Will SoftBank Raise The Stakes?
May 16, 2013 by admin
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SoftBank Corp President Masayoshi Son may get a less than enthusiastic reception when he comes to the United States this week to meet Sprint Nextel Corp’s major shareholders, as he tries to drum up support for the Japanese company’s proposed takeover of the No. 3 U.S. wireless service provider.
SoftBank’s billionaire founder, who proposed a $20 billion deal for a 70 percent stake in the U.S. wireless carrier, said on Tuesday that he would discuss the deal with shareholders in a bid to fight off rival Dish Network, a U.S. satellite TV provider, which offered Sprint a $25.5 billion bid.
The executive for the Japanese mobile operator may have a tough time selling the deal, as several shareholders have told Reuters that SoftBank would need to raise its bid in order to win their vote at Sprint’s June 12 shareholder meeting.
Two big Sprint shareholders, Paulson & Co and Omega Advisors, have publicly said the Dish offer looks better than SoftBank’s. Other shareholders said on Tuesday that they would go to meet Son during his trip but they were skeptical about his arguments against Dish.
While Dish’s offer would provide more cash upfront to shareholders, Son has argued that Dish would not be good for the company as it would require Sprint to take on a heavy debt load. He also promises a July 1 close for the deal and warned that Dish regulatory approval may not come until 2014.
Robert Lynch, the director of research for Westchester Capital Management, which owned over 14 million shares in Sprint at the end of December, said that the prospect of a quicker deal close would not be enough to win over his company’s vote.
“We think right now that Dish has a better offer on the table. We think SoftBank’s going to have to improve their offer,” Lynch said, noting that SoftBank’s comments about the prospective debt leverage from a Dish deal were overdone.
“We think the leverage is manageable. We think there are synergies here. While raising the leverage is something we looked at we think its not as big of a obstacle as SoftBank is saying,” Lynch said.
A big Sprint investor who asked not to be named said they were happy to meet with Son while he is in the United States but that they were hoping to convince him to raise his bid.
“If Mr. Son wants to own Sprint he will have to raise his bid,” said the person from a top 25 Sprint shareholder who did not want to be quoted by name ahead of the meeting.
Is Verizon Interested In Clearwire?
Verizon Wireless reportedly has offered $1 billion to $1.5 billion to acquire some of Clearwire’s spectrum leases, possibly complicating Sprint Nextel’s attempt to buy out the company in conjunction with its acquisition by Softbank.
Clearwire is struggling financially but owns broad swaths of spectrum, the lifeblood of wireless networks. The April 8 bid from “Party J,” which Clearwire disclosed in a Securities and Exchange Commission filing on Friday, is the latest in a series of offers for its spectrum licenses. Unnamed people familiar with the matter identified “Party J” as Verizon Wireless, according to a report in The Wall Street Journal.
Clearwire is a key part of a complicated set of possible transactions that could make a much stronger competitor out of Sprint, the country’s third-largest mobile operator. Sprint already owns roughly half of Clearwire and is bidding about $2.2 billion to buy the rest of its stock. That deal depends on Softbank’s planned $20.1 billion offer for 70% of Sprint, which is still undergoing regulatory review.
Clearwire holds 150MHz of spectrum or more in most major markets of the U.S. Verizon would buy only a portion of that spectrum. “Party J offered to acquire Clearwire spectrum leases generally located in large markets,” Clearwire said in the Friday filing, a proxy statement to shareholders on the Sprint buyout bid. The proposed gross price of $1 billion to $1.5 billion would be reduced by what Clearwire pays for the leases, which could be substantial, according to Clearwire’s filing. The company said it would discuss the offer with “Party J” and Sprint.
Is Ubuntu Linux Spyware?
Richard Stallman has asked a South American free software association not to promote Ubuntu Linux at its events because it “spies on its users” by collecting its users’ desktop search activity and selling the data to Amazon.
Canonical released Ubuntu 12.10 last October with Amazon search integrated into its Dash desktop search function.
Although Ubuntu users can opt out and Canonical claims it anonymises users’ search information before sending it to Amazon, the change resulted in Ubuntu users being shown Amazon ads in response to desktop search queries.
The ‘feature’ has attracted a lot of criticism and might have led some users to defect to other Linux distributions.
When Stallman’s request was denied by the FLISOL event organiser with the excuse that it would limit user freedom of choice, Stallman fired off a response to the organisation’s entire mailing list on Sunday. Parts of his email are quoted below, as translated by Groklaw.
“The issue I raise is about what should happen at FLISOL events. Give away copies of Ubuntu or not? Promote Ubuntu or no? I asked the organisers of the event that they, as a policy, not distribute or promote Ubuntu.
“Freedom of users is something else, and there isn’t a conflict between a user’s freedom and my request. If someone decides to install Ubuntu, I would consider it a mistake, but it’s his own choice to do it. What I ask is that you don’t participate, help or suggest that he do it. I didn’t request that you block him from doing so.
“As a matter of principle, I don’t believe anyone has a right, morally, to distribute proprietary software, that is, software that deprives the users of freedom. When the user controls his own software, he can install what he wants and no one can stop him. But today’s issue isn’t about him, what he does, but rather what you do with him.”
As Stallman sent his email only yesterday, it’s not yet known whether FLISOL has reconsidered promoting Ubuntu at its free software events.
These points might seem like splitting hairs, but apparently Richard Stallman – the author of the GNU General Public Licence (GPL), as well as the founder and president of the Free Software Foundation – is serious about them.
Intel Wins Patent Case
Intel has had a previous decision upheld by the US International Trade Commission (ITC), which decided it did not infringe several X2Y chip manufacturing patents.
X2Y had claimed that Intel’s chip manufacturing technology infringed five of its patents and requested an injunction to stop the chips from entering the US. Previously Judge David Shaw ruled that Intel did not infringe X2Y’s patents, a decision that has been upheld by the ITC, which said it will “terminate the investigation with a finding of no violation”.
X2Y’s patents relate to the shielding of electromagnetic interference that is a significant problem in electronics manufacture. The firm has sold licenses to other chipmakers including Samsung, however Intel decided to develop its own techniques, which are now deemed not to infringe X2Y’s patents.
Intel has had a previous decision upheld by the US International Trade Commission (ITC), which decided it did not infringe several X2Y chip manufacturing patents.
X2Y had claimed that Intel’s chip manufacturing technology infringed five of its patents and requested an injunction to stop the chips from entering the US. Previously Judge David Shaw ruled that Intel did not infringe X2Y’s patents, a decision that has been upheld by the ITC, which said it will “terminate the investigation with a finding of no violation”.
X2Y’s patents relate to the shielding of electromagnetic interference that is a significant problem in electronics manufacture. The firm has sold licenses to other chipmakers including Samsung, however Intel decided to develop its own techniques, which are now deemed not to infringe X2Y’s patents.
While Intel had the most to lose, X2Y also went after Apple and HP, two of Intel’s highest profile customers. Intel even argued that an injunction on its chips would hurt American jobs.
Not only did X2Y lose its patent battle with Intel, but two of its patents were ruled invalid. The company had filed two civil lawsuits that were put on hold pending the ITC’s decision, but given the ITC action it will be surprising if the firm continues in its legal campaign against Intel.
Will SSDs Make HD’s Obsolete?
HD makers can expect to see revenues decline as demand for traditional disk drives falls, according to IHS Isuppli.
Hard drive manufacturers Seagate, Western Digital and Toshiba have carved up most of the market, lowering warranties and keeping prices high after the Thai floods in 2011 that shuttered several factories. Now IHS Isuppli claims that the good times have come to an end, with industry revenues expected to drop by 11.8 percent in 2013 and 2014 not expected to show signs of improvement.
While Seagate and Western Digital gouged consumers by keeping prices artificially high even after production recovered to pre-flood levels, solid-state disk (SSD) drive makers aggressively brought prices down. Intel has also been pushing SSDs as part of its ultrabook specification and with Windows 8 tablets using SSDs, the long term prospects for hard drive makers are not looking good.
Fang Zhang, analyst for storage systems at IHS Isuppli said, “The HDD industry will face myriad challenges in 2013. Shipments for desktop PCs will slip this year, while notebook sales are under pressure as consumers continue to favour smartphones and tablets. The declining price of SSDs also will allow them to take away some share from conventional HDDs. However, HDDs will continue to be the dominant form of storage this year, especially as demand for ultrabooks picks up and hard drives remain essential in business computing.”
IHS Isuppli said Western Digital could overtake Seagate to become the market share leader by the end of 2013, and said that hard drives will see greater use in the enterprise market in cloud and big data use cases.
No LTE On IBM’s SoC Until 2014
Intel is working on integrated LTE modems for its upcoming SoC designs, but CEO Paul Otellini claims they will not be ready for prime time until 2014.
In a recent conference call Otellini was directly asked about Intel’s plans for LTE integration and said “higher levels of integration” are expected next year. He went on to say that the first Intel-based phones with LTE should launch in early 2014, in time for the Mobile World Congress.
Otellini said Intel’s wireless team, formerly a business unit of Infineon, is making good progress in LTE.
“We believe we have a very competitive solution. The Infineon team is known for not necessarily being first to market, but being really good at engineering a very solid solution and being cost effective and cost competitive and I think that they are doing a very good job with respect to this product,” said Otellini.
Broadcom Goes UltraHD
January 16, 2013 by admin
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As TV manufacturers show off UltraHD TVs at CES, communications chip maker Broadcom is introducing the guts of future gateways that will be able to deliver video for those sets into viewers’ homes.
Broadcom’s BCM7445 silicon platform, announced just hours before the show opened on Tuesday morning, will be able to process incoming video from cable, carrier and satellite services that has four times the resolution of typical 1080p video offered today, according to the company.
Like the eye-catching but expensive TVs on the show floor in Las Vegas, the BCM7445 is just one of the first of many steps to consumers watching UltraHD shows at home. New content, displays and delivery technologies will all be required for the new resolution, which is also known as 4K.
Broadcom expects its chip to be in volume production by the middle of next year, in time for mainstream UltraHD TVs that will probably hit the market for the late 2014 holiday season, said Joe Del Rio, associate product line manager at Broadcom. However, service providers, which will probably be the distributors of most of the gateways built with the BCM7445, may take longer to start sending UltraHD video to their subscribers, Del Rio said.
AP Goes With Twitter
January 14, 2013 by admin
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The Associated Press began using its official Twitter account as an advertising platform on Monday, as the news organization looks for new ways to generate revenue.
Samsung Electronics Co Ltd was the first sponsor on the @ap account for breaking news, which is followed by 1.5 million Twitter users. The South Korean electronics maker’s initial “SPONSORED TWEET” promoted its events at the 2013 Consumer Electronics Show in Las Vegas this week.
AP did not disclose financial details of the arrangement.
Twitter, which sells ads directly to make money from the social media’s monthly base of 200 million users, will not receive any proceeds from the AP-Samsung deal.
The AP called the initiative part of a new business strategy and stressed that sponsored tweets will clearly be labeled to differentiate them from news tweets.
The ads provide AP a new income source as news organizations from newspapers to television face severe revenue declines in the face of high production costs.
While the AP was founded in 1846 by U.S. newspapers as a breaking news conduit, only 22 percent of its revenue comes from member fees. Photo licensing, advertising on its news application AP Mobile and YouTube channel are other revenue streams.
Toshiba To Offer A 20-megapixel Image Chip
Toshiba is gearing up for to offer a 20-megapixel image sensor for digital cameras that it says will be the highest resolution of its kind.
The Tokyo-based firm said the new chips will be able to support capturing 30 frames per second at full resolution. They will also be able to shoot video at 60 frames per second at 1080P or 100 frames at 720P.
Toshiba said it will begin shipping samples of the new CMOS chips in January, with mass production to begin in August of 300,000 units monthly. Toshiba is best known in components for its NAND flash memory, which it develops with partner SanDisk, but is also a major manufacturer of LSI and other semiconductors.
Digital point-and-shoot cameras are steadily falling in price, squeezed between brutal competition among manufacturers and the increasing threat of smartphones and mobile devices. While the number of pixels a camera can capture is not always a direct measure of the overall quality of its images, it is a key selling point to consumers.
The image resolution of top-end smartphones now often meets or exceed that of digital cameras. The Nokia 808 PureView launched earlier this year has a 41-megapixel image sensor.
The Japanese manufacturer said it has increased the amount of information pixels in the new chip can store compared to its previous generation of CMOS, producing better overall images. It has also reduces the size of pixels – the new 20-megapixel version has individual pixels that measure 1.2 micrometers, down from 1.34 micrometers in its 16-megapixel product.
Intel Details 22nm SoC
Thanks to a long spate of bad luck over at AMD, Intel now finds itself in a rather safe market lead, at least in high-end and server markets. However, in the low-end and mobile, Intel has a lot of catching up to do.
ARM still dominates the mobile market and Intel is looking to take on the British chip designer with new 22nm SoCs of its own. Intel outlined its SoC strategy at the 2012 International Electron Devices Meeting in San Francisco the other day.
The cunning plan involves 3D tri gate transistors and Intel’s 22nm fabrication process, or in other words it is a brute force approach. Intel can afford to integrate the latest tech in cheep and cheerful 22nm Atoms, thus making them more competitive in terms of power efficiency.
Since Intel leads the way with new manufacturing processes it already has roughly a year of experience with 22nm chips, while ARM partners rely on 28nm, 32nm and more often than not, 40nm processes. Intel’s next generation SoCs will also benefit from other off-the-shelf Intel tech, such as 3D tri-gate transistors.



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