Wireless-related mergers and acquisitions dominated the headlines last week from technology pairings to content match-ups. Here is a roundup:
- Qualcomm Inc. paid $57 million in cash for Elata, a privately held U.K.-based developer of content-delivery software.
Qualcomm said it will integrate its BREW platform with Elata’s technology, which can deliver content on CDMA2000, GSM and W-CDMA networks. The offering will allow operators to manage and deliver ringtones, wallpapers and streaming media from a variety of different vendors and platforms.
The deal comes on the heels of Qualcomm’s agreement the previous week to buy privately held mobile broadband vendor Flarion Technologies Inc. for $600 million.
- Technology company Emblaze Ltd. announced it acquired video-communications company VCON Ltd., which is based in Israel. Emblaze said it will continue to offer VCON’s mobile-video solutions to its customers, which include Renault in France, the Italian government, Wind Telecommunications SpA in Italy, Telstra Corp. in Australia and others.
- Pipeline Data Inc. said it will acquire m-commerce provider World Products Inc. for as much as $2.5 million in cash and stock.
Pipeline, which provides integrated transaction processing services for major credit cards, said it will pay $200,000 in cash and issue 900,000 shares of its stock as well as signing a $525,000 promissory note for World Products, which does business under the name Aircharge. Pipeline may grant an additional 1 million shares based on performance incentives.
Aircharge provides software allowing credit-card processing and wireless check conversion on mobile phones. Pipeline said it will retain Aircharge’s management team. The deal is expected to close by the end of September.
- Antenova Ltd., an integrated RF solutions provider, announced it has acquired Finland’s Perlos Corp.’s gigaAnt short-range wireless antenna business, expanding Antenova’s High Dielectric Antenna technology and Radionova radio antenna modules sales channels.
Terms of the deal were not disclosed.
Perlos is a global supplier for the telecommunications, healthcare, electronics and automotive industries, focusing on the design, manufacture and assembly of mechanical and electronic modules.
- Platinum Equity, which specializes in mergers, acquisitions and company operations, announced it will acquire wireless modem maker USRobotics. Terms of the deal were not disclosed.
Founded in 1976, USRobotics found fame by building analog Internet modems. The company was later acquired by 3Com Corp., played a role in launching the famed Palm Pilot personal digital assistant, and now operates as an independent company building a variety of Internet modems, including Wi-Fi PC cards.
- Stratos Global Corp., provider of mobile and fixed-site remote communications solutions, announced it has signed of a letter of intent to purchase Xantic, a satellite communications provider for customers in remote areas and at sea, for $191 million.
Stratos said it will acquire 100 percent of Xantic, which is jointly owned by KPN NV, which holds 65 percent, and Telstra Corp. Ltd., which owns 35 percent. Xantic posted revenues of $172 million in 2004 and has 270 employees.
Xantic operates two Inmarsat land earth stations in Burum, Netherlands, and Perth, Australia, and is set to host the satellite access station for the next-generation Inmarsat broadband global area network service, which is scheduled to launch commercially later this year.
- Planned mobile virtual network operator Amp’d Mobile has acquired the development division of wireless software provider Ninja Mobile.
Terms of the deal were not disclosed.
Amp’d, which is expected to launch service later this year on Verizon Wireless’ network, said it bought the business to develop proprietary third-generation-based applications. The acquisition includes Ninja’s “Rope Platform” technology, which will power Amp’d applications including dating, multiplayer gaming, blogging and location-based services.
Amp’d is expected to target teens and young adults with stylish, edgy offerings, including music and adult content. Ninja also produces mobile games, video, ringtones and multimedia messaging service offerings.
- Agilent Technologies Inc. announced it will sell its semiconductor business as a way to focus exclusively on its network testing operations. The company will sell its Semiconductor Products segment to Kohlberg Kravis Roberts & Co. and Silver Lake Partners for $2.66 billion.
Agilent sells chips to mobile-phone makers and network testing equipment to wireless carriers.
As part of its restructuring efforts, Agilent also will divest its stake in Lumileds to Royal Philips Electronics N.V. for $950 million and will spin off its system-on-a-chip and memory-test businesses “as soon as practical” next year.
The moves will result in about 1,300 job cuts and a charge of about $200 million. The company now counts about 28,000 employees. Agilent said it will save around $450 million in the restructuring.
- Internet Protocol technology provider CoConnect Inc. will part with more than $200,000 in stock to acquire filmmaker and digital entertainment consultant firm Atcom Media Group.
CoConnect, which provides VoIP and IPTV/video on demand, said it will develop Atcom’s wireless media and entertainment assets in an effort to identify content and technology acquisitions in wireless. Atcom principals Henri Kessler and Pliny Porter have won the Sundance Grand Jury Prize and Cannes Camera d’Or, and have developed and produced films including “Erin Brockovich” and “My Best Friend’s Wedding.” RCR
