Silicon Valley Wire

Palo Alto-Based HP Names Leo Apotheker as New CEO

Palo Alto, Calif. -- Nearly two months after losing its leader to a sexual harassment scandal, Palo Alto-based HP on Thursday officially hired a replacement. The company named Leo Apotheker, the former CEO of SAP, as its new president and CEO. The company's board also has named Ray Lane, managing partner at Kleiner Perkins Caufield & Byers, as its non-executive chairman. Apotheker succeeds Cathie Lesjak, who was named interim CEO in early August. Lesjak will continue her role as CFO. The news seemingly ends a tumultuous seven-week period for the company, which began Mark Hurd stepped down as HP's chairman, president and CEO following an internal investigation into the possible sexual harassment of a female contractor. Though the investigation found no violation of HP's sexual harassment policy, the company said it did uncover violations of its standards of business conduct. Hurd subsequently hired as the co-president of Oracle. Apotheker had worked for SAP since 1988, serving as its CEO, co-CEO, deputy CEO and president of global customer solutions and operations. "HP has the right assets and market positions, and now we have the best team to realize the company’s enormous potential," said Robert Ryan, HP's lead independent director.
http://www.hp.com/hpinfo/newsroom/press/2010/100930c.html

Mountain View-Based Retail Solutions Raises $15.2 Million in Funding

Mountain View, Calif. -- Retail Solutions, a Mountain View-based developer of web-based software for retailers, said it has raised $15.2 million in its third round of funding, led by new backer Investor Growth Capital. Previous investors Venrock, Bessemer Venture Partners, Red Rock Ventures and SAP Ventures also participated in the round, which the company will use to accelerate international growth and look for acquisition opportunities. Retail Solutions' software is designed to help retailers take better advantage of downstream data, such as point-of-sale, supply chain, merchandiser feedback and customer loyalty data. The company has more than 350 clients, including Bayer, Clorox, HP, Hershey's, Crayola and Kraft.
http://www.retailsolutions.com/
http://www.retailsolutions.com/rsipulse/index.php/2010/09/28/retail-solutions-secures-15200000-funding-led-by-investor-growth-capital/

S.F.-Based EFF Sues Copyright Enforcement Firm Righthaven

San Francisco -- The Electronic Frontier Foundation (EFF), a San Francisco-based digital civil liberties group, said it has filed suit against Righthaven, a firm hired by publishers to seek out copyright infringers, alleging the firm is abusing copyright law. Righthaven has so far sued 145 websites on behalf of Stephens Media, publisher of the Las Vegas Review-Journal, over their republishing excerpts or full Review-Journal articles. In its suit, the EFF calls Righthaven a copyright troll, seeking "windfall recoveries of statutory damages and to exact nuisance settlements." The EFF is representing Democratic Underground, which Righthaven sued after a user posted a four-paragraph excerpt of a 34-paragraph Review-Journal article, along with a link to the original story. "Despite what Righthaven claims, it's hard to interpret these lawsuits as anything else besides a way to bully Internet users into paying unnecessary settlements," said EFF senior staff attorney Kurt Opsahl.
http://www.eff.org/press/archives/2010/09/27 
http://www.righthavenlawsuits.com

HP to Fund Newseum Gallery on Technology's Impact on Media

Washington, DC -- The Newseum, a 250,000-square-foot news museum in Washington, DC, said it will partner with Palo Alto-based HP to create a new hands-on media gallery focusing on technology's impact the news industry. The HP New Media Gallery, targeted to open in early 2012, will aim to show how technology has drastically changed the way information is reported, distributed and accessed. The museum plans to continually change the gallery to reflect the current landscape. HP will support the project with $5 million over the next 10 years. "We will be able to advance the Newseum's content further into the future and combine our 500 years of news history with even more up-to-the minute technologies," said Charles Overby, CEO of the Newseum.
http://www.newseum.org
http://www.hp.com/hpinfo/newsroom/press/2010/100930a.html

Cupertino-Based Ongo Lands $12M from Major News Organizations

Cupertino, Calif. -- Ongo, a Cupertino-based digital news startup, said on Wednesday it has raised $12 million in its first round of funding, which included investments from The New York Times, The Washington Post and USA Today-publisher Gannett. Ongo is developing a new service, to be launched by year's end, that will allow users to read and share digital news and information from multiple publishers. "We are building Ongo to reflect the many ways consumers prefer to read, organize and share digital news," said Alex Kazim, Ongo's founder and CEO. Kazim previously served as the president of eBay's Skype unit, as well as the head of marketing and business operations for PayPal.
http://www.ongo.com
http://finance.yahoo.com/news/Ongo-Inc-Announces-Investment-prnews-203667358.html?x=0&.v=1

AOL Acquires S.F.-Based Social Software Developer Thing Labs

San Francisco -- In its third acquisition this week, AOL said it has acquired San Francisco-based Thing Labs, developer of the Brizzly family of web-based social software. Financial terms of the deal were not disclosed. Brizzly's core service lets users view and post updates to Twitter and Facebook, as well as view photos and videos, on a single page. AOL said it eventually plans to integrate aspects of Brizzly into its Lifestream social aggregator and publishes, as well as its AIM instant messenger. Jason Shellen, Thing Labs' founder and CEO, and Christopher Wetherell, its vice president of product and engineering, will lead the AIM product suite, including Lifestream. Shellen and Wetherell previously were instrumental in creating Google Reader, which allows users to aggregate their most important content. "AOL is a different company than it was even a year ago," said Brad Garlinghouse, the president of AOL's consumer applications group. "We have to fundamentally change the way we think about the consumer experience and the team at Thing Labs has a vision and a track record of success that we think will help truly transform the messaging space." Brizzly's other products include Brizzly Picnic, a group chat site; Brizzly Guide, a site dedicated to explaining social media trending topics; and Brizzly for iPhone. AOL on Monday also announced acquisitions of Palo Alto-based TechCrunch and 5min Media.
http://www.thinglabs.com/
http://corp.aol.com/2010/09/28/aol-acquires-social-software-start-up-thing-labs-inc/

K12 Adds Former Intel Head Craig Barrett to Board

Herndon, Va. -- K12, a Virginia-based provider of curriculum and online education programs for students in kindergarten through high school, on Tuesday named Craig Barrett, the former chairman and CEO of Santa Clara-based Intel, to its board of directors. Barrett is a well-known advocate for improving children's education, serving as the chairman of Change the Equation, a nationwide initiative to bolster science, technology, engineering and math education. He also previously testified before Congress on ways to improve education outcomes. "He is passionate about improving education and expanding opportunities for children," said Ron Packard, the founder and CEO of K12. "Additionally, his experience managing an extraordinarily successful technology company will be valuable to K12." Barrett joined Intel in 1974 and is credited with perfecting the manufacturing process for the company's microprocessors. He served as
CEO for seven years and retired as chairman last year.
http://www.k12.com/
http://www.businesswire.com/news/home/20100929005840/en/Retired-CEOChairman-Intel-Dr.-Craig-Barrett-Joins

AOL to Acquire Palo Alto-Based TechCrunch, 5min Media

Palo Alto, Calif. -- Making a bold move to bolster its web content, AOL on Tuesday said it will acquire influential Silicon Valley blog TechCrunch. Financial terms of the deal, announced on stage at the TechCrunch Disrupt conference in San Francisco, were not disclosed. In a separate deal, AOL acquired New York-based 5min Media, developer of a video syndication platform, in a move the company said will "significantly expand" its video offerings. It was the acquisition of Palo Alto-based TechCrunch, however, that generated most of the buzz. Founded by Michael Arrington, TechCrunch operates a family of web properties, including MobileCrunch, CrunchGear, TechCrunchIT, GreenTech, TechCrunchTV and CrunchBase, and produces a series of popular conferences. The company's core TechCrunch site is consistently ranked as the most influential tech blog. AOL, which also owns online tech magazine Engadget, said the sites will maintain their editorial independence. "I look forward to working with everyone at AOL as we build on our reputation for independent tech journalism and continue to set the agenda for insight, reviews and collaborative discussion about the future of the technology industry," said Arrington.
http://corp.aol.com/2010/09/28/aol-to-acquire-techcrunch-network-of-sites/
http://corp.aol.com/2010/09/28/aol-acquires-5min-media-web-s-largest-video-content-syndication/

S.F.-Based Tech Blog Publisher NetShelter Raises $15 Million

San Francisco -- NetShelter Technology Media, the San Francisco-based developer of a technology-focused blog network, said on Tuesday that it has raised $15 million in its second round of funding, led by Rho Ventures. Previous backers Rho Canada and JLA Ventures also participated in the round, which the company will use to accelerate its growth. NetShelter publishes more than 200 technology-related sites and blogs, including MacRumors, Slashgear and CrackBerry. The company's network of sites attracted over 133 million readers in August, according to comScore.
http://www.netshelter.net
http://www.businesswire.com/news/home/20100928005366/en/NetShelter-Technology-Media-Secures-15-Million-Series

e-Rewards to Acquire San Francisco-Based Peanut Labs

San Francisco -- Peanut Labs, a San Francisco-based provider of social media market research, announced on Tuesday that it will be acquiredd by e-Rewards, the Texas-based owner of online sampling and data collection firm Research Now. Financial terms of the deal were not disclosed. Founded in 2007, Peanut Labs now counts a respondent pool of over 240 million users, including customers of partners including Changyou, Playspan, Pogo, Playdom and Playspan. "Combining Peanut Labs sampling capabilities in social media with Research Now's global online panels, our clients will now have access to the largest and most diverse global respondent universe available to support online research projects," said Peanut Labs CEO Ali Moiz.
http://www.peanutlabs.com
http://www.researchnow.com
http://www.businesswire.com/news/home/20100927006888/en/Peanut-Labs-Announces-Acquisition-e-Rewards

Research In Motion Unveils BlackBerry PlayBook Tablet

San Francisco -- Taking direct aim at Cupertino-based Apple's iPad, BlackBerry smartphone maker Research in Motion (RIM) on Monday introduced its new tablet computer, known as the BlackBerry PlayBook, during an event in San Francisco. Targeted at business professionals, the PlayBook sports a 7-inch screen, dual HD cameras, Wi-Fi and support for Adobe's Flash. The device runs on operating system technology acquired by RIM from QNX. No pricing details were announced for the PlayBook, which is expected to be introduced in the U.S. in early 2011, before distribution expands internationally in the second quarter.
http://blackberry.com/playbook
http://press.rim.com/release.jsp?id=4577

S.F.-Based Twitter to Set Aside EarlyBird Promoted Deals Program

San Francisco -- Twitter, the San Francisco-based microblogging service, will discontinue its EarlyBird promotional tweets program, at least for the time being, All Things D reported, citing remarks made by Twitter COO Dick Costolo at an event in New York. The EarlyBird program lets advertisers promote offers to Twitter users through an @EarlyBird Twitter account updated several times weekly. "We've always said we'd experiment and move quickly. Twitter's @earlybird account will no longer be tweeting offers," the company said in a statement. "We're taking the learnings from @earlybird, including feedback from users and businesses, and investing that knowledge into our Promoted Products platform to help businesses grow their audience and provide great offers and information to users."
http://mediamemo.allthingsd.com/20100928/twitter-puts-earlybird-down-for-a-long-nap/ http://twitter.com/earlybird

Business Roundtable Survey: CEOs See Increased Spending, Lower Sales

Washington, DC -- U.S. CEOs plan increased capital spending over the next six months, but also have lowered their sales and employment expectations, according to the  Business Roundtable's third quarter CEO Economic Outlook Survey. "Sales forecasts are down from last quarter, prompting CEOs to remain cautious,” said Ivan Seidenberg, chairman of the Business Roundtable and chairman and CEO of Verizon Communications. "However, they are preparing for future demand by increasing investment in capital." Forty-nine percent of respondents now expect their company's capital spending to increase over the next six months, up from 43% last quarter. At the same time, however, just 66% expect their sales to increase (down from 79%) and 23% expect job cuts (up from 17%). The complete survey is available at the link below. 
http://www.businessroundtable.org/ceo_survey .

Fremont-Based Quantenna Communications Raises $21 Million in Fifth Round

Fremont, Calif. -- In its second major funding round this year, Fremont-based Quantenna Communications, a developer of chipsets for Wi-Fi home entertainment networking, said on Monday it has raised $21 million in its fifth round, led by new investor DAG Ventures. Previous backers Sequoia Capital, Sigma Partners, Southern Cross Venture Partners and Venrock Associates also participated in the round, which comes just seventh months after the company also closed a $15 million round. Quantenna said that it will use the proceeds to accelerate product deployment through carriers and retail channels. The company's chipsets allow Wi-Fi home networks to deliver the same quality as wired Ethernet, including supporting full HD video with 1080p resolution, anywhere in the home.
http://www.quantenna.com/
http://www.quantenna.com/pressrelease-09_27_10.html

Palo Alto-Based Buysight Raises $10 Million Following Name Change

Palo Alto, Calif. -- Buysight, a Palo Alto-based developer of technology designed predict what individual shoppers want to buy and connect them to e-commerce companies with relevant offers, said on Monday it has raised $10 million in its first round of funding and changed its name from Permuto. Investors included ONSET Ventures and Rembrandt Venture Partners, as well as individuals including Reid Hoffman, the executive chairman and co-founder of LinkedIn. The company plans to use the proceeds to expand its services with several new capabilities over the next few months. As for the name change, CMO Jeff Weitzman said Buysight "more accurately reflects the core benefits our products provide to our clients -- insight about buyers and the ability to turn those insights into profits for marketers." Ash Patel, Yahoo's former executive vice president and chief product officer, has joined the company's board of directors.
http://www.buysight.com
http://www.marketwire.com/press-release/Permuto-Becomes-Buysight-New-Name-Reflects-Focus-on-Transforming-Data-Into-Insights-1325263.htm

Palo Alto-Based HP Completes $2.35 Billion Deal for Fremont's 3Par

Palo Alto, Calif. -- Nearly four weeks after winning a bidding war for Fremont-based storage systems developer 3Par, Palo Alto-based HP said on Monday it has completed the $2.35 billion acquisition of the company. The company paid $33 a share through a cash tender offer that expired Friday night. All told, nearly 88% of 3Par's shares were tendered, with HP completing the deal through the exercise of the top-up option. HP said the company's technologies will expand its storage portfolio into enterprise-class public and private cloud computing environments. HP late this summer won a protracted bidding war for the company, beating out rival Dell.
http://www.hp.com/hpinfo/newsroom/press/2010/100927xa.html

Palo Alto-Based Tibco Software Acquires OpenSpirit

Palo Alto, Calif. -- Tibco Software, a Palo Alto-based developer of infrastructure software that allows users to connect applications and data in a service-oriented architecture, said it has acquired Texas-based OpenSpirit, a developer of data and application integration tools for the oil and gas market. Financial terms of the deal were not disclosed. OpenSpirit's software, which is used by more than 200 clients, assist geologists and geophysicists in gathering data for determining the likelihood of finding oil, gas or condensates. Dan Piette, the company's CEO, has joined Tibco to lead the development of the business.
http://www.tibco.com
http://www.marketwire.com/press-release/TIBCO-Software-Acquires-OpenSpirit-Corporation-NASDAQ-TIBX-1324354.htm

Concurrent Buys Technology Assets from Santa Clara-Based TellyTopia

Santa Clara, Calif. -- Concurrent, an Atlanta-based maker of video-on-demand systems, said it has acquired key technology assets from TellyTopia, a Santa Clara-based developer of technology designed to help pay-TV operators incorporate web video into their services. Financial terms of the deal were not disclosed. The acquisition includes TellyTopia's cloud-based, online video platform, which Concurrent said will extend its offerings in multi-screen video delivery, advertising and media data management. Concurrent's platform serves over 38 million digital subscribers.
http://www.tellytopia.com
http://www.ccur.com/company_newsroom_viewpressrelease.aspx?pressreleaseid=721

Sunnyvale-Based PLX Technology to Acquire San Jose's Teranetics

Sunnyvale, Calif. -- PLX Technology, a Sunnyvale-based maker of semiconductor connectivity products, said on Friday it will acquire San Jose-based Teranetics, a developer of mixed-signal chips, in a deal worth approximately $53.8 million. Under the agreement, PLX will pay 7.4 million shares worth about $27.6 million, plus $1.3 million in cash and promissory notes worth $$6.9 million. It also will assume about $18 million in Teranetics' obligations, and has made a $1 million bridge loan to the company. The deal is expected to close next month. Founded in 2003, Teranetics specializes in chips that allow 10 Gigabit rates over widely installed copper cabling. PLX said it expects to see significant growth in the company's business over the coming years as 1 Gigabit Ethernet networks are upgraded to 10 Gigabit.
http://www.plxtech.com
http://www.teranetics.com
http://www.businesswire.com/news/home/20100923006824/en/PLX-Technology-Acquire-Teranetics-Leading-Supplier-10

San Francisco, San Jose Top List of Social Media-Savvy Cities

San Francisco -- San Francisco and San Jose are the Nos. 1 and 2 most social media-savvy cities in the U.S., according to a new report NetProspex. The 50-city rankings are based on such factors as the number of social connections made by area employees, as well as their activity across Facebook, Twitter and LinkedIn. New York, Austin and Boston rounded out the top five. A separate list of Twitter use by city ranks New York, San Francisco and Washington, DC as the top three, with San Jose No. 15. The complete report is available at the link below.
https://www.netprospex.com/np/social/report/fall2010/geo

Mountain View-Based LinkedIn Acquires S.F. Startup ChoiceVendor

Mountain View, Calif. -- LinkedIn, the Mountain View-based developer of an online professional network with more than 75 million members, said on Thursday it will acquire San Francisco-based startup ChoiceVendor, which provides ratings and reviews of business-to-business service providers in more than 70 categories. Financial terms of the deal were not disclosed. ChoiceVendor is led by CEO Yan-David Erlich, who previously was an entrepreneur in residence at Battery Ventures and the founder and CEO of Mogad/Social.IM, which was acquired by iSkoot in 2008. Another founder, Rama Ranganath, was previously an early engineer on Google's AdSense team.
http://www.choicevendor.com/
http://www.linkedin.com
http://www.businesswire.com/news/home/20100923005446/en/LinkedIn-Acquires-ChoiceVendor

TechCrunch: Top Angel Investors Discussed Collusion at Meeting

Palo Alto, Calif. -- A group of powerful Silicon Valley angel investors recently held a meeting at which they allegedly colluded to fix valuations and keep new angel investors and established venture capitalists off their turf, according to a report by Michael Arrington at TechCrunch. Arrington cited three sources who were at the meeting, attended by investors who "together account for nearly 100% of early stage startup deals in Silicon Valley," he wrote. "This isn't minor league stuff. We're talking about federal crimes and civil prosecutions if in fact that's what they're doing," Arrington added. The group also reportedly discussed how to stymie the growing power of start-up incubator Y Combinator, and established a wiki "that explicitly talks about how the group should act as one to keep deal valuations down." In a response to the story, angel investor Dave McClure, who was present at the meeting in question, called Arrington "dead f***ing wrong" in a blog post.
http://techcrunch.com/2010/09/21/so-a-blogger-walks-into-a-bar 
http://500hats.typepad.com/500blogs/2010/09/fire-in-the-valley.html
http://www.pehub.com/83069/angelgate-is-%E2%80%9C100-percent-accurate%E2%80%9D-says-michael-arrington/
http://valleywag.gawker.com/5644447/blogger-walks-in-on-massive-hapless-tech-conspiracy

Blockbuster Files for Bankruptcy, With Nearly $1 Billion in Debt

Dallas -- Following months of conjecture, video rental giant Blockbuster on Thursday officially filed for Chapter 11 bankruptcy, citing total debt of nearly $1 billion. The company, which has been hurt in recent years by increased competition from Los Gatos,-based Netflix, video kiosks like Redbox and technology such as video-on-demand, has arranged $125 million in debtor-in-possession financing that will keep its stores, kiosks and online services in operation. Blockbuster's largest creditors include the movie studios, with $21.6 million owed to Fox, $20 million due to Warner Bros., $13.3 million to Sony Pictures, $8.6 million to Disney, $8.3 million to Universal and $7.9 million to Lionsgate. "The recapitalized Blockbuster will move forward better able to leverage its strong strategic position, including a well-established brand name, an exceptional library of more than 125,000 titles, and our position as the only operator that provides access across multiple delivery channels -- stores, kiosks, by-mail and digital," saidCEO Jim Keyes.
http://blockbuster.mediaroom.com/index.php?s=119&item=929

Oracle's Ellison No. 3 on Forbes 400 List of Richest Americans

Redwood Shores, Calif. -- Larry Ellison, the founder and CEO of Redwood Shores-based Oracle, ranks No. 3 on the newly releases Forbes 400 list of the richest people in America. The publication tabbed Ellison's net worth at $27 billion, putting him behind only Bill Gates ($54 billion) and Warren Buffett ($45 billion). Larry Page and Sergey Brin, the co-founders of Mountain View-based Google also tied for 11th on the list at $15 billion. The complete list is available at the link below.
http://www.forbes.com/wealth/forbes-400?boxes=Homepagelighttop

Redwood Shores-Based Rocket Fuel Raises $10M in Second Round

Redwood Shores, Calif. -- Rocket Fuel, a Redwood Shores-based provider of display advertising services, said on Wednesday it has raised $10 million in its second round of funding, led by Nokia Growth Partners. New investor Northgate Capital and previous backers Mohr Davidow Ventures and Labrador Ventures also participated. The company, whose online ad network reaches over 150 million users monthly, said it will use the proceeds to expand its market presence. Rocket Fuel has raised $20 million since its inception.
http://rocketfuel.com/
http://rocketfuel.com/press/seriesbrelease.html

VideoEgg to Acquire San Francisco-Based Six Apart, Create Say Media

San Francisco -- Online video advertising firm VideoEgg said on Wednesday it will acquire San Francisco-based Six Apart, the blogging software provider behind MoveableType and TypePad. Financial terms of the deal were not disclosed. The combined company will be known as Say Media, and reach 345 million unique visitors worldwide. Founded in 2001, Six Apart has raised more than $22 million in venture capital from backers including August Capital, Focus Ventures and Intel. Six Apart CEO Chris Alden is expected to step down, with Say Media to be run by VideoEgg CEO Matt Sanchez.
http://www.saymedia.com
http://news.saymedia.com/2010/09/videoegg-to-acquire-six-apart-and-create-say-media.html

Zhone Technologies to Sell Oakland Campus, Lease Back One Building

Oakland -- Zhone Technologies, a developer of network access technology for fiber, copper and wireless broadband infrastructures, said on Wednesday it will sell its Oakland campus -- including land and three buildings -- to LBA Realty for $18.8 million in cash. The company will then lease back one of the buildings for a five-year term. ."The sale and leaseback of our Oakland campus allows us to monetize the value of current excess space and reduce occupancy costs going forward," said CFO Kirk Misaka. "As a result of the transaction, we expect our cash net of debt obligations to improve by approximately $18.0 million and our total cost of occupancy to decrease by over $1.5 million per year."
http://www.zhone.com
http://www.zhone.com/about/news/2010/campus-sale.en-us

Report: Apple to Start Making Verizon iPhones in December

Cupertino, Calif. -- Apple's manufacturing partners are expected to begin making CDMA-based iPhones compatible with Verizon's mobile network in December, Apple Insider reported. Citing a note from Susquehanna Financial Group analyst Jeffrey Fidacaro, the publication reported that Cupertino-based Apple will build 3 million CDMA iPhones for an expected launch in early 2011. Fidacaro also expects Apple to sell a record 11.6 million iPhones in its fourth quarter, up from the 8.4 million it sold in its third quarter.
http://www.appleinsider.com/articles/10/09/22/suppliers_say_apple_will_build_first_3m_cdma_iphones_in_december.html

San Francisco-Based Nexant Raises $43 Million in New Funding

San Francisco -- Nexant, a San Francisco-based provider of smart energy software and consulting services, said on Tuesday it has raised $43 million in a new round of funding. Participants included new investors Oak Investment Partners and Intel Capital, with previous backers TeleSoft and Beacon also participating. "This new capital will enable us to develop and deploy our new platform, GridSmart, and multiple new applications," said Arjun Gupta, the company's executive chairman. The software is designed to manage the demands of electricity grid operations and energy markets, focusing on areas such as energy efficiency, demand response and distributed generation, as well as improving the efficiency of the power grid.
http://www.nexant.com/
http://www.nexant.com/news/newspage.aspx?id=32

Facebook Denies Report it is Developing Mobile Phone

Palo Alto, Calif. -- Though online social network Facebook denies it is secretly developing its own mobile phone, the company has at least spoken to manufacturing partners about a Facebook-branded handset, according to published reports. TechCrunch first reported over the weekend that Palo Alto-based Facebook was developing the phone, in part to more tightly integrate a user's Facebook friends and mobile phone contacts. In response, Facebook told CNET it "is not building a phone. Our view is that almost all experiences would be better if they were social, so integrating deeply into existing platforms and operating systems is a good way to enable this." However, CNET cited sources who said the company has reached out to potential hardware partners, though according to one source "the concept is in the very early stages and Facebook apparently has not determined whether to proceed."
http://techcrunch.com/2010/09/19/facebook-is-secretly-building-a-phone/
http://news.cnet.com/8301-1023_3-20016916-93.html

AOL's Patch.com Partners with 13 Schools on Media Training Program

New York -- With the rapid expansion of its Patch.com hyperlocal news sites underway,  AOL said on Tuesday it has partnered with 13 colleges and universities to offer students internships and coursework opportunities. Under the PatchU network, will work for local Patch sites under the guidance of professional editors. The program recently debuted at Hofstra University on Long Island, and has since expanded to a dozen other schools, including Stanford University and Cal-Berkeley. Patch launched its 100th site in August and plans to expand to more than 500 U.S. communities in 20 states by the end of 2010, hiring more than 500 additional journalists this year.
http://www.patch.com
http://finance.yahoo.com/news/AOL-and-Patch-Launch-PatchU-a-bw-3300041701.html?x=0&.v=2

New Bill Aims to Stamp Out Pirate, Counterfeit Websites

Washington, DC -- A bipartisan bill introduced in Congress Monday seeks to stamp out pirate websites distributing unauthorized copyrighted or counterfeit content, such as new movie or music releases. The Combating Online Infringement and Counterfeits Act, whose sponsors include Sen. Patrick Leahy (D-Vermont) and Sen. Orrin Hatch (R-Utah), potentially would let the Justice Department track and shut down offending websites, which are often foreign-owned. Leahy in a statement  said the bill would "protect the investment American companies make in developing brands and creating content and will protect the jobs associated with those investment." The Senate Judiciary Committee is scheduled to debate the merits of the bill on Thursday.
http://leahy.senate.gov/press/press_releases/release/?id=E26C01C9-E291-4BD3-9912-80DCA46A75F6

Santa Clara-Based Power Assure Lands $1.5 Million from ABB

Santa Clara, Calif. -- Power Assure, a Santa Clara-based developer of power management software for data centers, said on Monday it has landed a new $1.5 million investment from power and automation technology group ABB. The news comes two months after the company landed $11.25 million from Good Energies, Point Judith Capital and Draper Fisher Jurvetson. The company, which also landed a $5 million grant from the Department of Energy, now has raised $20.25 million, all told. The company said the new investment will allow it to expand the sales and go-to-market activities for its data center optimization tools. Power Assure said that its web-based business automation software allows clients to optimize capacity, service levels and power consumption within and across data centers.
http://www.powerassure.com
http://www.businesswire.com/news/home/20100920005797/en/Power-Assure-Receives-Strategic-Investment-ABB

Mountain View-Based SumTotal Systems Acquires Softscape

Mountain View, Calif. -- SumTotal Systems, a Mountain View-based maker of talent development software used by companies to accelerate performance and profits, said on Monday it has acquired Massachusetts-based Softscape, a developer of software used to manage workforces. Financial terms of the deal were not disclosed. The deal will give SumTotal more than 700 employees, as well as offices in the U.S., Europe, India, Thailand, China, Japan and Australia. It also will allow the company tools that cover all basic human resources functions, including learning, performance, compensation, succession, social collaboration, hiring, planning, analytics and a core HR system of record.
http://www.sumtotalsystems.com/softscape
http://www.sumtotalsystems.com
http://www.businesswire.com/news/home/20100920005679/en/SumTotal-Systems-Acquires-Softscape

San Francisco-Based Bloomspot Lands $9 Million in First Round

San Francisco -- Bloomspot, the San Francisco-based developer of an online service that offers a limited quantity of deals focused on luxury hotels, restaurants and spas, said it has raised $9 million in its first round of funding, led by Menlo Ventures. True Ventures and Harrison Metal, two of the company's original seed investors, also participated. Bloomspot aims to bring affluent customers to businesses through offers available for a limited time and quantity, similar to a flash sale in the retail industry. The company currently operates in New York, San Francisco and Los Angeles, and is in the process of rolling out its service in Washington, DC and Boston. Clients include Le Cirque, Caviar Russe, RH Restaurant, Milliken Creek Inn, Sea Ranch Lodge, and Monterey Plaza Hotel & Spa. Bloomspot's founders include Jasper Malcolmson and Ashish Baldua, previously the vice president and head of engineering, respectively, of the Yahoo Commerce Group.
http://www.bloomspot.com
http://www.businesswire.com/news/home/20100916005451/en/Bloomspot-Secures-9-Million-Funding-Led-Menlo

Battery Ventures to Acquire San Jose-Based RAE Systems for $95.1M

San Jose, Calif. -- RAE Systems, a San Jose-based developer of wireless gas detection systems, said on Monday it will be acquired by Battery Ventures, the venture capital firm with dual headquarters in Menlo Park and Massachusetts. Under the deal, Battery will pay $1.60 a share in cash, or about $95.1 million. Robert Chen, the president and CEO of RAE, said the acquisition will help his company "help increase its industry presence via organic growth and complementary acquisitions." Jesse Feldman, a partner at Battery Ventures, said RAE has "significant long-term market growth potential." Founded in 1991, RAE has approximately 1,200 employees.
http://www.raesystems.com
http://www.battery.com 
http://www.easyir.com/easyir/customrel.do?easyirid=1ACA139568AEE666&version=live&prid=664006&releasejsp=release_102

Boston Scientific to Acquire Sunnyvale-Based Asthmatx

Sunnyvale, Calif. -- Medical device maker Boston Scientific said on Monday it will pay up to $43.5 million to acquire Sunnyvale-based Asthmatx, developer of a catheter-based outpatient procedure for the treatment of severe asthma. Under the deal, expected to close before year's end, Boston Scientific will make an up-front payment of $193.5 million, as well as up to $250 million more, based on the company's future performance. Glen French, the CEO of Asthmatx, said the acquisition will allow his company to leverage Boston Scientific's sales and marketing organization to introduce its Alair System to a growing number of physicians.
http://www.bostonscientific.com
http://www.asthmatx.com/
http://bostonscientific.mediaroom.com/index.php?s=43&item=948

Petaluma-Based Calix to Acquire Occam Networks in $171M Deal

Petaluma, Calif. -- Calix, a Petaluma-based maker of broadband communications access systems and software, said on Thursday it will acquire Santa Barbara-based Occam Networks in a stock and cash deal worth approximately $171 million. The deal is expected to close either late this year or early next. Occam makes broadband access systems that allow service providers to offer new voice, data and video services over copper and fiber. Upon completion of the deal, Occam stockholders will own between 16.5% and 18.9% of Calix's outstanding shares. Calix said the acquisition will allow it to expand its Unified Access portfolio, providing more access options over both fiber and copper for communications service providers. Occam Networks counts more than 380 communications service providers as customers.
http://www.calix.com
http://www.occamnetworks.com
http://www.businesswire.com/news/home/20100916005737/en/CORRECTING-REPLACING-Calix-Acquire-Occam-Networks

San Mateo-Based Bertram Capital Closes $500 Million Fund

San Mateo, Calif. -- Bertram Capital, a San Mateo-based private equity firm focused on the industrial manufacturing, technology, business services and health care sectors, said on Thursday it has closed a new fund with $500 million in commitments. The four-year-old firm said the fund, known as Bertram Growth Capital II, increases its capital under management to more than $850 million. "We recognize the significant trust our existing and new limited partners have demonstrated with their swift commitment to Bertram Capital's second fund," said Jeff Drazan, the firm's managing director. "During a challenging economic environment, Bertram was able to demonstrate continued growth in sales and earnings across a broad range of industry segments." Current portfolio companies include Author Solutions, Power Distribution, Genascis, TydenBrooks and One Distribution.
http://www.bertramcapital.com/ 
http://www.bertramcapital.com/news/news2010/090910_Fund_II.html

Google to Introduce Social Networking in "Layers" This Fall

Mountain View, Calif. -- Google plans to gradually introduce social networking features across its various services this fall, Reuters reported, citing comments made by CEO Eric Schmidt. The company will add "layers" of social networking to its sites, rather than trying to launch a dedicated service like Wave or Buzz. "We're trying to take Google's core products and add a social component," Schmidt told reporters, according to Reuters. "If you think about it, it's obvious. With your permission, knowing more about who your friends are, we can provide more tailored recommendations. Search quality can get better." Recent media reports have indicated that Google is developing a new social networking platform called Google ME that would hope to rival Facebook.
http://ca.reuters.com/article/technologyNews/idCATRE68D5FK20100914

S.F.-Based IGN Launches Indie Video Game Incubator

San Francisco -- IGN Entertainment, a San Francisco-Based video game-focused unit of News Corp., said it has launched an initiative that will help independent game developers incubate their projects from within the company's own offices. The Indie Open House project will offer teams a free residency, exclusive demo days, free licenses to online game technology, professional consultation, technical support and other services. "Just because you're an independent team doesn't mean you have to work alone," said Roy Bahat, the president of IGN. "Indie Open House is an incubator program with no strings attached." The company said it has no interest in owning any content or binding participants to prohibitive contracts. Teams will be offered six-month rolling terms, and will be guided by "several internal and external advisors, including company executives, editors and independent developers."
http://www.ign.com/indieopenhouse
http://www.businesswire.com/news/home/20100915005732/en/IGN-Entertainment-Launches-Indie-Open-House-Initiative

Report: Apple Plans Digital Newspaper Subscription Service

Cupertino, Calif. -- Apple is developing a digital subscription service for newspapers, The San Jose Mercury News reported. Roger Fidler, head of digital publishing at the Donald W. Reynolds Journalism Institute, told the paper Cupertino-based Apple is expected to demand 30% of revenues from newspaper subscriptions sold through its App Store, and up to 40% of any revenue generated through advertising on the mobile applications. Publishers reportedly instead wanted to pay Apple a flat fee rather than a percentage of revenues, and include the mobile apps in print subscription fees. "Obviously, Steve Jobs sees this as a significant revenue stream for Apple in the future," Fidler told the Mercury News.
http://www.mercurynews.com/ci_16076241

San Mateo-Based Conviva Lands $15 Million in Third Round

San Mateo, Calif. -- Conviva, a San Mateo-based provider of video streaming services to media companies, said on Wednesday it has raised $15 million in its third round of financing. GGV Capital led the round; with previous investors Foundation Capital, New Enterprise Associates and Pelion Venture Partners also participating. Founded in 2006, Conviva said it has optimized over a billion video streams for its clients, who include movie studios, networks, sports leagues and content aggregators. The company will use the funds to expand its global footprint, as well as to bolster product development and invest in new industry segments.
http://www.conviva.com
http://www.prnewswire.com/news-releases/conviva-secures-15-million-round-of-funding-led-by-ggv-capital-102944734.html

San Francisco-Based Extole Raises $5 Million in First Round

San Francisco -- Extole, the San Francisco-based developer of a social marketing platform, said on Wednesday it has secured $5 million in its first round of funding, led by Trident Capital. Redpoint Ventures and Norwest Venture Partners also participated in the round, which the company will use to make additional hires and further extend its platform. Extole, formerly known as TellAPal, said its social marketing platform is being used by clients including Roku, Drugstore.com and Vistaprint. The platform, sold as a service, is designed to help brands more easily leverage social marketing.
http://www.extole.com
http://www.businesswire.com/news/home/20100915005172/en/Extole-Secures-5-Million-Series-Funding

San Francisco-Based TuneUp Raises $4.3 Million in Third Round

San Francisco -- TuneUp Media, developer of a plug-in for iTunes, said on Wednesday it has raised a $4.3 million in its third round of funding, led by IDG Ventures. Original seed investor KPG Ventures also participated. The company said it will use a portion of the proceeds to expand its product line. TuneUp's initial product has so far amassed more than 1.5 million registered users. The plug-in automatically corrects mislabeled music tracks, fills in missing album art and offers other features such as personalized concert notifications and Facebook and Twitter integration. Another feature, known as Tuniverse, is designed to provide the latest music-related content from the web, within the media player ecosystem.
http://www.tuneupmedia.com
http://finance.yahoo.com/news/TuneUp-Announces-Series-C-iw-4176659489.html?x=0&.v=1

S.F.-Based Twitter Unveils Multimedia-Rich Site Redesign

San Francisco -- Twitter, the San Francisco-based microblogging service, on Wednesday unveiled a redesigned website, which includes a new pane on the right side of the page that displays videos and photos embedded in tweets, in addition to related content. "Today, we're introducing a new, re-engineered Twitter.com that provides an easier, faster, and richer experience," co-founder Evan Williams wrote in a post on the company's blog. The redesign also features "infinite scroll," which replaces having to click "more" to view additional tweets, and "mini profiles," which displays a user's bio and recent tweets without having to navigate away from the page. Twitter said the new design will be rolled out to a very small number of users on Wednesday, before expanding to its entire user base.
http://blog.twitter.com/2010/09/better-twitter.html

Fremont-Based DoTogether.com Launches Facebook Shopping Service

Fremont, Calif. -- DoTogether.com, a Fremont-based social recommendations site, said it officially has launched its online shopping recommendation service, which encourages users to utilize Facebook to assist in finding specific items. The service aims to help brands go "viral" by prompting customers to shop with the help of their friends within Facebook. The platform also can be used by retailers as a social media marketing tool, allowing them to gather analytics on customers and offer them private promotions and reward points. The company was founded last year by Rahul Pandhe (CEO), the founder of GiftWisdom.com, and Bhushan Khaladkar (COO), who previously managed software development at Oracle and was the principal engineer in Telsoft.
http://www.dotogether.com
http://www.dotogether.com/Home/dotogetherfollow.aspx

Non-Profit to Relaunch Online Constitution Hub, Backed by Overstock

Washington, DC -- The Constitutional Sources Project, a Washington, DC-based non-profit, said it plans on Thursday to launch its redesigned online library of constitutional sources, known as ConSource.org. The beta launch coincides with news that Overstock.com and Patrick Byrne, its chairman and CEO, have pledged to support the future development of ConSource by matching every dollar raised before Dec. 31 up to $100,000. The redesigned site will offer access to source documents, guides and teacher and student resources focused on the history of the Constitution and its amendments. The organization said the matching grant will allow it to add additional tools over the next six months, such as community-driven document digitization and annotation.
http://www.consource.org
http://www.prnewswire.com/news-releases/online-constitution-hub-beta-to-launch-september-17-102904679.html

Survey: 76% Would Pay Small Fee for Local Radio on Cell Phone

New York -- More than three-quarters (76%) of U.S. cell phone owners would consider paying a one-time fee of $0.30 to gain access to local radio stations through their cell phones, according to a new survey commissioned by the National Association of Broadcasters (NAB). The poll results come as the radio industry has been pressing Congress to mandate inclusion of radio receiver chips in mobile phones -- a move strongly opposed by consumer electronics makers. "A chip mandate is the wrong answer," said Jot Carpenter, the vice president of wireless trade group CTIA. "Government-dictated design would reduce innovation and limit consumer choice."
http://www.prnewswire.com/news-releases/poll-3-out-of-4-cell-phone-owners-would-pay-extra-for-radio-capable-device-102849059.html
http://www.prnewswire.com/news-releases/ctia-the-wireless-association-statement-on-nabs-poll-102857334.html

Saratoga-Based SandForce Raises $25 Million in Fourth Round

Saratoga, Calif. -- SandForce, a Saratoga-based developer of solid state drive processors that allow clients to utilize standard flash memory, said on Tuesday it has raised $25 million in its fourth round of funding, led by Canaan Partners. Previous backers DCM, Storm Ventures, Translink Capital, LSI and UMC Capital also participated. "This new funding will help us bring our next-generation products to market, expand our customer and partner support infrastructure, and accelerate our core technology," said Michael Raam, the president and CEO of SandForce.
http://www.sandforce.com
http://www.businesswire.com/news/home/20100914005863/en/SandForce-Closes-25-Million-Series-Funding