MERGERS & ACQUISITIONS
XM Plans to Buy Wireless Firm
District-based XM Satellite Radio revealed its interest in expanding into video as it announced plans to buy a privately held wireless company, WCS Wireless. XM said it has agreed to buy privately held WCS Wireless for 5.5 million shares of XM stock, worth about $196 million. XM said the company's spectrum licenses, on frequency bands adjacent to XM's in many metropolitan areas, could be used to offer "a variety of multimedia subscription services, including innovative video and data offerings."
EA Renews License for Madden Football
Electronics Arts said that it renewed a multiyear licensing deal with football icon John Madden to continue using his character for the popular Madden NFL video football games. Analysts, however, were unsure whether the company would keep the Madden license after striking exclusive deals with ESPN and the NFL and its players' association earlier this year.
AMD Profit Drops in 2nd Quarter
Advanced Micro Devices, the No. 2 maker of chips for PCs, said second-quarter earnings fell 65 percent, to $11.3 million. Revenue for the three months ended June 26 was flat at $1.26 billion.
Microsoft Settles Patent Lawsuit
Microsoft settled a lawsuit that claimed it planned to incorporate a patented networking technology into future versions of the Windows operating system without permission. Under the agreement, Microsoft and chipmaker Broadcom have access to related patents held by Alacritech for a fee, and Alacritech will drop all outstanding litigation against Microsoft. Specific terms were not disclosed.
Homeland Security Secretary Michael Chertoff announced plans yesterday to give more stature to the top official in charge of keeping the nation's computer infrastructure secure. Go to www.washingtonpost.com/technology for the full story.
Compiled from staff and news service reports.