– After months of rumor and speculation, EDS and MCI WorldCom confirmed details of a $17.5bn deal that will see MCI sell its services unit to EDS in return for running the bulk of the services giant’s datacoms and telecoms related business. EDS said it will buy MCI’s Systemhouse IT services unit for $1.65bn and integrate the group’s 120 offices worldwide, employing around 12,000 staff, into its infrastructure.
– In a move that will create one of the largest combined TV and internet companies, USA Networks and its subsidiary Ticketmaster On-line-Citysearch (TMCS) announced plans to merge USA’s e- commerce and internet assets with the number three search engine and portal company Lycos in a complex stock swap valued at around $22bn. Under the agreements, TMCS and Lycos will merge and USA will contribute its Home Shopping Network (HSN), Ticketmaster (the parent company of TMCS) and Internet Shopping Network to the venture.
– 3Com announced plans to buy Smartcode Technologie for $17.5m in a bid to boost the uptake of its palm computing platform in the mobile information appliance market. The company said Smartcode’s technology will appear in a number of different product types all licensed through 3Com including smart phones, messaging devices and data communicators.
– Peregrine Systems signed a letter of intent to acquire privately-held software vendor, Prototype. The company develops application software for managing fleets of cars, trucks, and other transportation assets within large organizations which will become part of its self-styled infrastructure resource planning (IRP) suite used to track the physical and fiscal life span of a company’s infrastructure and assets. Terms of the deal were not enclosed.
– Sybase acquired Data Warehouse Network (DWN), an Ireland-based, privately-held vendor of packaged, industry-specific business intelligence applications, which it will market and sell with its Sybase Warehouse Studio. Under the acquisition, Sybase’s Business Intelligence Division will sell DWN’s customized decision support tools into eight vertical segments: retail banking, credit cards, insurance, telecommunications, healthcare, distribution, retail and utilities. Financial terms of the deal were not disclosed.
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