Silicon Valley Wire

Yahoo Acquires Online Ad Marketplace Right Media for $680 Million

Sunnyvale, Calif. - Sunnyvale-based Yahoo announced on Monday that it will acquire Right Media, the New York-based creator of an online advertising exchange, for $680 million. The transaction follows Yahoo's purchase of a 20% stake in Right Media last October. Founded in 2003, Right Media operates the Right Media Exchange, an online advertising marketplace used by more than 20,000 buyers and sellers. "This acquisition is an important step in our long-term vision to build the industry's leading advertising and publisher ecosystem," said Yahoo chairman and CEO Terry Semel. "We believe that Yahoo's open approach is a clear differentiator from others in the industry and provides significant benefits to advertisers, publishers and Yahoo itself." Yahoo's purchase of Right Media comes just weeks after Google announced its intention to buy online ad firm DoubleClick for $3.1 billion.
http://biz.yahoo.com/bw/070430/20070429005113.html?.v=1
http://biz.yahoo.com/ap/070430/yahoo_acquisition.html

Santa Clara, Calif.-Based 3Leaf Systems Raises $20 Million

Santa Clara, Calif. Santa Clara-based 3Leaf Systems, a developer of server virtualization technology used by data centers, announced that it has closed a $20 million funding round, led by Intel Capital. Existing investors Enterprise Partners, Storm Ventures, and Alloy Ventures also participated in the round. The company has now raised a total of $32.5 million. The company said the latest round will be used to accelerate product development and expand its marketing and sales activities.
http://www.3leafsystems.com/press-releases.html

Andrew Braccia Joins Palo Alto-Based Accel Partners

Palo Alto, Calif. -- Palo Alto-based Accel Partners, a major Silicon Valley venture capital firm, announced on Monday the addition of Andrew Braccia to its Palo Alto office. Braccia was formerly Yahoo's vice president of consumer web search. Accel said he played a key role in leading Yahoo's expansion into the social search market with the launch of Yahoo Answers and the acquisition of Del.icio.us. Accel's portfolio includes Facebook, Brightcove, Glam Media, Metacafe, Prosper, BitTorrent, Double Fusion, AdMob and Medio, among others.
http://www.accel.com/news/news_one_up.php?news_id=68

San Jose-Based ProVina Closes $4 Million Round Led By VantagePoint

San Jose, Calif. -- San Jose-based ProVina, the maker of a "personal winery" system, announced on Monday that it has completed its first institutional investment led by VantagePoint Venture Partners. The WinePod, described on ProVina's website as a "winery for your kitchen," is a digitally-networked device that ferments, presses, and ages wine in one compact unit. "The WinePod collects and transmits fermentation and temperature data wirelessly to your PC where our software offers winemaking guidance and manages your processes and records."
http://www.winepod.net/index.aspx

Novato-based SpatiaLight Receives $15.4 Million in Funding Commitments

Novato, Calif. -- Novato-based SpatiaLight, a developer and manufacturer of "Liquid Crystal on Silicon" (LCoS) microdisplays, announced on Monday that it has entered into agreements to raise $15.4 million in financing. The company, founded in 1989, manufactures high-resolution LCoS imagers for use in high-definition display applications such as rear projection televisions, monitors, front projection systems, near-to-eye applications, micro-projectors and other display applications.
http://phx.corporate-ir.net/phoenix.zhtml?c=107739&p=irol-newsArticle&t=Regular&id=992536&

Google Partners With Four States To Improve Access To Gov't Information

Mountain View, Calif. -- Mountain View-based Google announced partnerships on Monday with the states of Arizona, California, Utah and Virginia to make it easier to search for public information on state government websites. "Connecting citizens with their government by offering the public better access to public sector information and services is consistent with our broader vision -- to organize the world's information and make it universally accessible and useful," said Eric Schmidt, Google’s chairman and CEO. "These partnerships are among many that Google is pursuing with government agencies to better serve the public."
http://www.google.com/intl/en/press/pressrel/govt_access.html

Sunnyvale-Based Opsware Completes Acquisition of iConclude

Sunnyvale, Calif. -- Opsware, a Sunnyvale-based maker of data center automation software, said on Friday that it has completed its $53.5 million acquisition of iConclude, a Bellevue, Wash.-based maker of IT process automation software. The deal gives Opsware software designed to orchestrate the operational tasks necessary to run data centers, as well as a client list that includes Alaska Airlines, Glaxo Smith Kline, Halliburton and Sharp Healthcare. Opsware, which plans to sell iConclude's software both as a stand alone-product and integrated into its own products, said in March that it would retain "almost all" of iConclude's employees.
http://www.opsware.com/news/press.php

Fremont-Based Genitope Prices Public Stock Offering

Fremont, Calif. -- Genitope, a Fremont-based biotechnology firm developing novel immunotherapies for the treatment of cancer, said on Friday that it plans to raise $21.2 million through a secondary public offering. The company has priced 5.5 million shares at $3.85 each, and has granted it s underwriter an option to buy up to an additional 825,000 shares to cover over-allotments, if any. Genitope's lead product candidate, MyVax, is designed to activate a patient's immune system to identify and attack cancer cells.
http://ir.genitope.com/phoenix.zhtml?c=142124&p=irol-newsArticle&t=Regular&id=992174&

S.F.-Based GoFish Applies to Move Stock from OTC to Nasdaq Capital Market

San Francisco -- GoFish, a San Francisco-based Internet video site, said on Friday that it has applied to move its stock from the OTC Bulletin Board to the Nasdaq Capital Market. If the application is approved, the stock is expected to continue trading under the ticker symbol, "GOFH." "Listing GoFish stock on Nasdaq will raise our visibility among institutional and retail investors and would be in the best interests of our stockholders," said Michael Downing, the founder and CEO of GoFish. The site allows visitors to watch original online programming, as well as create and upload their own videos.
http://www.gofish.com/
http://biz.yahoo.com/bw/070427/20070427005209.html?.v=1

Bipartisan House Bill Called "Internet Radio's Last Hope"

Washington, DC -- In a move that webcasters say could keep them from going out of business, House lawmakers have introduced a new bill that would nullify the effects of sharply higher royalty rates recently set by the Copyright Royalty Board (CRB). The bipartisan Internet Radio Equality Act, sponsored by Rep. Jay Inslee (D-Wash.) and Rep. Donald Manzullo (R-Ill.), would annul the CRB decision and set royalty rates at 7.5% of webcaster revenues, the same rate paid by satellite radio providers. It would also change the rate-setting standard currently used by the CRB to determine Internet radio royalties to the same standard used for satellite radio, jukeboxes and sound recordings. "This bill may be Internet radio's last best hope," said Jonathan Potter, executive director of the Digital Media Association (DiMA).
http://www.digmedia.org/content/release.cfm?id=7221&content=pr   
http://www.house.gov/inslee   
http://manzullo.house.gov

Apple CEO: Consumers Not Interested in Renting Music

Cupertino, Calif. -- Apple CEO Steve Jobs doesn't think the subscription-based music distribution model being pushed by the major record labels will resonate with consumers, Reuters reported. "Never say never, but customers don't seem to be interested in it," Jobs told Reuters. "The subscription model has failed so far…People want to own their music." Subscription-based services are already offered by Napster, RealNetworks' Rhapsody, AOL, Yahoo and Virgin, but none of these services are compatible with Apple's market-dominating iPod players. Jobs also reiterated that he expects other major record labels to follow EMI Group's move and begin releasing songs free of digital rights management (DRM) protections on iTunes.
http://news.yahoo.com/s/nm/20070426/tc_nm/apple_jobs_dc_1

Shares of Cupertino-Based Apple Reach All-Time High

Cupertino, Calif. -- Shares of Cupertino-based Apple reached all-time high on Thursday after the company reported an 88% jump in net income for its fiscal second quarter. Buoyed by continued strong iPod and Macintosh sales, the company posted net income of $770 million for the quarter ended March 31, up from $410 million the previous year, on revenue that grew 20% to $5.3 billion. The earnings of $0.87 a share blew away consensus Wall Street estimates of $0.64, according to a survey by Thomson Financial. Shares of Apple closed up 3.7% to $98.84 after soaring as high as $102.50 earlier in the day.
http://www.apple.com/pr/library/2007/04/25results.html

Palo Alto-Based VMWare Files to Raise $100 Million in IPO

Palo Alto, Calif. -- VMWare, a Palo Alto-based maker of IT management software owned by EMC, on Thursday filed with the Securities and Exchange Commission (SEC) to raise up to $100 million through an initial public offering (IPO). The company has yet to reveal other details, such as the number of shares to be offered or their expected price range. Founded in 1998, VMWare offers products that support IT infrastructure optimization, business continuity, software lifecycle management and desktop management. The company was acquired by EMC in 2004. During 2006, the company had $703.9 million in revenue, an 82% increase over our 2005. It also recorded a profit of $87 million last year. VMWare, which plans to list its stock on the Nasdaq National Marter, has about 3,000 employees.
http://sec.gov/Archives/edgar/data/1124610/000119312507090409/ds1.htm
http://www.vmware.com/company/news/releases/S1.html

San Francisco-Based Video Search Firm Blinkx to See London IPO

San Francisco -- Autonomy, a U.K.-based developer of search technology, that that it will exercise an option to buy a 90% stake in San Francisco-based consumer video search provider Blinkx, merge its own consumer search division with the company and file for an initial public offering (IPO)on London's AIM exchange next month. Financial terms of the deal were not disclosed, but The Times Online reported that analysts expect to see a market value of between $150-$500 million. Following the IPO, Autonomy said that it will retain a 10% stake in the new entity, which will retain the Blinkx name. The Times said that Autonomny was granted the option in exchange allowing Blinkx to use its technology. Blinkx was founded in 2004 by Autonomy's former CTO and uses technology developed by the company. The company offers a searchable index of web video that contains more than 7 million hours of video content.
http://www.autonomy.com/content/News/Releases/2007/0425.en.html 
http://business.timesonline.co.uk/tol/business/industry_sectors/technology/article1703070.ece
http://www.blinkx.com

Captaris to Acquire Morgan Hill-Based Castelle for $10.8 Million

Morgan Hill, Calif. -- Captaris, a Bellevue, Wash.-based maker of software that automates document-centric business processes, said on Thursday that it will acquire Morgan Hill-based network fax company Castelle for $10.8 million in cash. The two companies will continue to operate independently until the closing of the deal, which is expected to occur after midyear. Founded in 1987, Castelle makes network fax servers and related software that allow clients to implement faxing over local area networks and the Internet. 
http://www.castelle.com/corporate/press/26apr07_captaris.htm

CDC Software Acquires Campbell-Based Saratoga Systems

Campbell, Calif. -- CDC Software, an Atlanta-based provider of software and business services to large organizations, said on Thursday that it has completed its acquisition of Saratoga Systems, a Campbell-based maker of customer relationship management software. Financial terms of the deal were not disclosed. CDC said that the acquisition gives it new customer relationship management software tailored toward specific industries. Saratoga has annual revenue of about $25 million and more than 350 customers, including Allstate, BASF, Konica Minolta and Metropolitan Life.
http://biz.yahoo.com/bw/070426/20070426005532.html?.v=1

Menlo Park-Based Venrock Raises $600 Million for New Fund

Menlo Park, Calif. -- Venrock, a Menlo Park-based venture capital firm focused on technology, healthcare, media and energy, said on Wednesday that it has raised $600 million for its new fund, Venrock V. With the close of the fund, the firm holds approximately $2 billion under management. Tony Sun, Venrock's managing general partner, said that the firm will continue to fund early-stage ventures in technology and healthcare, while also expanding its emphasis on media, energy and international ventures. Venrock V has already funded its first company, financial technology firm Storm Exchange. The firm also named David Siminoff as a general partner focused on media ventures. Siminoff founded and later sold EastNet, a company that enabled television stations in Eastern Europe to trade American TV programs for advertising time from major brands.
http://www.venrock.com/index.cfm?fuseaction=content.contentdetail&id=8984

Burlingame-Based Limbo 41414 Lands $8 Million in Third Round

Burlingame, Calif. -- Limbo 41414, a provider of mobile and online entertainment services, said on Wednesday that it has landed $8 million in its third round of funding, including a $6 million investment from New Enterprise Associates (NEA). Other participants included Azure Capital Partners and Draper Fisher Jurvetson. The company, which has raised $17 million since its inception, said that it will use the proceeds to expand its array of mobile and online ad-driven entertainment services for consumers and marketers. 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.
http://www.41414.com/presscenter?pr=pr20070425

Mountain View-Based Ponte Solutions Raises $7.5 Million in Second Round

Mountain View, Calif. -- Ponte Solutions, a maker of software products used to predict semiconductor yields at the design stage, said on Wednesday that it has raised $7.5 million in its second round of funding, led by The Mayfield Fund. U.S. Venture Partners and private investors also contributed to the round, which increased the company's total funding to $17 million. Ponte also said that it has added Michael Smayling, former CTO of the Maydan Technology Center at Applied Materials, to its technical advisory board and longtime semiconductor manufacturing and EDA executive Michael Buehler-Garcia as its new vice president of marketing and business development. Founded in 2002, Ponte also has offices in Armenia.
http://www.ponte.com/?p=press&id=17

Redwood Shores-Based Oracle to Acquire Massachusetts-Based Lodestar

Redwood Shores, Calif. -- Oracle, the Redwood Shores-based business software giant, said that it will acquire Lodestar, a Massachusetts-based maker of software designed to manage meter data for the utilities industry. Financial terms of the deal, expected to close in May, were not disclosed. Oracle said that the deal will bolster its offerings for utilities, following the company's recent acquisition of utilities software firm SPL WorldGroup. Lodestar currently has more than 120 clients in the energy industry. Its employees will join Oracle's Utilities Global Business Unit.
http://www.oracle.com/corporate/press/2007_apr/lodestar-acquisition.html

Apple’s Ex-CFO Says Steve Jobs to Blame for Backdating

New York – The former CFO of Cupertino-based Apple said that CEO Steve Jobs is at fault for a backdated 2001 stock option grant, CNN reported. Fred Anderson's lawyer released the statement after his client had settled with the SEC. "Fred was told by Steve Jobs in late January 2001 that Mr. Jobs had the agreement of the board of directors for the executive team grant on Jan. 2, 2001," said lawyer Jerome Roth, in a statement. "At the time Mr. Jobs provided Fred this assurance, Fred cautioned Mr. Jobs that the executive team grant would have to be priced based on the date of the actual Board agreement or there could be an accounting charge." According to the statement, Jobs assured Anderson that the board approved the grant and “would legally verify it." Anderson's settlement with the SEC reportedly includes a $150,000 fine and the repayment of $3.5 million in option grants.
http://money.cnn.com/2007/04/24/news/companies/apple_cfo.reut/index.htm?cnn=yes

Cannan Partners, SVB Financial Group Team to Invest $3.1 Million in iYogi

Menlo Park, Calif. -- A pair of local investment firms, Menlo Park-based Canaan Partners and Santa Clara-based SVB Financial Group, said on Wednesday that they have jointly invested $3.1 million in iYogi, a computer support startup company based in India. iYogi provides live computer support, on the phone and via remote access, to home and small business customers. The company said that it will use the new capital to expand its service offerings and sales and marketing programs, as well as to enhance its delivery operations in India. This is the first joint investment between Canaan and SVB Financial Group.
http://www.canaan.com/
http://www.svb.com/
http://www.iyogi.net/iyoginet/us/PressreleasesApril07.htm

Palo Alto-Based Photobucket Says Videos Again Viewable Through MySpace.

Palo Alto, Calif. -- Photobucket, a Palo Alto-based provider of online photo and video hosting services, said that its videos are once again visible on social networking site MySpace, following discussions between the companies. Earlier this month, MySpace blocked Photobucket videos from being uploaded or viewed on the social network. The company has also blocked various other services and third-party widgets, citing terms of use violations and other reasons. "Moving forward, we've established open lines of communication and procedures with MySpace to prevent a sudden block of Photobucket content in the future," Alex Welch, the CEO of Photobucket, wrote in the company's blog. Photobucket counts 40 million users, and said that more than 50,000 videos are uploaded to its service each day.
http://press.photobucket.com/blog/2007/04/photobucket_vid.html

Mountain View-Based YouSendIt Raises $10 Million in Second Round

Mountain View, Calif. -- YouSendIt, a Mountain View-based provider of web-based file delivery software to small and medium-sized businesses, said on Tuesday that it has raised $10 million in its second round of funding, led by Sigma Partners. Other contributors included previous investors Alloy Ventures and Sevin Rosen Funds. The company said that it will use the proceeds to broaden its market presence, as it moves toward unveiling new services that it said will expand content delivery and management services on the web. YouSendIt currently has more than 4 million registered users from 220 countries, who use the service to deliver time-sensitive and high-value digital documents.
http://www.yousendit.com/cms/pressroom

S.F.-Based Kyte.tv Raises Funds for User-Generated Interactive TV Show Service

San Francisco -- San Francisco-based Kyte.tv said that it has raised an undisclosed sum in its initial round of funding, and launched its service that allows users to create interactive TV shows and broadcast them on web sites, blogs, social networks and mobile phones. The company's backers include Atomico, Draper Fisher Jurvetson's Tim Draper, Howard Hartenbaum of Draper Richards and Ron Conway. Kyte.tv lets users take pictures or videos with a cell phone and instantly broadcast them to their kyte channels, which can publish content in real-time to MySpace pages, other web sites or mobile phones. Users also can create shows from other online content, and add polls, chat and other ways to interact with their audience in real-time.
http://www.kyte.tv
http://biz.yahoo.com/prnews/070423/clm054.html?.v=74

Report: California Leads Nation in High-Tech Employment, Job Creation

Santa Clara, Calif. -- California not only leads the nation in high-tech employment, but also net high-tech job creation, according to a new report by AeA, the nation's largest high-tech trade association. Based on statistics from 2005, the most recent year available, the state had 919,300 high-tech workers, more than doubling second-place Texas (445,800). What's more, California also led the nation in net tech job creation, adding 14,400 jobs. Nationally, the high-tech industry continued growing, adding nearly 150,000 net jobs for a total of 5.8 million. The industry added just over 87,000 in 2005. "We are pleased to see the rebounding of the tech industry," said William Archey, president and CEO of AeA.  "Not only do these jobs make critical contributions to the U.S. economy, but they also pay extremely well."
http://www.aeanet.org/PressRoom/prjj_cs2007_US1.asp 

San Francisco-Based Video Search Start-Up CastTV Lands $3.1 Million

San Francisco -- CastTV, a San Francisco-based developer of Internet video search technology, said on Thuesday that it has secured $3.1 million in its first round of venture capital financing, led by Draper Fisher Jurvetson. The company also said that it has signed a two-year deal with an unnamed major media entity to provide online video crawling and indexing technology for the company's online video search offering. CastTV was founded by a pair of Stanford alums to help users more easily find online videos. The company will beta launch its video search offering next month at www.CastTV.com , with a full consumer launch set for this summer.
http://corp.casttv.com/news/2007/04/23/casttv-closes-series-a-led-by-dfj/

Redwood City-Based Responsys Acquires S.F.-Based Loyalty Matrix

Redwood City, Calif. -- Responsys, a Redwood City-based provider of web-based email and marketing automation software, said on Tuesday that it has acquired San Francisco-based Loyalty Matrix, a maker of predictive analytics and contact optimization software. Financial terms of the deal were not disclosed. The companies said that all of Loyalty Matrix's employees will join Responsys. The acquisition is expected to expand Responsys' capabilities by enabling marketers to identify their most profitable customer segments and choose the optimal marketing campaigns for each. Loyolty Matrix's client base includes 24 Hour Fitness, Apple, the Chicago Sun-Times and DraftFCB.
http://www.responsys.com/
http://www.loyaltymatrix.com/
http://biz.yahoo.com/iw/070424/0242799.html

Palo Alto-Based Hewlett-Packard to Acquire Logoworks

Palo Alto, Calif. -- Hewlett-Packard (HP) said on Wednesday that it has signed a deal to acquire Arteis, a Utah-based company that operates Logoworks, a web-based provider of graphic design services. Financial terms of the deal were not disclosed. HP said that the acquisition will allow it to offer professional design services to small businesses at a fraction of market cost. Logoworks offers a range of packages, from simple logo design to the complete development of marketing collateral. The deal is expected to close by the end of July.
http://www.hp.com/
http://biz.yahoo.com/bw/070424/20070424006399.html?.v=1

Yahoo, Slate, Huffington Post to Host Online-Only Presidential Debates

Sunnyvale, Calif. -- Sunnyvale-based Yahoo said that it will play host, along with The Huffington Post and online magazine Slate, to two online-only presidential debates. Scheduled to take place after Labor Day, the online debates -- one for Democrats and one for Republicans -- will be moderated by PBS's Charlie Rose. Viewers will be able to ask direct questions of candidates and comment on which candidate is giving the best performance in real-time. "With presidential candidates announcing online and with campaign ads and fundraising increasingly online, presidential campaigns are moving to the Internet at breakneck speed. Online debates are the inevitable next step," said Arianna Huffington, co-founder and editor-in-chief of The Huffington Post.
http://biz.yahoo.com/bw/070423/20070423005545.html?.v=1 
http://elections.yahoo.com
http://www.slate.com 
http://www.huffingtonpost.com

San Jose-Based Xactly Lands $15 Million in Third Round of Funding

San Jose, Calif. -- Xactly, a San Jose-based developer of web-based sales compensation management software, said on Monday that it has raised $15 million in its third round of funding, led by Alloy Ventures. Bay Partners, Rembrandt Ventures, Outlook Ventures and Spinner Asset Management also participated. The company said that it will use a portion of the funds to drive customer adoption of its offerings outside of North America into the European and Asia-Pacific regions. "This investment sets us up to take advantage of the rapid expansion of the software-as-a-service (SaaS) market," said Christopher Cabrera, the company's  founder, president and CEO. Xactly's flagship product allows sales and finance executives to design, implement and manage sales compensation management programs. The company's customers include Informatica, Redback Networks, IronPort Systems and Blackboard.
http://www.xactlycorp.com/news_events/pr_042307.php

San Jose-Based Business Objects to Acquire Cartesis for $300 Million

San Jose, Calif. -- Business Objects, a large maker of business intelligence software with dual headquarters in San Jose and Paris, said on Monday that it will pay about $300 million in cash to acquire Cartesis, a France-based maker of software that helps clients better manage financial reporting, consolidations and planning. Founded in 1990, Cartesis has more than 1,300 corporate customers, 600 employees and 200 consultants. Customers include Air France, KLM, Cargill, Nissan and Standard Life. The acquisition is expected to close within 90 days, when Cartesis will become a part of Business Objects' Enterprise Performance Management product line organization.
http://www.businessobjects.com/news/press_release.asp?id=20070422_005093 

Oakland-Based AmberPoint Raises $9 Million in New Round of Funding

Oakland -- AmberPoint, an Oakland-based maker of service-oriented architecture (SOA) management software, said on Monday that it has secured $9 million in a new round of funding, led by SAP Ventures. Previous investors Crosslink Capital, Meritech Capital Partners, Motorola Ventures, Norwest Venture Partners and Sutter Hill Ventures also participated. AmberPoint said that it will use the new capital to increase its worldwide sales presence, as well as to expand its customer support teams to accommodate a growing roster of customers and partners. "We expect this to be our last funding, as we're now approaching our profitability targets," said John Hubinger, the CEO of AmberPoint.
http://www.amberpoint.com/releases/pr_161.shtml

Fremont-Based Oplink to Acquire Majority Stake in OCP for $85.4 Million

Fremont, Calif. -- Oplink Communications, a Fremont-based maker of optical networking components, said on Monday that it has signed a deal to acquire a majority stake in Woodland Hills-based Optical Communication Products (OCP) from owner Furukawa Electric. Under the deal, Oplink will pay $84.2 million in cash, as well as another $1.2 million in stock, for the 58% stake in the company owned by Furukawa. Oplink also has offered OCP's board of directors $1.50 a share in cash to acquire the remaining stake in the company. The addition of OCP, which designs and manufactures fiber-optic communication components and subsystems, is expected to broaden Oplink's portfolio of offerings and significantly expand its market. The companies' combined customer base includes Nortel, Cisco, Alcatel, Tellabs and Huawei.
http://investor.oplink.com/ReleaseDetail.cfm?ReleaseID=239000

Venture Capital Investments in Bay Area Companies Rises 10% in Quarter

San Francisco -- Bay Area companies raised about 10% more venture capital during the first quarter than the previous year, according to figures released on Monday by San Francisco-based Dow Jones VentureOne and Ernst & Young. Local firms raises $2.2 billion through 189 funding rounds, up from $2 billion in 196 rounds during the first quarter of 1996. The figures were in line with a national trend that saw venture investments rise 8% nationally to $6.96 billion in the quarter. "Q1 was a strong quarter for venture investment across the board," said Joseph Muscat, Americas director of the Ernst & Young Venture Capital Advisory Group. "A reasonably good exit climate for venture-backed companies… has opened the door for more companies to secure venture capital financing." Locally, the biggest jump came in the healthcare sector, where companies raised nearly twice as much ($751 million) as a year ago. They were led by Emeryville-based Intarcia Therapeutics ($50 million) and Fremont-based Xoft ($33 million), though information technology firms Actelis Networks of Fremont ($22 million) and AeroScout of San Mateo ($21 million) also closed large rounds during the period./
http://biz.yahoo.com/pz/070423/117877.html 
http://www.ventureone.com/

Mountain View-Based PodBridge Raises $8.5 Million

Mountain View, Calif. -- PodBridge, a Mountain View-based provider of podcast audience measurement and ad placement services, said that it has raised around $8.5 million in its second round of venture capital financing. Sutter Hill Ventures led the investment round, with previous investors Mayfield Fund and Worldview Technology partners also participating. PodBridge's services measure podcast listens and downloads, as well as audience profiles with demographics, listening habits and locations. The company also provides a podcast ad insertion service to customers such as VNU and Forbes.com.
http://www.podbridge.com 
http://www.podbridge.com/home/news/SeriesB407Final.pdf (PDF)

Palo Alto-Based Hercules Provides $5 Million in Debt Financing to CITTIO

Palo Alto, Calif. -- Hercules Technology Growth Capital, a Palo Alto-based specialty finance firm, said on Monday that it has provided $5 million in debt financing to San Francisco-based CITTIO, a maker of automated network and systems monitoring software. Jamie Lerner, the president and CEO of CITTIO, said that his company will use the capital to expand the sales and marketing efforts for its flagship product, WatchTower, as well as conduct additional research and development. CiITTIO is backed by a group of investors led by Hummer Winblad Venture Partners and JK&B Capital.
http://www.htgc.com/hercules_news.asp?NewsType=1
http://biz.yahoo.com/bw/070423/20070423005527.html?.v=1 

Campbell-Based Rainmaker to Raise up to $32.3 Million in Public Offering

Campbell, Calif. -- Rainmaker Systems, a Campbell-based provider of web-based sales and marketing software and related services, said that it will raise up to $32.3 million in a follow-on public offering. The company is selling 3.5 million shares for $8.50 each, with current stockholders selling another 666,000 shares. The company also could sell 625,000 more shares to cover over-allotments. The offering is expected to close April 25. Rainmaker caters to clients in a range of industries, including computer hardware and software, telecommunications and financial services.
http://www.rmkr.com/news.html

AT&T Confirms Apple iPhone Coming in Late June

Cupertino, Calif. -- AT&T has confirmed that Apple's iPhone is on target to go on sale at the end of June, but does not yet know how many units will be available at launch, Reuters reported. "Our expectations are good. Our testing has been good," Randall Stephenson, the COO of AT&T, told Reuters. "The iPhone is on target to launch in June." Stephenson said more than one million customers have contacted the company to express interest in purchasing an iPhone. "We got a million people waiting to buy it so we're hoping we get a million," he said.  Cupertino-based Apple ended months of speculation in January by introducing its iPhone, a handheld device that combines a mobile phone, widescreen video iPod and Internet access tool
http://news.yahoo.com/s/nm/20070418/tc_nm/iphone_att_dc_2

Dean Internet Guru Joe Trippi Joining John Edwards Campaign

Washington, DC -- Joe Trippi, the political strategist used the Internet to greatly boost the campaign of former Democratic presidential candidate Howard Dean, said that he has joined forces with Democrat John Edwards in his bid for the White House. The Edwards campaign announced that Trippi will be a "key member" of its media team, as well as a senior advisor. Writing in Edwards' campaign blog, Trippi said that he had expected to remain out of politics following Dean's 2004 campaign, but changed his mind following Edwards' decision to press on after the revelation of his wife Elizabeth's recurrence of cancer. "And that made me realize that I wasn't done trying to make a difference either," Trippi wrote. "[Edwards is] offering big ideas backed by real plans to change our country. And so his campaign is the place where I will work to make whatever difference I can." Trippi was hailed as an innovator during the Dean campaign for creating an official campaign blog and making use of various social networking technologies.
http://johnedwards.com/news/press-releases/200700419-trippi/
http://blog.johnedwards.com/story/2007/4/19/15828/7350

Hachette Filipacchi Media to Acquire S.F.-Based Jumpstart Automotive Media

San Francisco -- Hachette Filipacchi Media U.S, the New York-based subsidiary publisher of Car and Driver, Road & Track and Cycle World magazines, has reached an agreement to acquire Jumpstart Automotive Media, the San Francisco-based vertical advertising network focused exclusively on the automotive industry. Under the agreement, Hachette will make an initial cash payment of $84 million, with up to an additional $26 million, based on the attainment of certain earnings targets. Jumpstart will operate as a subsidiary of Hachette, retaining the Jumpstart brand and all of its employees. Jumpstart will immediately assume responsibility for the online advertising sales of CarandDriver.com, RoadandTrack.com and CycleWorld.com, the company said.
http://www.jumpstartautomotive.com/

San Jose-Based Avago Technologies Completes Tender Offer for Notes

San Jose, Calif. -- Avago Technologies, a San Jose-based supplier of analog interface components, said on Friday that it has completed its tender offer for a portion of its senior notes due in 2013. The company said that it has acquired $76.9 million of its $500 million in outstanding notes, paying $1,060 for each $1,000 in principal amount. The news comes less than three weeks after the company announced plans to acquire Infineon Technologies' Polymer Optical Fiber (POF) business, based in Germany.
http://www.avagotech.com/
http://www.avagotech.com/about/press/press-view.jsp?id=5821

Report: Majority of Teens Limiting Personal Info on Internet Profiles

Washington, DC -- The majority of teens say that they actively restrict the information they post to online profiles, keeping sensitive information like their full names and telephone numbers from strangers, according to a survey conducted by the Pew Internet and American Life Project. The organization surveyed 935 teens by phone. Of the 55% who said that they maintain profiles on sites like Facebook or MySpace, two-thirds said that their profiles are not visible to all Internet users. And  of those whose profiles are accessible to anyone, nearly half said that they give at least some false information. Seventy-nine percent of teens have posted photos of themselves, 29% include an email address and half list the name of their school.
http://www.pewinternet.org/PPF/r/211/report_display.asp 

Hayward-Based Metabolex Secures $32 Million in Fourth Round of Funding

Hayward, Calif. -- Metabolex, a Hayward-based biotechnology firm developing therapeutics for diabetes and related metabolic disorders, said on Thursday that it has raised $32 million in its fourth round of funding. MPM BioEquities, led the round, which also included participation from new investors AllianceBernstein, Deerfield Management and T. Rowe Price and numerous previous investors. The company plans to use the funds to accelerate the clinical testing of its lead drug candidate for dyslipidemia, as well as to advance several other preclinical programs.
http://www.metabolex.com/news/apr192007.html

Mountain View-Based Reliant Technologies Raises $15 Million

Mountain View, Calif. -- Reliant Technologies, a Mountain View-based developer of laser systems to repair and rejuvenate damaged skin, said on Thursday that it has raised $15 million in its fifth  round of funding, led by Delphi Ventures. Previous investors, including Three Arch Partners and Meritech Capital Partners, also participated. The company said that it will use the new capital to build its marketing, clinical education and distribution infrastructure. Reliant's lasers are used primarily by aesthetic physicians to treat wrinkles, pigmented lesions, acne scars and surgical scars.
http://biz.yahoo.com/bw/070419/20070419005280.html?.v=1
http://www.fraxel.com/

Emeryville-Based Pandora Networks Raises $6 Million in Funding

Emeryville, Calif. -- Pandora Networks, an Emeryville-based provider of unified communications services for businesses, said that it has raised $6 million in its first round of funding from the New York-based D.E. Shaw Group. The company said that it will use the proceeds to build out its infrastructure with investments in networking technology and expansions of its data center. It also plans to hire personnel for operations. Pandora is a provider of hosted communications services for small and mid-sized businesses. The company's core offering combines voice and IP calling, switchboard and call-distribution services, instant messaging and conferencing.
http://www.pandoranetworks.com/press/pr_20070418.html

Redwood City-Based Zazzle Acquires Berkeley-Based Confego

Redwood City, Calif. -- Zazzle, a Redwood City-based company that lets online customers create personalized apparel, posters, cards and stamps, said that it has acquired Berkeley-based Confego, which partners with large retail brands to offer customizable versions of their products. Financial terms of the deal were not disclosed. Confego co-founders Brennan Mulligan and David Gross will join Zazzle as vice presidents. The acquisition will give Zazzle Confego's proprietary software, as well as clients such as Reebok's RBK Custom.
http://biz.yahoo.com/prnews/070418/sfw053.html?.v=101
http://www.zazzle.com/

Fremont-Based Genitope to Sell 5.5 Million Shares in Public Offering

Fremont, Calif. -- Genitope, a Fremont-based biotechnology firm developing immunotherapies for the treatment of cancer, said on Thursday that it plans to sell 5.5 million shares of its stock in a public offering, underwritten by Punk, Ziegel & Company. Based on the stock's closing price on Thursday of $4.48, the offering should raise around $24.6 million. The company's lead product candidate, MyVax, is designed to activate a patient's immune system to identify and attack cancer cells.
http://biz.yahoo.com/bw/070419/20070419005447.html?.v=1
http://ir.genitope.com/phoenix.zhtml?c=142124&p=irol-newsArticle&t=Regular&id=987362&

San Jose-Based eBay Reports 52% Jump in Quarterly Profits

San Jose, Calif. -- Buoyed by strong performances from its core online auction business and PayPal online payments service, San Jose-based eBay on Wednesday reported first-quarter profits that jumped 52%, helping the online auction giant to Wall Street expectations. The company reported net income of $377.2 million in the quarter, up from $248.3 million a year ago, on revenue that rose 27% to $1.77 billion. On a per-share basis, excluding one-time items, earnings were $0.33, beating consensus analyst estimates by $0.03, according to a survey by Thomson Financial. "This first quarter of 2007 was a very strong one for the company," said Meg Whitman, eBay's president and CEO. "The strength of our core businesses, as well as the significant traction we're beginning to see across our newer businesses, helped us deliver great results across the board."
http://biz.yahoo.com/bw/070418/20070418006161.html?.v=1

Mountain View-Based Centrify Secures $15 Million in Third Round

Mountain View, Calif. -- Centrify, a Mountain View-based developer of auditing, access control and identity management software, said on Wednesday that it has raised $15 million in its third round of funding, led by Sigma Partners. Previous investors Mayfield Fund, Accel Partners and INVESCO Private Capital also participated in the round, which comes om the heels of a year in which the company more than triples its client roster to about 200. Centrify said that it will use the funds to further develop its software, increase direct and indirect sales coverage and expand its international presence. Centrify auditing, access control and identity management software is designed to centrally secure an organization's heterogeneous systems, web applications, databases and storage systems.
http://www.centrify.com/news/release.asp?id=2007041801