Information Technology

RIM shies away from chance for reboot

23 Jan 2012

The troubled BlackBerry maker’s architects are finally giving up their shared chief executive job. But Thorsten Heins, the new boss, is an insider who sees no need for drastic change, and the two ex-CEOs will stay on the board. It could hardly be further from a fresh start.

Google finds new tech expectations hard to meet

19 Jan 2012

The Internet giant’s revenue rocketed 25 pct, but its shares still plunged after hours. Google failed to match Wall Street’s hopes, whereas Microsoft and IBM’s more pedestrian results reassured. In uncertain times, the old guard’s predictability can trump edgier possibilities.

Ex-American Idol boss readies own tech audition

17 Jan 2012

Robert Sillerman, the onetime concert promoter and TV talent show mogul, is back with a new idea. A little cash, a listed shell and the buzzy concept of socially networked TV is now a big stake in a $1 bln company. But the venture so far only has an X factor in clever finance.

Apple ties Cook into Jobs’ boots – at a price

10 Jan 2012

The maker of functional but expensive gadgets now has a $376 mln CEO retention plan to match. Tim Cook will get that if he’s around for a decade. He deserves much after standing in for Steve Jobs, and Apple needs continuity. But in future the board can pay Cook more like Jobs.

Confidence in cloud, cybersecurity key to growth

29 Dec 2011

They’re both hot $60 bln markets. But faith in cloud computing took a blow in 2011 with outages at Amazon and elsewhere. And the hacking of targets from Sony to Scarlett Johansson showed shortcomings in security. The tech industry needs to stay ahead if it wants to keep growth going.

Next digital tidal wave target: 3D objects

28 Dec 2011

The ability to turn music, books, films and newspapers into easily transferable electronic files up-ended these industries, destroyed old businesses and created new ones. The rise of printing technology now threatens to wreak similar havoc on producers of physical things.

Oracle’s rare stumble triggers double concern

21 Dec 2011

The software giant lost some $20 bln in market value after a subpar earnings report. The sell-off could be overdone: Larry Ellison’s firm may soon regain ground, as its bosses expect. But the rare miss could signal both a weak environment and a hiccup in Oracle’s own trajectory.

Hot speech tech firm’s story is too complicated

26 Oct 2011

Nuance Communications has built an $8 bln market cap by getting machines to understand talk. Its technology may even be behind speech recognition in the new iPhone. But its sky-high valuation multiple requires too much trust considering its complex finances and acquisitive ways.

Crop of shock CEO exits reinforces need to plan

25 Oct 2011

Judging by First Solar’s 25 pct stock price drop, you’d think it erred in ousting its chief. Or that Quest’s 11 pct jump meant it should’ve dumped its boss sooner. And no reaction must make IBM’s new CEO a snooze. The real lesson is that boards must carefully plan successions.

Cisco stops descent, stuck in purgatory for now

20 Oct 2011

After years of chasing growth - and seeing its stock crumble - the company is now focusing on profit. This should buy CEO John Chambers enough time from investors to retire gracefully. But outsized gains for shareholders look elusive, if rival big tech valuations are any guide.

Closed-door justice will leave dealmakers in dark

19 Oct 2011

A spat between Skyworks and takeover target Advanced Analogic will play out in private instead of open court under Delaware’s new arbitration system. That may save the parties time and money. But it cheats the M&A world - and investors - of valuable legal guidance.

Google investors "like" mobile and social results

14 Oct 2011

The Internet giant’s dazzling earnings report, showing adjusted sales up 37 pct, brought an after-hours share price jump. In mobile search, Google is making inroads the numbers don’t yet show, and its social network is gathering steam. But grappling with Facebook will be tough.

Patent litigation becoming a vicious circle

11 Oct 2011

Motorola, which Google is buying, is the target of Intellectual Ventures, a patent-holding firm backed by Google. Such tail-chasing is a bad sign for the business of acquiring invention rights and suing for dollars. Innovative pursuits might yield better returns than lawsuits.

iPhone 4S unleashes more creative destruction

4 Oct 2011

The latest version of the smartphone offers faster data processing and downloads, as well as voice-powered software. Apple investors and gadget fans might have wanted more. But companies ranging from Research In Motion to American Greetings probably hoped for less.

Patent spats getting pricier for tech shareholders

23 Sep 2011

The likes of Apple and Samsung are spending millions to sue each other. But new research shows it’s the trolls that own little more than legal rights to inventions levying the heftier toll on investors and innovation. It’s more evidence of why patent law needs to change.

New CEO wouldn’t fix dysfunctional HP board

21 Sep 2011

The tech group’s directors are thinking about jettisoning yet another boss, Leo Apotheker, after less than a year and right after green-lighting his $12 bln purchase of Autonomy and other radical changes that have rattled shareholders. But the board may be the real problem.

Next wave of patent rulings could ease tech wars

23 Aug 2011

Google, Apple and others are spending billions on invention rights. But they’re really buying legal protection. That’s because federal judges have approved broadly defined patents, exposing firms to infringement claims. The courts need to sync up the law with the real world.

HP stock sell-off looks like overkill

19 Aug 2011

The tech giant has seen about a quarter of its market value, almost $16 bln, vaporized in two days. Shareholders have fled following another profit warning, a huge and pricey acquisition deal, and a strategic U-turn. That makes for plenty of warts - but HP now looks too cheap.

Rivals unlikely to crash HP’s punchy Autonomy deal

19 Aug 2011

Autonomy would be a nice-to-have for Oracle or IBM. But Hewlett-Packard’s $11.7 bln offer for the UK software group is already rich, and rivals don’t need Autonomy quite so badly. Add in falling markets and the ugly reaction of HP shares, and a bidding war doesn’t compute.

UK should avoid handwringing over Autonomy sale

19 Aug 2011

It could have been Britain’s Google, say those who mourn the Cambridge software firm’s sale to HP. Maybe. But Autonomy’s founder has a right to an exit, while public companies have a duty to accept rich takeover bids. Its success is still an inspiration to would-be entrepreneurs.