East Coast Tech Correspondent
Nicola's Feed
Jul 25, 2012

Symantec fires CEO Salem, successor starts review

By Jim Finkle and Nicola Leske

(Reuters) – Symantec Corp (SYMC.O: Quote, Profile, Research, Stock Buzz) unexpectedly fired CEO Enrique Salem and replaced him with its chairman Steve Bennett, who launched a strategic review in a bid to turn around the company, which has disappointed investors with lackluster growth in recent years.

Shares of the software maker soared 16 percent on the news as some investors speculated that Bennett might consider divesting assets or splitting up Symantec, which also reported quarterly results on Wednesday.

Jul 25, 2012

Symantec replaces CEO, says company has underperformed

July 25 (Reuters) – Symantec Corp unexpectedly
replaced its chief executive, naming current Chairman and former
Intuit Corp CEO Steve Bennett to run the world’s
biggest maker of security software.

The company said Enrique Salem had stepped down on Tuesday,
ending a three-year term during which he and the company had
been criticized by investors for a string of financial
disappointments.

Jul 24, 2012

EMC stands by outlook despite weaker tech spending

By Nicola Leske

(Reuters) – Data storage equipment maker EMC Corp (EMC.N: Quote, Profile, Research, Stock Buzz) said it was bracing for weaker tech spending and continued economic weakness in Europe but stood by its full-year profit target after reporting solid second-quarter earnings.

The company said it had lowered its expectations for growth in global spending on information technology to around 3 percent or a bit less as customers delay purchases.

Jul 23, 2012

VMware to buy network virtualization firm for $1.05 bln

July 23 (Reuters) – Software maker VMware Inc said
it will acquire privately held Nicira Inc for $1.05 billion in
cash to expand its portfolio and establish a leading position in
virtualized networks.

The deal, which is VMware’s biggest acquisition to date,
includes $210 million of assumed unvested equity awards and is
expected to close in the second half of 2012.

Jul 20, 2012

Xerox cuts earnings target on weak European demand

By Nicola Leske

(Reuters) – Xerox Corp (XRX.N: Quote, Profile, Research, Stock Buzz), best known for its office copiers and printers, cut its full-year profit target on Friday after reporting lower second-quarter results, bracing for continued tough economic conditions in Europe.

The company said it expects revenue to remain weak in its technology business, which includes document systems, supplies, technical services and financing of products. The company is transforming itself into a business services provider.

Jul 18, 2012

IBM raises earnings outlook, cites weak tech spending

NEW YORK/BOSTON (Reuters) – IBM (IBM.N: Quote, Profile, Research, Stock Buzz) raised its full-year earnings target, even as it posted a quarterly revenue shortfall, reflecting its ability to manage costs as global technology spending sputters.

International Business Machines Corp, a bellwether for the global IT industry because of its global span and breadth of businesses, now expects full-year earnings per share – excluding items – of at least $15.10, versus at least $15.00 previously.

Jul 18, 2012

IBM 2nd quarter EPS beats Street, revenue falls short

July 18 (Reuters) – IBM raised its full-year earnings target
despite a shortfall in revenue after a currency hit of $1
billion, easing concerns that the company would echo industry
warnings on softer tech spending.

International Business Machines Corp, which has been
shifting its focus from hardware to higher-margin services and
software over the past decade, said on Wednesday it now expects
full-year earnings per share – excluding items – of at least
$15.10 versus at least $15.00 previously.

Jul 12, 2012

Analysis: Cisco’s loss is Palo Alto Networks’ gain

NEW YORK (Reuters) – When Cisco Systems Inc decided years ago to drop a network-security project known internally as “Apollo,” little did it know it had paved the way for a startup to blossom into a formidable competitor.

That company, Palo Alto Networks, is one of the leaders today in the multibillion-dollar market for corporate Internet firewalls. Founded in 2005, Palo Alto Networks debuts next week in an initial public offering that could value the firm at more than $2 billion.

Jul 12, 2012

Cisco’s loss is Palo Alto Networks’ gain

NEW YORK, July 12 (Reuters) – When Cisco Systems Inc
(CSCO.O: Quote, Profile, Research) decided years ago to drop a network-security project
known internally as “Apollo,” little did it know it had paved
the way for a startup to blossom into a formidable competitor.

That company, Palo Alto Networks, is one of the leaders
today in the multibillion-dollar market for corporate Internet
firewalls. Founded in 2005, Palo Alto Networks debuts next week
in an initial public offering that could value the firm at more
than $2 billion. [ID:nL2E8I95X3]

Jul 11, 2012

Applied Materials cuts outlook as chipmakers curtail orders

By Himank Sharma and Nicola Leske

(Reuters) – Top chip gear maker Applied Materials Inc (AMAT.O: Quote, Profile, Research, Stock Buzz) slashed its full-year targets due to a sudden drop in orders in its biggest market towards the end of the current quarter, underscoring fears of a downturn in global technology spending and hitting shares of Asian chip firms.

The company, which generates over half of its total revenue from its Silicon Systems Group business – the unit that caters to chipmakers and foundries – was hit by an extraordinary cutback in orders as a weak economy discouraged spending and PC sales floundered. And the worst may be yet to come.