Silicon Valley Wire

Redwood City-Based EA Expands Plans for Job Cuts

Redwood City, Calif. -- Two months after unveiling plans to trim its workforce, Redwood City-based Electronic Arts (EA) announced on Friday that those cuts will be broader than originally expected. The video game developer and publisher said that it plans to cut about 1,000 jobs, or 10% of its workforce. That's up 4% from the company's announcement on Oct. 30. The restructuring, expected to save EA $120 million a year, also calls for consolidation or closure of at least nine studio and publishing locations. The majority of the cuts are expected to take place by March 31. "EA is implementing a plan to narrow its product portfolio to focus on hit games with higher margin opportunities," the company said in a statement.
http://www.ea.com
http://biz.yahoo.com/bw/081219/20081219005462.html?.v=1

Santa Clara-Based Macrovision Sells TV Guide Network for $255 Million

Santa Clara, Calif. -- Macrovision, the Santa Clara-based provider of copy-protection technology and media databases, said that it will sell its TV Guide Network to Allen Shapiro and One Equity Partners for $255 million. The value of the deal could rise by as much as $45 million, depending on the performance of TV Guide Network. "This divestiture will further streamline our business operations and once again demonstrates our ability to execute on Macrovision's vision of providing consumers with a uniquely simple home entertainment experience," said Fred Amoroso, president and CEO of Macrovision. "We remain committed to delivering leading interactive program guide technology, data solutions and video search capability as key ingredients to the future of the digital home." TV Guide Network is available in 83 million U.S. homes, while TVGuide.com claims over 15 million unique monthly visitors. Amoroso added that Macrovision also expects to divest its TVG Network horse racing wagering channel in early 2009.
http://www.businesswire.com/news/home/20081218005522/en 
http://www.macrovision.com 
http://www.tvguide.com

San Jose-Based Brocade Completes $2.6B Deal for Foundry Networks

San Jose, Calif. -- Brocade, a San Jose-based maker of data center networking equipment, said on Friday that it has completed its $2.6 billion acquisition of Santa Clara-based Foundry Networks, a maker of switching, routing, security and Internet traffic management products. Brocade initially announced the deal in July, but three months later announced a revised deal, worth about $400 million less. Mike Klayko, Brocade's CEO, said that the acquisition will allow his company to "offer a comprehensive IP and data center networking solution portfolio." Launched in 1996, Foundry has approximately 1,100 employees.
http://www.brocade.com
http://media.prnewswire.com/en/jsp/myPRNJ.jsp?profileid=1140076&resourceid=3888123

Apple Buys 3.6% Stake in Mobile Graphics Chip Firm Imagination

Cupertino, Calif. -- Apple has acquired a 3.6% stake in U.K.-based mobile graphics chip designer Imagination Technologies Group for about $5 million, according to a regulatory filing with the London Stock Exchange. Apple already had been licensing Imagination's technology. CNET speculated that Apple will use the company's PowerVR cores in future versions of its iPhone and iPod touch devices.
http://www.londonstockexchange.com/LSECWS/IFSPages/MarketNewsPopup.aspx?id=2050501&source=RNS
http://news.cnet.com/8301-13579_3-10126243-37.html  
http://www.imgtec.com 

Sunnyvale-Based Trimble Acquires Software Assets from KOREC

Sunnyvale, Calif. -- In its second acquisition this month, Sunnyvale-based Trimble, a developer of wireless and location tracking technology, said on Friday that it has acquired the FastMap and GeoSite software assets from KOREC, its distributor serving the U.K. and Ireland. Terms of the deal, which includes software development, professional services and business development teams, were not disclosed. Trimble said that the acquisition will allow it to expand its mapping and geographic information system tools in Europe, Africa and the Middle East. Trimble earlier this month also acquired the assets of Iowa-based Rawson Control Systems.
http://www.trimble.com/
http://www.trimble.com/news/release.aspx?id=121908a

November Chip Equipment Orders Fall 29% from 2007 Levels

San Jose, Calif. -- North America-based manufacturers of semiconductor equipment posted $805.4 million in orders during November, about 29% less than the prior year and 4% less than the previous month, according to new figures from San Jose-based industry association SEMI. The group also reported a book-to-bill ratio of 1.00, meaning that $100 worth of orders were received for every $100 of products billed for the month. "The book-to-bill ratio reached parity as billings have declined sharper than bookings over the past six months," said Stanley Myers, the president and CEO of SEMI. "2008 is closing with expected declines on the year, which have been further exacerbated by the deepening seismic global economic situation over the past quarter."
http://www.marketwire.com/press-release/Semi-931933.html

Apple to Exit Macworld Expo; No Steve Jobs Keynote This Year

Cupertino, Calif. -- Apple has announced that this will be the final year it exhibits at Macworld Expo, the annual trade show that has become the event where CEO Steve Jobs unveils the Cupertino-based company's latest creations. The company also said that Jobs will not deliver his traditional Macworld keynote address at next month's event. "Apple is reaching more people in more ways than ever before, so like many companies, trade shows have become a very minor part of how Apple reaches its customers," the company said in a statement. "Apple has been steadily scaling back on trade shows in recent years, including NAB, Macworld New York, Macworld Tokyo and Apple Expo in Paris." "I'm stunned that Apple has taken a 25-year-old event that has been the single best meeting place for the entire community of users and vendors of Apple-related products and treated it like a piece of garbage stuck to the bottom of its shoe," wrote Macworld.com editor Jason Snell, whose publication is not directly tied to the event produced by IDG World Expo. Macworld will be held at San Francisco's Moscone Center Jan. 5-9.
http://www.apple.com/pr/library/2008/12/16macworld.html 
http://www.macworld.com/article/137596/2008/12/apple_kills_expo_reax.html 

San Francisco-Based Tagged Lands $5 Million in Venture Debt

San Francisco -- Tagged, a San Francisco-based online social network launched in 2004, said onthat it has raised $5 million in a new round of venture debt, led by Horizon Technology Finance and Leader Ventures. The company said that it will use the proceeds to expand services and features on its site. Tagged.com now claims over 70 million registered users for its youth-targeted "social discovery network," which offers profile creation, widget embedding, integrated video and chat. "The additional funds will enable us to continue to support our growing traffic, which has increased by more than 500% this year," said Greg Tseng, the co-founder and CEO at Tagged.
http://www.tagged.com
http://biz.yahoo.com/prnews/081217/aqw505.html?.v=26

Milpitas-Based Sigma Designs to Acquire Fremont's Zensys

Milpitas, Calif. -- Sigma Designs, a Milpitas-based maker of digital media processors for consumer electronics, said on Thursday that it has acquired Fremont-based Zensys, a developer of wireless technology for the automation and remote control markets. Financial terms of the all-cash deal, expected to close by year's end, were not disclosed. Zensys' headquarters will be physically merged into the headquarters of Sigma Designs in Milpitas. Zensys is a developer of single-chip radio frequency chips called Z-Wave that have been designed into over 250 smart home products in the areas of audio/video entertainment, lighting and appliance control, energy management, access and security control and building automation, among others.
http://www.sigmadesigns.com 
http://www.businesswire.com/news/home/20081218005267/en

California Libraries to Get Faster Web Connections as Part of Program

Seattle -- A new pilot program announced on Thursday by the Bill & Melinda Gates Foundation aims to improve the Internet speeds at public libraries in seven states, including California. The organization, headed by the founder of Microsoft and his wife, has awarded nearly $7 million in grants to a nonprofit broadband Internet advocacy group and the American Library Association's Office for Information Technology Policy (OITP). Other states benefiting from the program include Arkansas, Kansas, Massachusetts, New York, Texas and Virginia. The goal is to boost connections at all public libraries in those states to at least 1.5 Mbps  "Public libraries across the country have played an integral role in closing the digital divide for millions of Americans, but local governments, communities, and library supporters must do more to ensure libraries can continue to provide fast, reliable Internet service for communities," said Jill Nishi, deputy director of U.S. Libraries at the Gates Foundation.
http://www.gatesfoundation.org/press-releases/Pages/faster-internet-connections-in-libraries-081218.aspx

Axeda Acquires Technology, Assets from Redwood City-Based Questra

Redwood City, Calif. -- Axeda, a Massachusetts-based developer of remote service software, said that it has acquired the technology and related assets of Redwood City-based counterpart Questra. Financial terms of the deal were not disclosed. With the acquisition, Axeda will have more than 100 product manufacturers as clients, including EMC, GE Healthcare, NetApp, Philips and Siemens. "The Questra team has a proven history of enabling customers to integrate remote service into their business processes," said Dale Calder, the president and CEO of Axeda.
http://www.axeda.com 
http://www.axeda.com/pr_12_16_08/news_press_detail.htm

Sunnyvale-Based Silicon Storage Technology to Cut 120 Jobs

Sunnyvale, Calif. -- Hit hard by the weakening global economy, Silicon Storage Technology (SST), a Sunnyvale-based developer of flash memory semiconductor products, said on Wednesday that it will cut about 120 jobs -- or 17% of its workforce -- by the end of this year. The move comes as the company lowered its revenue expectations for the current quarter to $56-$58 million from previous estimates of $63-$68 million. SST said that reducing its headcount will lessen expenses by about $13 million in 2009. "The recent rapid deterioration in worldwide macroeconomic conditions has resulted in a significant decline in consumer spending, which continues to have a strong impact on sales across all of our product categories," said Bing Yeh, the company's president and CEO. "Considering the uncertainty over how prolonged this downturn will be, we are taking decisive and necessary actions to control our costs."
http://www.sst.com
http://biz.yahoo.com/prnews/081217/sf52998.html?.v=1

Mountain View-Based Pixim Lands $13 Million in New Funding Round

Mountain View, Calif. -- Pixim, a Mountain View-based developer of imaging technology for the surveillance camera industry, said on Wednesday that it has landed $13 million in a new round of funding from previous investors Mayfield Fund, Ridgewood Capital and Tallwood Venture Capital. The company said that it will use the proceeds to accelerate its growth in foreign markets and enhance product development. Pixim's image sensors and processors are incorporated into more than 300 models of surveillance cameras. The company's technology is designed to improve picture quality under a wide variety of lighting conditions.
http://www.pixim.com
http://biz.yahoo.com/iw/081217/0461059.html

Santa Clara-Based Chegg.com Raises $25M for Textbook Rental Service

Santa Clara, Calif. -- Chegg.com, the Santa Clara-based developer of an online textbook rental service for college students, said on Wednesday that it has raised $25 million in its third round of funding, co-led by Kleiner Perkins Caufield & Byers (KPCB) and Foundation Capital. Previous investors Gabriel Venture Partners and Primera Capital also took part in the round, which the company will use to grow the site and increase its catalog of textbooks. The company said that students using its service can save as much as 80% per semester on their textbook bills. Students also have the ability to buy books through the site, which tells them at the time of purchase exactly how much they will receive at the end of the semester if they choose to sell their books back to the company. Founded in 2005, the company launched its textbook rental service in July 2007.
http://www.chegg.com
http://biz.yahoo.com/prnews/081217/law024.html?.v=101

Report: Former AOL Head Not Trying to Acquire Yahoo

Sunnyvale, Calif. -- Contrary to widespread reports that surfaced earlier this month, former AOL head Jonathan Miller is not trying to acquire Sunnyvale-based Yahoo and isn't a candidate to replace departed CEO Jerry Yang, Bloomberg reported, citing people familiar with the matter. The news service said that Miller, a founding partner in New York-based venture firm Velocity Interactive Group, simply has been "scoping out new media investments." While declining to comment on his involvement with Yahoo, Miller told Bloomberg that he wants to invest in online video and ad firms that cater to people who watch TV and read news on the Internet. The Wall Street Journal, however, said that it stands behind a recent article claiming that he has been attempting to raise money to buy all or part of Yahoo. A day later, billionaire financier Carl Icahn, a major Yahoo investor, told CNBC that he would oppose such a move. Miller served as the chairman and CEO of AOL from 2002-2006.
http://www.bloomberg.com/apps/news?pid=20601204&sid=aUFHbNfEmhbs

Sunnyvale-Based PLX Technology to Acquire Oxford Semiconductor

Sunnyvale, Calif. -- PLX Technology, a Sunnyvale-based maker of I/O interconnect semiconductors, said that it will acquire Milpitas-based Oxford Semiconductor, a provider of silicon and software for the consumer and small office storage markets. Under the deal, expected to close in January, PLX will acquire all of Oxford's shares in exchange for 5.6 million of its shares, plus a promissory note for $14.2 million. "Through this acquisition, PLX will have a leadership position in two of the fastest-growing interconnect chip markets -- PCI Express-based systems and external-storage," said Ralph Schmitt, the president and CEO of PLX. Launched in 1992, Oxford generated $29 million in revenue through the first nine months of this year. Most of its employees are based in its U.K. design center.
http://www.oxsemi.com
http://www.plxtech.com/
http://www.plxtech.com/about/news/pr/?y=2008&rel=1216

Survey: VCs Predict Difficult 2009, Followed by Recovery

Arlington, Va. -- The coming year will most likely be a difficult one for U.S. venture capitalists, who predict a slowdown in investing across most sectors and a continued weakened exit market, according to a new survey by the National Venture Capital Association (NVCA). Most VCs surveyed, however, predict a recovery in 2010, with the IPO market expected to re-open and those companies and venture firms that weathered the storm emerging stronger. "The recession and shuttered IPO market will place tremendous pressure on portfolio companies to tighten their belts and re-tool where necessary," said Mark Heesen, president of the NVCA. "That said, most venture capitalists will say that a down market is the best time to invest when valuations and competition are lower. There is no recession on innovation and great ideas will still get funded -- especially in sectors that have more insulated demand such as clean technology and life sciences." The survey includes the predictions of more than 400 venture capitalists from across the U.S.
http://www.nvca.org/pdf/09PredixRelease.pdf (PDF)
http://www.nvca.org/

S.F.-Based IA Global Receives Offer to Sell Majority Stake

San Francisco -- IA Global, a San Francisco-based investor in consumer, technology, services and health companies in the Pacific Rim region, said on Wednesday that Hong Kong-based Golden Century Wealth Investment has offered to acquired at least 51% of the company for $0.15 a share.
IA's board of directors said that it is considering the offer. IA also said that Brian Nelson and Mark Scott have resigned from its board. Nelson, the CEO of ValueCommerce, and Scott, the COO, CFO and secretary of IA Global, both said that they plan to devote all of their efforts toward their full-time positions.
http://www.iaglobalinc.com/
http://www.businesswire.com/news/home/20081217005396/en
http://www.businesswire.com/news/home/20081217005383/en

 

San Francisco-Based Aravo Solutions Raises $7 Million in Fourth Round

San Francisco, Calif. -- Aravo Solutions, a San Francisco-based developer of web-based software designed to help users better manage supplier information, said on Tuesday that it has raised $7 million in the initial close of its fourth round of funding, led by Charles Schwab/Big Sky Partners. Stephen Friedman, the retired chairman of Goldman Sachs; Tony Mayer, the former CEO of JP Morgan Capital, and a syndicate of senior partners and executives from Goldman Sachs and Morgan Stanley also participated. The company, which now how raised $30 million since its inception in 2000, said that it will use the funds to expand its sales, engineering and delivery capacity, as well as to open new offices in the U.S. and India. Aravo is planning a second close of the round in January. 
http://www.aravo.com
http://biz.yahoo.com/iw/081216/0460690.html

S.F.-Based BitTorrent Recapitalizes; Returns Some Money to VCs

San Francisco -- BitTorrent, the San Francisco-based file-sharing software company founded by the creators of the peer-to-peer protocol, has returned the $17 million financing round that it announced in June to investors, opting instead to take $7 million at a substantially reduced valuation of $28 million, TechCrunch reported. The company's investors include Accel Partners, DCM and DAG Ventures. BitTorrent, which recently shuttered its web entertainment download store, cited the overall economy, inability to raise funds from other sources, and the fact that its business is "not gaining sufficient traction" for the drastic move. The company recently saw the departure of Ashwin Navin, its co-founder and president, and CEO Douglas Walker.
http://www.bittorrent.com
http://www.techcrunch.com/2008/12/14/bad-times-for-bittorrent-17-m-financing-undone-valuation-plummets/
http://www.techcrunch.com/2008/12/15/the-extraordinary-happenings-at-bittorrent/

Battery Ventures Leads $10.5 Million Funding Round for BlueKai

Menlo Park, Calif. -- Battery Ventures, a technology-focused venture capital with dual headquarters in Menlo Park and Massachusetts, said on Tuesday that it has led a new $10.5 million funding round for Seattle-based BlueKai, developer of an online consumer data exchange for marketers, ad networks and publishers. Previous investor Redpoint Ventures also participated in the round, which was the company's second. Satya Patel, principal of Battery Ventures, joins the company's board of directors. BlueKai partners with data sellers to aggregate anonymous shopping and research behaviors across the Internet. The data is then auctioned to help buyers improve their online ad targeting campaigns. BlueKai also has an office in Cupertino.
http://www.bluekai.com
http://www.bluekai.com/press/20081216.html

JackBe Lands $5 Million, Names Wayne Jackson as Chairman

Fremont, Calif. -- JackBe, a developer of "mashup" software designed to help businesses using service-oriented architecture (SOA), said on Tuesday that it has raised $5 million in new funding and appointed industry veteran Wayne Jackson as its new chairman. Previous investors Harbert Venture Partners, Core Capital Partners, Blue Chip Venture Company, Intel Capita, and Darby Technology Ventures participated in the financing, which the company will use to expand its sales, marketing and partner activities. Jackson is the former CEO of Sourcefire, leading that company through its initial public offering (IPO) in March 2007 before stepping down earlier this year. He also co-founded Riverbed Technologies, which was acquired by Aether Systems in 2000. JackBe is based in Maryland, but has its research and development and engineering operations in Fremont.
http://www.jackbe.com
http://www.jackbe.com/news_events/jb_press_release_121608.php

San Francisco-Based Dotblu Lands $2 Million in First Round

San Francisco -- Dotblu, the San Francisco-based developer of an online casual games community, has raised $2 million in its first round of funding, PEHub.com reported, citing a regulatory filing. Investors included Maples Investments and D.E. Shaw. Dotblu offers prediction questions, quizzes and online flash games that players compete in to win BluBucks, a virtual currency.
http://www.pehub.com/26358/dotblu-raises-2-million/ 
http://www.dotblu.com 

Sunnyvale-Based Silicon Graphics to Cut 225 Jobs

Sunnyvale, Calif. -- Silicon Graphics Inc. (SGI), a Sunnyvale-based developer of server, virtualization and storage products, said that it plans to cut 225 jobs -- or 15% of its workforce -- as part of a larger restructuring. The company said that several executive and senior-level positions will be included in the cuts. "The impact of the credit crisis and weakened global economy has caused SGI, along with our customers and other companies in our industry, to reduce expense levels to reflect the current business environment," said Bo Ewald, the CEO of SGI. "Today's difficult but necessary actions will help us retain some momentum and a stronger, sustainable business model."
http://www.sgi.com
http://biz.yahoo.com/prnews/081211/aqth547.html?.v=12

San Jose's Fairchild Semiconductor to Cut 12% of Staff

San Jose, Calif. -- Joining scores of other companies needing to trim costs in lean economic times, San Jose's Fairchild Semiconductor on Friday said that it will cut 12% of its workforce, or approximately 1,100 jobs. The company, which supplies semiconductors designed to optimize system power, expects to save $33 million a year as a result of the moves. "We are vigorously managing our business to reduce operating expenses and capital spending to drive cash flow," said Mark Thompson, Fairchild's president and CEO. "While current market conditions are definitely a catalyst, the restructuring should be viewed as part of an ongoing commitment to increasing the efficiency of our operations." Thompson said that the company's key research and development projects won't be affected. The company, which is based in Maine but has a major corporate presence in San Jose, said that it expects to report fourth-quarter revenue of around $320 million, far less than its earlier projections of $338-$360 million.
http://www.fairchildsemi.com
http://www.fairchildsemi.com/news/2008/0812/PR_Q4_2008_Restructure_121208.html

San Francisco-Based DecisionView Lands Fourth Round of Funding

San Francisco -- DecisionView, a San Francisco-based developer of software designed to help life sciences firms improve the performance of their clinical trials, said that it has raised an unspecified amount in its fourth round of funding, from Granite Ventures, Adobe Ventures and Aeris Capital. The company said that it will use the proceeds to take advantage of growth opportunities. Its flagship software, known as StudyOptimizer, is a web-based tool designed to help clients optimize the process of clinical trial recruitment and enrollment.
http://www.decisionview.com
http://biz.yahoo.com/prnews/081210/aqw073.html?.v=69

Palo Alto-Based Accel Closes More Than $1 Billion in New Funds

Palo Alto, Calif. -- Brushing aside worries about an economic downtown, Palo Alto-based technology venture capital firm Accel Partners on Thursday closed a pair of new funds totaling more than $1 billion. The firm's $480 million Accel Growth Fund will focus on growth equity opportunities across a range of sectors, including information technology, the Internet, digital media, mobile, networking, software and services. It's $525 million Accel London III fund will invest in early stage and growth companies across Europe and Israel in the areas of IT, the Internet, software, media, mobile and communications. "We're very pleased with the support of our long-time investors in these unique economic times," said Jim Breyer, a partner at Accel.
http://www.accel.com/
http://www.accel.com/news/news_one_up.php?news_id=215

San Francisco-Based Jaspersoft Raises $12.5 Million in Fifth Round

San Francisco -- Jaspersoft, a San Francisco-based developer of open source business intelligence software, said on Wednesday that it has secured $12.5 million in its fifth round of funding, led by Adams Street Partners. Open source software firm Red Hat also participated, as did previous investors Morgenthaler Ventures, DCM, Partech International, Scale Venture Partners and SAP Ventures. Jaspersoft said that it will use the proceeds to continue to scale its business operations worldwide. The company's software has been downloaded more than 7 million times, and its online collaboration forum, JasperForge, is home to more than 89,000 registered developers.
http://www.jaspersoft.com/
http://www.jaspersoft.com/nw_press_jaspersoft_twelve_five_million.html

Sunnyvale-Based MoSys to Exit Analog/Mixed Signal Product Lines

Sunnyvale, Calif. -- Looking to cut costs, Sunnyvale-based MoSys, a developer of system-on-chip memory products, on Wednesday announced plans to exit its analog/mixed-signal product lines, including the mixed-signal chip designs that it acquired from Atmel just last year. About 90 jobs in China and Romania will be eliminated as a result of the decision, which the company expects to save it $6 million a year. MpSys said the move is part of its plan to jettison unprofitable and non-core product lines, reduce losses from operations and focus on the development and licensing of its memory technologies. "We have determined that the time and investment required to further support the analog/mixed-signal product lines is not in the best interest of the company or its stockholders, especially when considering the current global economic environment," said Len Perham, the company's president and CEO.
http://www.mosys.com
http://www.businesswire.com/news/home/20081210006112/en

Mountain View-Based Anvato Lands $2 Million in Funding

Mountain View, Calif. -- Anvato, a Mountain View-based developer of technology designed to let content publishers track and monetize their content, said on Wednesday that it has raised the first $2 million of a planned $4 million first round of funding, led by Oxantium Ventures. Anvato said that it will use the funds to launch AdMatch, its video advertising platform that enables video publishers to track and monetize their online videos through contextual advertising. The company recently launched its video identification and monetization service, which uses computer machine vision to analyze videos, without the need for embedded meta-tags or watermarks. The technology is used to track copyrighted videos across the Internet and control their distribution and monetization from a single point.
http://www.anvato.com
http://www.anvato.com/newsfull.php?id=6

MySpace Links MySpaceID to Google Friend Connect

Mountain View, Calif. -- MySpace, the social networking giant owned by News Corp., has partnered with Mountain View-based Google to make its "MySpaceID" service compatible with Google's own similar Friend Connect service, the Associated Press reported. MySpaceID allows a single login to work on multiple sites., MySpace told the AP that blogs and smaller sites should now find it easier to integrate Google's service. Palo Alto-based rival Facebook also offers its own universal login service, called Facebook Connect.
http://news.wired.com/dynamic/stories/T/TEC_OPEN_MYSPACE?SITE=WIRE&SECTION=HOME&TEMPLATE=DEFAULT&CTIME=2008-12-09-07-46-57

S.F.-Based ClerkDogs Offers Human-Powered Film Recommendations

San Francisco - A former video store owner on Tuesday launched ClerkDogs, a San Francisco-based movie recommendation service that mixes technology with the movie analysis of actual former video store clerks. Founder Stuart Skorman, one of the pioneers of the recommendation technology known as collaborative filtering used by Netflix and other brands, believes that technology has taken the movie prediction business as far as it can go, and "requires a mix of man and machine similar to complementary destinations such as Wikipedia for information or Pandora for music." ClerkDogs' core tool uses 35 mood-defining attributes that can be adjusted, giving users a list of movie matches selected by the clerks. The company is now in beta mode, featuring films specifically in the crime and suspense genres, with other genres to be added. Skorman opened his first brick and mortar video store in 1985 and moved to the web in 1995 when he founded Reel.com, which he sold three years later to Hollywood Entertainment for $100 million.
http://www.businesswire.com/news/home/20081209005696/en 
http://www.clerkdogs.com

AOL's Bebo Launches Big U.S. Push with Release of "Social Inbox"

New York -- Seven months after completing its $850 million acquisition of U.K.-based online social network Bebo, AOL on Wednesday officially kicked off the site's U.S. push with the release of a "Social Inbox" that combines email, social networking and media recommendations in a single interface. The new Bebo tool aggregates feeds and updates from services that as Twitter, Flickr, Del.icio.us, YouTube and AIM, among others, also allowing users to check their email from Gmail, Yahoo Mail and AOL Mail. In addition, the more than 100 million users of AOL and its AIM instant messenger can now log directly into Bebo using their existing screen names. "The current fragmented social networking environment makes keeping up-to-date with others increasingly difficult," said Joanna Shields, the president of  AOL People Networks. "Bebo’s new Social Inbox is our first step in solving this problem." The release is the first in a series of expected announcements for Bebo, which currently stands as the No. 3 social network behind Palo Alto-based Facebook and MySpace.
http://www.bebo.com
http://biz.yahoo.com/bw/081210/20081210005186.html?.v=1

Mountain View-Based Google Formally Opens DC-Area Office

Reston, Va. -- During an opening event on Tuesday, Mountain View-based Google inaugurated a new office in the suburbs of Washington, DC that will focus on the federal government. Vint Cerf, Google’s "chief Internet evangelist" who is widely known as the creator of the Internet, will co-manage the office with Mike Bradshaw, head of Google's government sales. The 15,000-square-foot office, which has been used since August, currently has 30 full-time employees. Bradshaw said Google's offerings, which are generally ad-supported and free to consumers, are increasingly being tweaked for government and business purposes. Over 10 U.S. cabinet departments currently use Google's search functions on their public web sites and intranets. Bradshaw said Google is repackaging many offerings -- such as its mapping, search and collaboration technology -- to allow governments and businesses to customize their offerings. In addition to the Reston, Va. office, Google also has a public affairs office in Washington, DC.

Sausalito-Based Triton Distribution Systems Acquires Germany's ZTS

Sausalito, Calif. -- Triton Distribution Systems, a Sausalito-based provider of web-based travel distribution and procurement services, said on Tuesday that it has acquired Germany-based travel services firm ZTS. Financial terms of the deal, being financed through a five-year note, were not disclosed. Triton said that the acquisition immediately provides it with an established European hub of sales, marketing and customer support, as well as a second data center. The companies already have combined their respective desktop tools into a new tool called ReservationExpert-TourSelect, which is now in beta. "This acquisition provides us with a set of deals for European travel that would have taken years to individually negotiate, a trusted and loyal customer base and little to no duplication of corporate services," said Gregory Lykiardopoulos, the chairman and CEO of Triton.
http://www.tritonds.com
http://www.businesswire.com/news/home/20081209006129/en

San Francisco-Based Roost Secures $8 Million in Second Round

San Francisco -- Roost, the San Francisco-based developer of a search engine for homes, said on Tuesday that it has secured $8 million in its second round of funding, led by Shasta Ventures. Previous investors General Catalyst Partners, The Cross Country Group and Geolo Capital also participated in the round, which the company will use to expand into additional markets. Also on Tuesday, the company announced a partnership with First American CoreLogic that will bring foreclosed home listings to its site. The new listings will boost Roost's overall listings to more than 3 million. Founded in 2007, Roost launched iuts site earlier this year.
http://www.roost.com
http://biz.yahoo.com/bw/081209/20081209005384.html?.v=1

Mountain View-Based Kosmix Raises $20 Million in Funding

Mountain View, Calif. -- Kosmix, a Mountain View-based developer of search engine technology, said on Tuesday that it has raised $20 million in a new round of funding led by Time Warner. Previous investors Accel Partners, Lightspeed Venture Partners and Dag Ventures also participating. In addition, Ed Zander, the former chairman and CEO of Motorola, become a private investor and advisor to the company, joining Jeff Bezos of Amazon.com and Bill Miller of Legg Mason. Kosmix, which now has raised $55 million to date, said that its sites, including health site RightHealth, draw 11 million unique visitors a month. The company on Tuesday also launched a beta version of its www.kosmix.com, which organizes the Internet by topic. The site is driven by the company's categorization engine, which has been in development over the past four years.
http://www.kosmix.com
http://biz.yahoo.com/bw/081209/20081209005498.html?.v=1

Pleasanton-Based Bivio Networks Lands $15.8 Million in New Funding

Pleasanton, Calif. -- Bivio Networks, a Pleasanton-based developer of networking systems key to network security and control, said on Tuesday that it has landed $15.8 million in a new round of funding, led by Silver Creek Ventures. New investors ITOCHU, ITOCHU Techno-Solutions and Cross Technology Partners also joined previous investors InterWest Partners, Storm Ventures, Venrock Associates and Goldman Sachs in the round. Bivio said that it will use the proceeds to accelerate global sales, expansion of operations and product development. The company supplies networking systems for deep packet inspection (DPI)-enabled applications and services.
http://www.bivio.net
http://www.bivio.net/news_releases/120908-funding.htm

Sunnyvale-Based RiseSmart Raises $3 Million in First Round

Sunnyvale, Calif. -- RiseSmart, a Sunnyvale-based provider of human-powered job search and corporate outplacement services via the Internet, said on Tuesday that it has raised $3 million in its first round of funding from Norwest Venture Partners (NVP). Founded in early 2007, the company previously had received $1.5 million in seed, and launched its services commercially last February. RiseSmart's consumer service offering, known as RiseSmart Job Concierge, is designed to identify and screen job openings for those seeking jobs that pay at least $100,000. The company also operates a corporate service that also includes resume preparation and other services designed to assist a corporations' laid-off workers.
http://www.risesmart.com/
http://biz.yahoo.com/bw/081209/20081209005798.html?.v=1

Los Gatos-Based Netflix Lays Off 50 Technical Specialists

Los Gatos, Calif. -- Netflix, the Los Gatos-based online DVD rental service, said that it plans to lay off 50 "technical specialist" employees in its customer service department, citing in part the decreasing number of problems that customers are now experiencing with its streaming web player. The company recently switched to using Microsoft's Silverlight platform for video delivery. "This action doesn't affect our main Customer Service group, which has more than 300 people and continues to expand with the growth of our customer base," Steve Swasey, the company's vice president of corporate communications, wrote in a blog post. "And its not indicative of Netflix as a whole as we continue to add engineers and other positions throughout the company." http://blog.netflix.com/2008/12/changes-in-customer-service.html 

AeA, ITAA to Merge, Become Technology Association of America

Washington, DC -- Following several months of discussions, two of the nation's largest technology trade associations, AeA and the Information Technology Association of America (ITAA), said on Tuesday that they have agreed to merge. Both groups said that their boards have approved a deal to combine their respective memberships and programs, creating a new entity called the Technology Association of America. The merger is expected to close by year's end. "For all of its impact on everyday life, the technology industry has had insufficient clout in Washington and the state capitals -- until now," said Hank Steininger, chairman of the ITAA. Earlier this year, the ITAA merged with the Government Electronics and Information Technology Association (GEIA), while AeA has been in talks with the Electronic Components Association (ECA). The new organization, representing approximately 2,000 member companies, will advocate on technology issues in state capitals, as well as provide programs in every industry center.
http://www.aeanet.org
http://www.itaa.org
http://www.itaa.org/newsroom/headline.cfm?ID=3023

Report: Cupertino-Based Apple to Sell iPhone at Wal-Mart

Cupertino, Calif. -- Apple plans to begin selling its iPhone at Wal-Mart stores as early as next week, Bloomberg reported, citing store employees at five locations in California. There was no word of whether Wal-Mart would offer the iPhone for $99, as was rumored by the Boy Genius Report blog last week. Employees in the mobile phone departments at five Wal-Mart stores told Bloomberg that they are being trained to sell two iPhone models. A clerk in Stockton said that they are expected to go on sale around Dec. 15, while two other representatives said Wal-Mart will have them available between Christmas and the New Year. A clerk from the Vacaville, Calif. Wal-Mart told the news service that the 8GB and 16GB iPhones will go on sale Dec. 28 for $199 and $299, respectively.
http://www.bloomberg.com/apps/news?pid=20601103&sid=a4YIU21gLaSY&refer=us
http://www.boygeniusreport.com/2008/12/04/apple-to-sell-a-99-4gb-iphone-at-walmart/

Sunnyvale-Based Expresso Fitness Lands $14M in Debt and Equity Funding

Sunnyvale, Calif. -- Expresso Fitness, a Sunnyvale-based developer of interactive cardio fitness systems, said on Monday that it has raised $14 million in a new round of debt and equity funding. The company received new investments from previous backers Sierra Ventures, Physic Ventures, and Enterprise Partners Venture Capital, has well as a $7 million working capital line of credit from Silicon Valley Bank. "We are now better armed financially to capture more market share from our competitors," said Brian Button, the company's CEO. Founded in 2003, Expresso in 2006 launched its interactive cycling system, allowing riders to choose from over 30 virtual reality courses, then view their fitness results through any web browser. The company offers both upright and recumbent bike models. Expresso also raised $12 million in its fourth round last May.
http://www.expresso.com
http://biz.yahoo.com/prnews/081208/aqm061.html?.v=61

Report: Layoffs to Begin at Sunnyvale-Based Yahoo on Wednesday

Sunnyvale, Calif. -- Amid a rash of layoffs precipitated by the economic downturn, Sunnyvale-based Yahoo plans to begin laying off as many as 2,000 employees on Wednesday, All Things D reported. The company previously announced in October that it planned to cut at least 10% of its workforce, or 1,400-1,500 employees, but several sources at Yahoo told All Things D the actual number will be higher. "Things have changed since these layoffs were announced," a source close to the situation told All Things D. "But those additional cuts might not come Wednesday, but through attrition and a hiring freeze first." Last month, Yahoo CEO Jerry Yang announced plans to step down. The company has not yet named a replacement.
http://kara.allthingsd.com/20081208/yahoo-moves-ahead-with-layoffs-on-wednesday-the-details/

Menlo Park-Based Droplet Technology Acquires Sipcall

Menlo Park, Calif. -- Droplet Technology, a Menlo Park-based developer of mobile video technology, said on Friday that it has acquired Sipcall, a Menlo Park developer of mobile Voice-over-IP (VoIP) services for consumers.  Financial terms of the deal were not disclosed. Christian Rees, Sipcall's founder and president, has joined Droplet as its director of service platforms. Sipcall in April launched "Hipsip," a service that allows users to make VoIP calls worldwide from any mobile phone's web browser, using only their local mobile calling plan.
http://www.droplet-tech.com/
http://www.sipcall.com/
http://media.prnewswire.com/en/jsp/search.jsp?searchtype=full&option=headlines&criteriadisplay=show&resourceid=3879010

Palo Alto-Based HP Says Head of Newly Acquired EDS to Retire

Palo Alto, Calif. -- More than three months after completing its $13.9 billion acquisition of  Electronic Data Systems (EDS), Palo Alto-based Hewlett-Packard said on Friday that Ron Rittenmeyer, the president and CEO of EDS, will retire at the end of this year. The company also announced that EDS will become a unit within its Technology Solutions Group (TSG), which accounted for 43% of HP's overall revenue in the fiscal fourth quarter. Joe Eazor will assume the role of senior vice president of EDS, with responsibility for the unit's operations. Rittenmeyer joined EDS in 2005 and was named chairman and CEO in 2007.
http://www.hp.com
http://biz.yahoo.com/bw/081205/20081205005725.html?.v=1

Creation Technologies to Acquire Santa Clara-Based ProWorks

Santa Clara, Calif. -- Creation Technologies, a Vancouver-based manufacturer of complex electronic products, said on Friday that it has acquired Santa Clara-based rival ProWorks. Financial terms of the deal were not disclosed. Creation said that the acquisition broadens its West Coast footprint. It marks the company's third acquisition this year, and eighth in the past five. Creation's said that it plans to integrate its San Jose business unit into the current ProWorks facility beginning in January. The combined unit will employ more than 275 people and support over 35 active customers. Bill Moradkhan, ProWorks' current president and CEO, will lead the unit.
http://www.creationtech.com/
http://www.pro-works.com/
http://media.prnewswire.com/en/jsp/myPRNJ.jsp;jsessionid=43A5B3778C0C7A6951C1ED61115AAC9B.tomcat2?profileid=1140076&resourceid=3879131

Lumera Shareholders Approve Acquisition by Palo Alto-Based GigOptix

Palo Alto, Calif. -- GigOptix, a Palo Alto-based maker of high-speed optical chips, said that shareholders of Bothell, Wash.-based Lumera have approved its acquisition of the company. The deal is now expected to close on Tuesday. when each share of Lumera will be converted into 0.125 shares of GigOptix. Those shares then will begin trading Wednesday morning on the OTC Bulletin Board. "Lumera's advanced polymer modulators combined with GigOptix's high speed drivers and receivers will provide highly differentiated products addressing the key challenges that face the industry today," said Avi Katz, the chairman and CEO of GigOptix.
http://www.gigoptix.com
http://www.lumera.com
http://www.businesswire.com/news/home/20081204006160/en

San Francisco-Based GoFish Secures $22.5 Million Through Placement

San Francisco -- GoFish, a San Francisco-based online youth entertainment and media network that draws about 69 million unique visitors a month, said on Thursday that it has secured $22.5 million through a private placement co-led by Panorama Capital, Rustic Canyon Partners and Rembrandt Venture Partners. The company will use part of the proceeds to repay all of its outstand debt and further expand its sales and marketing team. Under the terms of the financing, the investors have committed to invest $22.5 million, with an option to invest an additional $2.5 million over the next few weeks.
http://www.gofishcorp.com
http://www.businesswire.com/news/home/20081204005379/en

Mountain View-Based PureWave Networks Raises $12 Million

Mountain View, Calif. -- PureWave Networks, a Mountain View-based maker of wireless base stations, said on Thursday that it has raised $12 million in its second round of funding. New investors ATA Ventures and Leapfrog Ventures joined previous investors Allegis Capital and Benhamou Global Venture in the round, which the company will use to commercially launch its high-speed wireless (WiMAX) base stations in North America and other select markets. The five-year-old company's base stations enable the delivery of voice, video, data and mobile services.
http://www.pwnets.com
http://www.businesswire.com/news/home/20081204006033/en