This is my 30,000 foot look at events in the ICT industry for December 2008. What you see here is a precis of the monthly report I produce, which will is available in more detail at the Eagle website. You will also find back issues on the website.
One year ago in December 2007 the big deal was in the gaming space with Warcraft maker Vivendi Games merging with Activision in a $9.85 Billion creation of a new gaming entity, there were a number of other deals but nothing huge. Studies a year ago saw increasing concern about the economy … little did we know how bad it would get!
December 2008 continues the recent trend associated with a poor economy. Sony, Yahoo, Adobe, Nokia and AT&T all announced layoffs while Nortel Networks teeters on the edge of bankruptcy. The $41 Billion Bell Canada deal fell through over liquidity concerns, mass layoff numbers were up and various studies were cautious about hiring plans for 2009. On the M&A front the biggest deal involved a couple of private equity companies buying a Danish IT company (KMD) for $375 million; Sierra Wireless paid $277 million for Wavecom; Wipro paid $127 million for the IT arm of Citigroup (and garnered a $500 million outsourcing deal). RIM was also active, making a hostile bid for Certicom and picking up Chalk Media for $23 million.
Economists continue to tell us the sky is falling, but it’s a new year the sun came up this morning just like every other morning and I am looking forward to a challenging but rewarding 2009!
Happy New Year!
That’s what caught my eye over the last month, the full edition is available by going to the appropriate part of Eagle’s website. Hope this was useful and I’ll be back with the January 2009 news in just about a month’s time.