Google and Panasonic Set To Launch Internet TVs.
Internet Search Leader Google has announced that it is developing televisions that display Internet content such as photos and videos together with Panasonic that is owned by Matsushita Electric Industrial Company.
The new Internet TVs from Google set to launch this spring allow users to directly browse and access videos from YouTube, a video-sharing Web site owned by Google, and view Picasa Web Albums, a free online photo-sharing service from Google, Panasonic said in a statement on Monday.
"Panasonic's cooperation with YouTube and Google's Picasa Web Albums exemplifies our commitment to leading the natural evolution of the Internet and extending it to the High Definition television," a Panasonic Consumer Electronics Vice President said.
The Google internet TV news sent comes just after Matsushita, the world's top plasma TV maker, said it would take control of a liquid crystal display LCD TV joint venture and may build a new factory, marking a major shift in its strategy for the flat panel TV market. Matsushita has until now invested aggressively in plasma displays in the belief that it was the most cost-effective technology for flat TVs larger than 37-inches, while procuring LCD panels to make TVs for smaller sets.
Microsoft To Buy Norway's Fast Search For $1.2 Billion
Microsoft Corp. said it will pay about $1.2 billion to acquire Olso-based Fast Search & Transfer as part of a move to expand its data-search business in the corporate market.
The Norwegian software developer, founded in 1997, develops search technologies used by business customers to search their databases, although Fast Search has lately branched out into the field of online advertising. Microsoft has been beefing up its MSN keyword search and online advertising capabilities to better compete with Google and Yahoo.
Microsoft (MSFT) said it will pay 6.6 billion Norwegian kroner ($1.23 billion), or 19kroner a share, for Fast Search, representing a 42% premium.
Shares of Fast Search, a company bathed in controversy over the past year, slumped in 2007 after the company acknowledged serious flaws in its accounting methods. Yet Fast Search's core algorithmic search codes and technology was still considered valuable enough for Microsoft to swoop in to buy the company.
The board of Fast Search has unanimously recommended the offer and shareholders representing 37% of the stock have made a binding commitment to the deal. Those commitments include Fast's two biggest shareholders, Orkla ASA and Hermes Focus Asset Management.
Shares in Fast Search surged 39.3% to 18.60 kroner in Oslo. In U.S. trades, Microsoft stock was down 0.6% to $34.43.
John Lervik, CEO of Fast Search, said Microsoft's sales, online tickets and marketing platform will help Fast grow much more quickly.
"This acquisition gives Fast an exciting way to spread our cutting-edge search technologies and innovations to more and more organizations across the world," Lervik said in a statement.
Erik Hjulstroem, an analyst at Kaupthing Bank, agreed. He said Microsoft will be able to integrate Fast Search's search algorithms across many of its divisions, both to corporate and consumer clients.
The analyst previously had a reduce rating on Fast Search because the company on its own would struggle to build the necessary scale. "We advise investors to accept the bid, given the poor outlook the company has on designing cufflinks or standalone basis," Hjulstroem said in a note to clients.
Jeff Raikes, president of Microsoft's business division, said the acquisition would enable business customers to pick just one vendor to handle all of their needs. "Until now, organizations have been forced to choose between powerful, high-end search technologies or more mainstream, philadelphia apartments infrastructure solutions," he said in a statement.
Microsoft said the deal is subject to approval from shareholders representing more than 90% of Fast's shares and added it expects the deal to be completed in the second quarter of 2008.
Goldman Sachs advised Microsoft, and Merrill Lynch is acting as adviser to Fast Search.
