Story.aspx?guid=%7B48E0DEDD%2DB736%2D469A%2D963B%2DF2B67E2A6DC4%7D&source=blq%2Fyhoo&dist=yhoo&siteid=yhoo

Burlingame-Based Limbo 41414 Raises $7 Million in Second Round

Burlingame, Calif. -- Limbo 41414, a Burlingame-based developer of text-message-based games, said on Wednesday that it has raised $7 million in its second round of funding from Azure Capital Partners and Draper Fisher Jurvetson. The company, which had raised $2 million in an unannounced seed round in October, has now raised a total of $9 million since its inception. Limbo's core product is a cell phone text messaging game that integrates the components of both a sweepstakes and an auction. The winner is the person making the lowest bid that no other player makes. Since launching in December, the company, which has 32 employees, has run more than 130 auctions, with winning bids totaling less than $600.
http://www.41414.com/
http://biz.yahoo.com/pz/060719/102377.html

Los Altos-Based Rambus to Restate Earnings; Shares Fall 14%

Los Altos, Calif. -- Rambus, a Los Altos-based designer of high-speed chip interfaces, said on Wednesday that it plans to restate more than three years of previously issued financial statements to correct errors related to accounting for stock-based compensation expenses. The news sent company shares down more than 14% in Wednesday's trading on the Nasdaq. Rambus said that its audit committee has concluded that the actual measurement dates for certain stock option grants differ from their recorded grant dates, creating the need to record additional expenses. As a result, Rambus said that it will restate its results for 2003, 2004 and 2005, as well as the first quarter of this year.
http://www.rambus.com/us/news/press_releases/2006/060719b.html

Menlo Park-Based PodTech Acquires Geek Entertainment TV

Menlo Park, Calif. -- PodTech, a Menlo Park-based producer, aggregator and distributor of professional podcast content, said that it has acquired Geek Entertainment TV (GETV), a media company owned by video bloggers Irina Slutsky and Eddie Codel that covers high tech news. Financial terms of the deal were not disclosed. PodTech, which is funded by U.S. Venture Partners and Venrock Associates, said that the acquisition will add to its video blogging offerings.
http://www.podtech.net/?p=862
http://www.geekentertainment.tv/