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Archive for November 9th, 2008

Yahoo12.20, -1.76, -12.6%) shares closed more than 12% lower after Dow Jones Newswires reported that Ballmer told a business group in Australia that Microsoft (MSFT:

Microsoft Corporation had “moved on” and was not thinking about making another bid for Yahoo.

“We are not interested in going back and re-looking at an acquisition,” Ballmer said in Sydney. “We made an offer, we made another offer — it was clear Yahoo didn’t want to sell the business, and we moved on.”
However, analyst Sandeep Aggarwal of Collins Stewart said he thinks the market “is overreacting to Steve Ballmer’s comments,” while noting that Ballmer also mentioned that some sort of combination with Yahoo’s search business remains possible.

“I’m sure there are still opportunities for some kind of partnership on search,” Ballmer was quoted as saying in the report.

Aggarwal said in a note to clients that Ballmer’s remarks are “providing clear endorsement that Microsoft is still very interested in [a] search only deal.”
“We have been consistently highlighting that Microsoft will very likely come back, but for a search only deal and we stand by our thesis,” Aggarwal said.
Analyst Roger Kay of Endpoint Technologies Associates said Microsoft’s reluctance to negotiate is not surprising.

“Yahoo is such a damaged property by now, and no one wants to do business with Yang, who has proven fairly treacherous in negotiations and no wants to waste their breath,” he said. “Yahoo does have a value … but much less than what Microsoft offered before. I can’t see them coming to terms.”
But, he said, Microsoft and Ballmer may come back if Yang is no longer in the picture. “I would think he’d be more interested in a post-Yang Yahoo. He wants a different interlocutor.”

Yahoo shares dropped $1.76 to $12.20.

Ballmer’s statement marked another odd twist in the battle over the future Yahoo.

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A U.S. District court has ordered an Apple employee recently hired away from IBM to immediately stop work amidst fears that he might disclose IBM trade secrets.

Mark Papermaster “will immediately cease his employment with Apple Inc. until further order of this court,” according to a Friday ruling from the U.S. District Court for Southern New York.

Apple announced Tuesday that Papermaster will serve as its new senior vice president of devices hardware engineering, replacing iPod innovator Tony Fadell.

Apple did not immediately respond to a request for comment.

Papermaster is a 26-year veteran of IBM and most recently served as vice president of IBM’s blade development unit, which designs IBM’s blade-model servers. In June 2006, Papermaster signed a non-compete agreement in which he agreed not to work for an IBM competitor for at least a year if he ever left IBM, according to court documents.

He informed IBM of the Apple job offer last month. On October 20, IBM offered him a pay raise as well as the option to accept one year’s salary if he promised not to go to a competitor, but Papermaster submitted his resignation the next day.

On October 22, IBM filed suit.

Papermaster is “in possession of significant and highly confidential IBM trade secrets and know-how, as well as highly sensitive information regarding business strategy and long-term opportunities,” according to IBM’s complaint.

Apple competes with IBM in the sale of servers, personal computers, and microprocessors, including Apple’s Xservers and Apple’s recent acquisition of California-based semiconductor company P.A. Semi, according to IBM.

IBM contends that Apple will use Papermaster and its stake in P.A. Semi “to design microprocessors for incorporation in a variety of electronic devices, including handheld devices.”

“IBM will be irreparably damaged” if Papermaster works for Apple and “inevitably” discloses trade secrets, IBM said.

That is “absurd,” according to Papermaster’s rebuttal.

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CNN has made a groundbreaking discovery and a huge progress when it comes to live field transmissions. Except for the fact that on Tuesday, the Presidential Eelection was won by Barack Obama, making the Democrat Senator the nation’s 44th President and the United States’ 1st African-American President, CNN used pioneering technology to share the information with the millions of Americans watching.

Wolf Blitzer was responsible with introducing the novelty item to the world, warning the audience that “you’ve never seen anything like this on television.” Almost immediately, CNN’s political correspondent Jessica Yellin made her appearance in the studio, just feet away from Blitzer. In fact, Yellin was physically still in Chicago, Illinois, where she continued to follow Barack Obama’s campaign and the gargantuan rally on Tuesday night.

So how was that possible? CNN is apparently using holograms now! The “Star Wars” references were of course inevitable, as Yellin herself stated “It’s like I follow in the tradition of Princess Leia. It’s something else. Jay Leno of course had some fun with the similarity between Yellin’s apparition, surrounded by a blurry, blue haze and the “Star Wars” scene.

The internet, as expected, is already full of spoofs, parodies and mash-ups, some of them including Yellin with Carrie Fisher and the Star Wars lines. The “hologram”, however, was not an actual hologram, as CNN had to use both a green screen and overlaying images. True hologram technology implies capturing light and reconstructing it – a very expensive technology.

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The president-elect runs down a four-part plan for the economy and then takes questions about Iran, his Cabinet and the White House puppy.
November 8, 2008

Barack Obama on Friday held his first news conference since being elected president. Speaking to reporters in Chicago for just less than 20 minutes, he offered an overview of how he plans to deal with the economy, and then he took nine questions.

Obama’s four-part plan for the economy:

First of all, we need a rescue plan for the middle class that invests in immediate efforts to create jobs and provide relief to families that are watching their paychecks shrink and their life savings disappear.

A particularly urgent priority is a further extension of unemployment insurance benefits for workers who cannot find work in the increasingly weak economy.

A fiscal stimulus plan that will jump-start economic growth is long overdue. I’ve talked about it throughout this — the last few months of the campaign. We should get it done.

Second, we have to address the spreading impact of the financial crisis on the other sectors of our economy: small businesses that are struggling to meet their payrolls and finance their holiday inventories; and state and municipal governments facing devastating budget cuts and tax increases.

We must also remember that the financial crisis is increasingly global and requires a global response.

The news coming out of the auto industry this week reminds us of the hardship it faces, hardship that goes far beyond individual auto companies to the countless suppliers, small businesses and communities throughout our nation who depend on a vibrant American auto industry.

The auto industry is the backbone of American manufacturing and a critical part of our attempt to reduce our dependence on foreign oil.

I would like to see the administration do everything it can to accelerate the retooling assistance that Congress has already enacted. In addition, I have made it a high priority for my transition team to work on additional policy options to help the auto industry adjust, weather the financial crisis and succeed in producing fuel-efficient cars here in the United States of America. . . .

Third, we will review the implementation of this administration’s financial program to ensure that the government’s efforts are achieving their central goal of stabilizing financial markets while protecting taxpayers, helping homeowners, and not unduly rewarding the management of financial firms that are receiving government assistance. . . .

Finally, as we monitor and address these immediate economic challenges, we will be moving forward in laying out a set of policies that will grow our middle class and strengthen our economy in the long term. We cannot afford to wait on moving forward on the key priorities that I identified during the campaign, including clean energy, healthcare, education and tax relief for middle-class families.

On dealing with Iran and answering the congratulatory letter Obama received:

Iran’s development of a nuclear weapon, I believe, is unacceptable. And we have to mount an international effort to prevent that from happening.

Iran’s support of terrorist organizations, I think, is something that has to cease.

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London Entertainment / Splash News.

Britney Spears makes surprise onstage appearance to sing ‘Human Nature’ with Madonna during the pop legends ‘Sticky and Sweet Tour’ at Dodger Stadium in Los Angeles, California. Britney who was looking in great shape walked on stage to the surprise of fans looking svelte and sexy. Picture by: London Entertainment / Splash News

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