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RIM rumours abound

Speculation is rife that RIM will dispose of NewBay and several other assets.

Paul Booth
By Paul Booth
Johannesburg, 13 Aug 2012

In a week that celebrated the World Wide Web reaching 21 years of age (6 August), the international ICT market was dominated by rumours surrounding possible sell-offs by RIM, which includes interest from IBM.

At home, the Competition Tribunal's ruling regarding Telkom stole much of the local ICT headline space, especially as there is a further case pending, which is due to be heard in June next year.

Key local news of the past week

* Good interim numbers from MTN, with revenue up 17.5% and profit up 12.9%.
* A year-end loss from Infraco (down from 2011), although revenue up by 32%.
* A positive trading update from Trustco Group.
* The acquisition by Poynting Antennas of Radiant Antennas, a company specialising in the design, manufacture and supply of high frequency, very high frequency and ultra high frequency antennas.
* Ideco is now trading under the name Muvoni Technology Group.
* The Competition Tribunal has fined Telkom SA R449 million for 'bullying' tactics between 1999 and 2004.
* Websense has opened a data centre in SA to offer its cloud-based security as a service to organisations.
* A new quarterly publication by IT News Africa has debuted. African Innovator is dedicated to the coverage of ICT and its impact on Africa.
* The appointments of Stewart Bloom as CEO of Aspect Software; and Pommie Lutchman, CEO of Ocular Technologies, as CCMG chairman.
* The resignations of Graham Braum, Africa country manager for Acer; and Jim Foy, CEO of Aspect Software (remains as executive chairman).

Key African news

* SkyVision Global Networks acquired Afinis Communications from Monaco Telecom. Afinis is a leading provider of connectivity solutions in francophone Africa.
* Tana Khalifa was appointed MENA GM for Intel.

Key international news

The Competition Tribunal has fined Telkom SA R449 million for 'bullying' tactics.

Paul Booth, MD, Global Research Partners

* Accenture bought Octagon Research Solutions, an Irish management consulting, technology services and outsourcing company.
* BMC Software purchased VaraLogix, an application release automation provider.
* Digia Oyj, a Finnish IT firm, acquired Nokia's software development kit Qt.
* Interactive Intelligence bought Bay Bridge Decision Technologies, a supplier of contact centre forecasting, capacity planning and strategic analysis technology.
* PTC purchased Servigistics, the developer of an innovative suite of service life cycle management software solutions.
* Vringo, a company that specialises in suing companies for patent infringement, acquired 500 patents from Nokia.
* Motorola Solutions invested in Fixmo, a provider of mobile security, compliance and risk management solutions.
* Very good quarterly figures from Cognizant Technology Solutions, Nuance Communications and Rackspace.
* Good quarterly numbers from SMIC (back in the black) and Tech Mahindra.
* Satisfactory quarterly results from Telus and Zain.
* Mediocre quarterly results from CSC, Molex, Sykes Enterprises, T-Mobile USA and Trend Micro.
* Mixed quarterly figures from BCE, with revenue down but profit up; Bharti Airtel, with revenue up but profit down; CenturyLink, with revenue up but profit down; Deutsche Telekom, with revenue down but profit up; JDA Software, with revenue up but profit down; Nvidia, with revenue up but profit down; Open Text, with revenue up but profit down; Plantronics, with revenue up but profit down; and US Cellular, with revenue up but profit down.
* Quarterly losses from Bottomline Technologies, Brightpoint, Imperva, Leap Wireless, MEMC Electronic Materials, Quest Software.
* The appointment of Richard Penn as president and CEO of Hutchinson Technology.

Look out for

* International:
* The buyer of Kodak's patents, which looks like either Apple or Google.
* The disposal by RIM of NewBay and several other assets. In addition, IBM also showed interested in buying RIM's enterprise services division.
* South Africa:
* The fate of Infraco, Sentech and Telkom SA, all of which seem to be in the melting pot, with speculation abounding as to their separate or joint futures.

Research results and predictions

* Worldwide IT outsourcing services is on pace to surpass $251 billion in 2012, a 2% increase from 2011, according to Gartner.
* Android and iOS powered 85% of all new smartphones in Q2, with the former taking a 68.1% slice, according to IDC.

Stock market changes

* JSE All share index: Up 0.9% (highest-ever weekend close)
* Nasdaq: Up 1.8% (back over the '3 000' level again)
* Top SA share movements: Amecor (-10%), Ansys (-10.3%), CompuClearing (+15%), ConvergeNet (-10.8%), Huge (+8.7%) and Ifca Technologies (-33.3%)

Final word

Last weekend, the Sunday Times published its annual 'Top Brands' supplement for 2012. The following were the technology highlights:

* Nokia was the top overall favourite brand (consumer), coming in at number five overall.
* Vodacom and MTN, in that order, were the top two brands in both the telecoms service providers business and the telecoms service provider consumer national spaces.
* iPhone was number one in the cellphone business space; while Nokia took this spot in the consumer national space.
* iPad was tops in the computer tablet/e-reader category.
* Vodacom, MTN and Telkom were in the top 10 for the community upliftment consumer metro (four, five and seven); done most for the environment consumer metro (four, nine, 10); and most desired company to work for consumer metro (five, seven, three) categories.

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