Altech withdraws from the Prism race

The international ICT market was dominated by the AT&T/BellSouth deal - one of the largest ever global acquisitions; and happenings at Research in Motion, which reached a settlement with NTP in BlackBerry case. at home the focus was on the fate of Prism, although late on Friday evening Altech withdrew from the 'race`.

* The proposed take-over of BellSouth by AT&T, in a deal valued at $89.4bn (including net debt etc). The deal would create an entity that is larger than Verizon Communications, which is currently the world`s largest telecommunications group by revenue. The new entity`s combined annual revenues are in excess of $60bn and its market capitalisation is estimated at over $150bn, compared to Verizon`s just under $100bn and with. This transaction is one of the largest ever global merger and acquisition deals.
* The resolution of the BlackBerry dispute between NTP and Research in Motion, with the latter paying a $612.5m settlement fee, an amount which is three times their net income for the financial year that ended in February 2005. In addition, RIM has just bought Ascendent Systems for an undisclosed amount!
* Altech withdraws from the race to acquire Prism, thus leaving the way clear for the original bidder, Net 1 UEPS Technologies.

Research in Motion will pay a $612.5m settlement fee, an amount which is three times their net annual income.

Paul Booth, MD, Global Research Partners

* Mixed interim numbers from Interconnective Solutions, with revenue down 15% but profit up 22.5%
* A positive trading update from Datatec
* An amended set of terms and conditions for the reverse take-over of Elexir
* The formal de-listing of OAI (at long last), some five years after its provisional liquidation
* Alliance Data acquires Sindele for R27m.
* The buyout by management of Datalinx Technologies
* Dimension Data bought 20% of Internet Solutions it doesn`t already own that was held by Old Mutual
* DataPro acquired BizCall
* Graham Wackrill appointed as CEO of Metrofile Holdings
* i-Security appointed as the African distributor for Ingate Systems, the Swedish developer of firewall technology
* Sekunjalo Investments, a company that includes a significant ICT portfolio, received the FM`s top empowerment companies award
* A possible sell-off by government of a 37.7% stake in Telkom SA

* Good annual numbers from Maroc-Telecom and Medi Telecom
* Likely job losses at NITEL
* The appointment of SecureData as the sole Sub-Saharan distributor for Network Engines
* MTN makes a bid for a 35% stake in Tunisie Telecom, Tunisia`s largest telecommunications carrier

Key International news of the past week

* The acquisition of Apptimum, an application transfer company, by Microsoft
* The acquisition of SyPixx Networks, a provider of video surveillance hardware and software, by Cisco
* The acquisition of Upstartle, a developer of an online word processing software package, by Google
* A job loss announcements from AT&T
* An IPO filing from Verigy, Agilent`s chip testing unit
* IPO debuts on London`s AIM by NetServices, a provider of networks for voice, data and video communications; and Sinosoft Technology, a developer of software and IT solutions for the Chinese market
* An IPO debut on the Bombay Stock Exchange by Reliance Communications Ventures, the holding group for India`s second largest mobile phone carrier
* A planned IPO on London`s AIM by Sandvine, a Canadian-based provider of broadband equipment and software
* A planned IPO on the Frankfurt Stock Exchange by Smartrac NV, a supplier of RFID inlays for credit cards and other secure documents
* A satisfactory IPO on Nasdaq by Eagle Test Systems, a chip testing company
* Nortel Networks to re-state their financials for the past few years yet again

* The 'winner` in the bid for Vodafone`s Japanese operations, which are of interest to both Softbank and various private equity groups
* The 'winner` in the race for control of Knight Rider

* According to Research & Markets, worldwide telecommunications and communications markets will grow to $446,9bn in 2010 from $197,6bn in 2005

* JSE All share index: Down 2.8%
* Nasdaq: Down 1.8%
* Top SA share movements: Alliance Data (+12.5%), Faritec (-14.6%), ISA (+12.5%), Spescom (-12.7%), Stella Vista (-15.4%), Synergy (-20%), Vesta (-14.3%) and Zaptronix (+18,2%)
* Top international share movements: Broadvision (-19.3%), Com21 (+100%), Eagle Broadband (-20%), Elcom International (+21.4%), Epicus Communications (-51.9%), SONICblue (-50%), Vimicro (+27.4%) and Wind River Systems (-20%)

Fortune Magazine has just published its 2006 list of 'Most Admired Companies`. From a technology perspective, Microsoft was rated as No 6 (was No 4); Dell at No 7 (was No 3); Apple at No 9 (a new entrant); IBM at No 11 (was No 9); Intel at No 18 (was No 12) and Nokia at No 20 (was No 26). Other companies in the top 50 include Canon, Cisco Systems, Samsung Electronics, Siemens, Sony and Verizon Communications.