A week of acquisitions, disposals

Business Objects acquisition of Crystal Decisions and Hyperion`s purchase of Brio Software dominated the international world of IT and telecommunications last week.

At home, another disposal by Datatec and the Absa hacking story stole most of the local ICT headline space.

Shareholders approved the termination of OSI Holdings` listing.

Other local news included:

* the appointment of Chris Jardine as non-executive chairman of Faritec;

* BMI-TechKnowledge retrenched 20% of its staff; and

* the launch of Cape Town-based Kizen, a software solutions development company set up by the founders of Smacsoft.

New local distributorships included that of Merant software products by Sandbox, a local technology and software distribution company.

The re-naming of SGI`s 3D animation and visual effects software business as Alias Systems.

Additionally, look out for the possible sell-off by Schlumberger of its IT services operation, SchlumbergerSema, to CSC; and the possible return to the stock market by Irish phone business, Eircom.

Other international news included:

* the appointments of Steve Berkowitz as president of Ask Jeeves, Donald Bibeault as chairman of BSQUARE, Craig Branning as CEO of Tallan, Brian Crowley as CEO of BSQUARE, Howard Kelly as CEO of Whatman, Carvel Moore as president and COO of SeeBeyond, Pamela Reeve as CEO of Lightbridge, Thomas Rooney as CEO of Insituform Technologies, John Skowlund as CEO of Avilar, Karl-Heinz Streibich as CEO of Software AG, and Alfred Woods as chairman of Insituform Technologies;

* the resignations of William Baxter as chairman and CEO of BSQUARE, Thomas D`Agostino as chairman of Workflow Management, and Graham Creswick as CEO of Diagonal; and

* job loss announcements from Catapult Comms, Eastman Kodak, Enterasys Networks, Flextronics, Siebel Systems, Tarantella and Vicor.

Fortune magazine`s 'most powerful people in business` ... features Microsoft`s Bill Gates at number two and Dell`s Michael Dell at eight.

Paul Booth, MD, Global Research Partners

We saw excellent* figures from Dot Hill Systems (back in the black), eBay, Electronic Arts, Ibis Technology (back in the black), j2 Global Comms, Nam Tai Electronics, NetScreen Technologies, Network Engines (back in the black), Performance Technologies, Silicon Labs, SOHU.COM (back in the black) and Vital Images.

Very good* numbers were posted by Ask Jeeves, Capita Group, Cognizant Technology Solutions, Fair Isaac, L-3 Comms, PDSi (back in the black), SINA (back in the black), Tetra Tech, Vasco (back in the black) and Zoran.

Good figures* were recorded by 3M, Aladdin Knowledge Systems (back in the black), Alltel, Altera, Analex, Ascential Software (back in the black), AVX (back in the black), Benchmark Electronics, Castelle, CFC International, Checkpoint Systems, Citrix Systems, Cognex (back in the black), Concur Technologies (back in the black), Crystal Decisions, Data I/O (back in the black), Digital Insight (back in the black), Digital River (back in the black), DSP Group, Edgewater Technology (back in the black), Exult (back in the black), Fiserv, Foundry Networks, Getty Images, GrafTech International (back in the black), Hutchinson Technology, Hummingbird, Icos Vision Systems (back in the black), IDX Systems, Image Sensing Systems, Interactive Data Comms, Interlink Electronics (back in the black), Intrado (back in the black), Kronos, Linear Technology, Lionbridge Technologies (back in the black), MapInfo (back in the black), Mentor Graphics (back in the black), Misys Healthcare Systems, Navarre, NovAtel, Presstek (back in the black), Qualcomm (back in the black), Satyam Computer Services, SchlumbergerSema, SunGard, Sylvan Learning Systems (back in the black), Symantec, Taiwan Semiconductor, Telephone and Data Systems (back in the black), Timberline Software (back in the black), Titan, Ultratech (back in the black), US Cellular (back in the black), Veritas Software, WebSense, Westell Technologies and Western Digital.

Satisfactory* results were posted by Actel, Acxiom, Advanced Fibre Comms (back in the black), Amdocs (back in the black), AOL Time Warner, AT&T Wireless, Autonomy, BellSouth, Carrier Access (back in the black), CCC Information Services Group, CDI, Certegy, Check Point Software, Computer Associates (back in the black), Corillian (back in the black), CT Comms, CTS (back in the black), Dassault Systemes, Datastream Systems, Datawatch, Dial, Diebold, Digitas, DoubleClick, DST Systems, EFI, Epicor Software (back in the black), F5 Networks (back in the black), GTSI, Harte-Hanks, Hyperion, Inet Technologies, Information Holdings, Inter-Tel, Keane, Lam Research, Lexmark, Macromedia (back in the black), Maxtor (back in the black), Microsemi, Mobius Management Systems (back in the black), MPS Group, MTS, PC Mall, PEC Solutions, Planar Systems, Power Integrations, ProQuest, Raindance (back in the black), Rimage, Snap-on, Storage Technology, Teledyne Technologies, Texas Instruments, Tioga Technologies, Verilink, West and Xicor (back in the black).

Mediocre* returns came from ARM Holdings, AT&T (but back in the black), ATG (but back in the black), BEI Technologies, Black Box, Cable & Wireless, Cabot Microelectronics, Catapult Comms, ChoicePoint, Cohu, Computer Programs and Systems, Compuware, Consolidated Graphics (but back in the black), Eastman Kodak, EDS, FileNet, Global Electronics, Global Imaging, i2 Technologies, Ikon Office Solutions, Imation, Insight Enterprises, Insituform Technologies, InVision Technologies, JDA Software, KLA-Tencor, Komag, LG Electronics, Logitech International, Manhattan Associates, Micromuse (but back in the black), Novellus Systems, Overture Services, Pitney Bowes, Quest Software, SBC Comms, Siebel Systems, Siemens, STMicroelectronics, Sybase, Varian Semiconductor, Verisity, VISX and Winland Electronics.

Very poor results* were posted by Arrow Electronics (but back in the black), Avaya (but back in the black), Digimarc (but back in the black), Harris, Molex, NCR, PAR Technology, Sony and Sun Microsystems.

Losses* came from 8x8, Advant-e, Advent Software, Aehr Test Systems, Aetrium, Agere Systems, Alliance Fiber Optic Products, Alliance Semiconductor, Alterian, AltiGen Comms, Amazon, Applix, Apropos Technology, Ariba, Arris, Artesyn Technologies, ATMI, AudioCodes, Avici Systems, Avistar Comms, AXT, BackWeb Technologies, BCI, Belden, BindView, Blue Martini Software, Borland Software, Brio Software, Broadcom, BroadVision, Brooks Automation, BSQUARE, Celestica, Ceragon Networks, Ciprico, Cirrus Logic, Click2learn, Click Commerce, CNET Networks, Coherent, Commerce One, Compugen, Covansys, Copper Mountain Networks, Computer Access Technology, Corio, Corning, CoSine Comms, Critical Path, Cymer, Daleen Technologies, Digital Impact, Docent, E.Piphany, Eagle Broadband, EarthLink, Eclipsys, ECTel, eMerge Interactive, Enterasys Networks, Entrust, EXE Technologies, FalconStor Software, First Consulting Group, Flextronics, FreeMarkets, Gateway, GRIC Comms, GSI Lumonics, Handspring, Helix Technology, Infineon Technologies AG, InFocus, Information Resources, InfoNow, InfoVista, Infowave Software, Instinet, Intelliplus, Interactive Intelligence, Intersil, Interwoven, inTEST, Intevac, Intrusion, ISCO International, ISSI, JDS Uniphase, Kana, Kemet, Keynote Systems, Lattice Semiconductor, LeapFrog, Level 3 Comms, Logic Vision, LSI Logic, Lucent Technologies, McLeodUSA, Metalink, Metro One Telecomms, Micrel, Micro Linear, Microgen, MIPS Technologies, MKS Instruments, Mobility Electronics, Mosel Vitelic, MRV Comms, MSC.Software, MSL, Nera ASA, Net Perceptions, Netegrity, NetIQ, Netopia, Newport, Nortel Networks, Nuance, Oak Technology, Occam Networks, Omtool, Online Resources, Openwave, Orckit Comms, PDF Solutions, Peak International, Persistence Software, Pioneer-Standard Electronics, Pivotal, Plexus, Powerchip Semiconductor, Primal Solutions, Proxim, Quantum, QuickLogic, Quovadx, Radcom, RadView, Rainbow Technologies, Rainmaker, RealNetworks, Retek, RiT Technologies, S&T System Integrations and Technology, Sanmina-SCI, Sapient, SeeBeyond, Segue Software, Sento, Silicom, Silicon Graphics, Silicon Image, Silicon Storage Technology, Sirenza Microdevices, Skyworks, Socket Comms, Somera Comms, SoundView Technology, Stamps.com, Stellent, Stratex Networks, Sunrise Telecom, Synplicity, TDK Mediactive, Telecommunication Systems, Telesp Celular Participacoes, Tellabs, Telular, Tessco Technologies, Third Wave, Thomson SA, THQ, Three Five Systems, Trident Microsystems, Trikon Technologies, TriQuint Semiconductor, Tumbleweed Comms, Ultimate Software, Vastera, VeriSign, Virage, Virage Logic, ViryaNet, Vitesse Semiconductor, Vixel, VocalTec, WatchGuard Technologies, Wavecom, WebMethods, Witness Systems, WJ Comms, Workflow Management, XATA and ZiLOG.

Other financial news included share buy-back announcements from CDW and Internet Security Systems; results/profit warnings (often veiled) from Gateway, Lexmark, NetIQ, NetScreen Technologies, NYFIX and Quantum; share split announcements from Critical Path (reverse), Interland (reverse), Path 1 Network Technologies, Onyx Software, Openwave (reverse) and Zebra Technologies.

There was also a very good IPO from iPass; and a planned IPO this week from networking equipment company, Netgear. Additionally, Riverstone Networks is to re-state its financials for 2002 and 2003, and i2 Technologies for the last four years.

Locally

CCG (-33.3%)
CCN (+18.2%)
Cycad (-33.3%)
Elexir (-33.3%)
I-Solutions (-87.5%)
MGX (+30.8%)
Prism (+9.1%)
Sekunjalo (+19%)
Sethold (-12.1%)
Vesta (-25%)

Internationally

Adept Technology (+55.4%)
Com21 (-43.3%)
Covansys (+69.2%)
Exabyte (+46.8%)
Level 8 Systems (+47.1%)
NTELOS (-40%)
Onyx Software (+250.9%)
Rural Cellular (+41.5%)
Westell Technologies (-39.3%)
WJ Comms (+52.3%)

In terms of indices, Nasdaq was up 1.3% and the JSE up 2% for the week.

This week there are two further sets of ratings. The first comes from Fortune magazine and is the list of 'the most powerful people in business`, in which individuals from technology companies fared very well, with Microsoft`s Bill Gates at number two and Dell`s Michael Dell at eight.

The other list is BusinessWeek`s 'Europe`s best 50 performers` in which technology companies do not figure prominently. The highest rated organisations are Nokia at 30, Telecom Italia Mobile at 38 and Bouygues at 43.

Finally, I will be out of the country this week, so my next column will be dated 11 August and will cover a two-week period.

* NB

Guidelines for the categorisation of results are as follows. The figures are always in comparison with the equivalent period for the previous year; pro forma numbers are ignored (the terminology may vary slightly from country to country).

* Excellent: Both revenue and net income growth are in excess of 50%.

* Good: Both revenue and net income growth are in excess of 10%.

* Satisfactory: Revenue is within 10% of previous year and net income is up.

* Mediocre: Either revenue and/or net income is down.

* Very poor: Net income is less than 1% of revenue.

* Loss: A loss has been recorded.