American Greetings online unit, AmericanGreetings.com, struck a deal to acquire rival Egreetings Network for $30.2 million. AmericanGreetings will pay 85 cents per share for Egreetings outstanding shares, a 35 percent premium over the price of the shares the day the deal was announced. The companies said the two sites will have about 20 million unique monthly visitors, placing the merged operation among the top 15 Web sites.
The Internet Software Consortium plans to create a private information exchange to alert companies and software developers to the latest information on security holes in Internet name domain software. The move follows reports of flaws in BIND (Berkeley Internet Name Domain) software that could be used by hackers to crash or gain control of Domain Name System servers.
Cathay Checks In
Hong Kong-based Cathay Pacific Airways has introduced a service that will allow its frequent-flier customers to check in for flights prior to leaving for the airport. The service is offered through Sabre Holdings SmartSourcing technology. Northwest Airlines was among the first to pilot such a service, offering Internet check-in to some corporate clients in early 2000.
Intel has decided to finally pull the plug on its iCat subsidiary, a service that hosted electronic storefronts for small and midsize businesses. Its just the latest setback for Intel on the e-commerce front. Last summer Intel and SAP were forced to pull the plug on Pandesic, a high-profile joint venture providing application hosting services for the retail industry.
Internet consulting firm Razorfish announced plans to cut its work force by 20 percent as part of an overall plan to reduce expenses by $70 million in 2001. Razorfish is just one of a number of Web consulting specialists that have been forced to restructure following a dramatic downturn in spending by dot-com clients.
Two of the largest sites on the Web that target female audiences have agreed to combine operations. IVillage will acquire rival Women.com in a stock swap valued at $47 million. The combined companies will target new revenue sources and perhaps create a research spin-off. At the height of the dot-com boom, iVillage shares traded above $100, but now trade closer to $2. Women.coms shares, once worth $15, now trade at under $1.