Here is a strong case for another
situation of Conflict of Interest. Grew Crew who is on the Board of Directors of
ICANN who will be voting on the new tld applications is also employed by MelbourneIT
who we all know is part of the Neustar bid for .web I find this situation to be worse
that the controversy surrounding Ken Stubbs.
Now some of you may say that he will
be stepping down, true however that will not happen until AFTER the vote!!
IT AND ERICSSON AUSTRALIA ANNOUNCE JOINT VENTURE COMPANY
Melbourne IT, 07/09/00
by Melbourne IT
(7 September 2000, Melbourne, Australia) Melbourne IT (ASX: MLB)
and Ericsson Australia Pty Ltd today announced they have signed a Shareholders’ Agreement
to create a joint venture company to develop mobile internet and secure mobile eCommerce
The new joint venture builds on the current group of 70 software
engineers which has operated as ASAC (Advanced Services Application Centre) for over
five years. ASAC is an unincorporated venture between the two organisations, based
in Melbourne, that won the status of an Ericsson Global Design Centre in 1996. With
the anticipated development of the business, this group is expected to grow to more
than 200 by 2003.
Managing Director of Ericsson Australia, Mr Karl Sundstrom,
said that the ASAC team had already demonstrated world class capabilities in bringing
new software intensive products quickly to market, such as Smart Message Services,
Intelligent Network products, Televoting and early Wireless Application Protocol
“The new JV reflects Ericsson’s business strategy of developing
close alliances with trusted partners around the world, who can bring complementary
competences into our diverse production capability. Melbourne IT not only is a respected
technology player in the global Internet domain registration market, its international
channel partner network provides a window into eCommerce that complements Ericsson’s
extensive worldwide customer network,” Mr Sundstrom said.
CEO of Melbourne IT,
Professor Peter Gerrand said “The further development of WAP enabled technologies
and secure eCommerce products provides the joint venture with an outstanding opportunity
to position Australian technology on a global scale.”
“Melbourne IT will hold 50%
equity in the joint venture, which will give us equity participation in many new
secure mobile eCommerce applications that can be sold via Ericsson’s and Melbourne
IT’s respective distribution networks,” Professor Gerrand added.
Gerrand and Sundstrom
said they were delighted that Mr Greg Crew had accepted their invitation to act as
independent Chairman of the new JV. Mr Crew is Vice-Chair of Internet governing body
ICANN, a director of ERG and Chairman of the Australian Telecommunications Education
Centre in South Australia. The designated CEO of the JV will be Mr Tom Dangthanh,
formerly Technical Director and a co-founder of Melbourne IT.
Mr Sundstrom highlighted
the synergies that exist between the two companies in forming the joint venture.
“Even though Ericsson is already Australia’s largest private investor in research
and development in this area, this strategic alliance with Melbourne IT will significantly
accelerate our development programs here in Australia and bring ‘anywhere, anytime
access’ to Australians much sooner.”
“We are both committed to lowering the barriers
to e-commerce for Australian businesses, removing any perceived risks that slow adoption
and disadvantage us in the global marketplace.”
“Importantly, we will be able to
distribute and sell the third generation products that evolve from this through our
own telecommunication carrier customers and mobile resellers, as well the Melbourne
IT’s extensive Internet distribution networks,” Mr Sundstrom said.
It is expected
the joint venture Company will formally commence operations in January 2001. The
company will be based in Melbourne, have a capital underwriting of $10M and will
initially employ 70 to 100 staff.
Professor Gerrand said that “This announcement
confirms the revitalising and growth of the ASAC line of business that was foreshadowed
in the Melbourne IT prospectus, the company’s Annual Report in May, and at the recent
delivery of half-year results.
How can this process possibly be fair?
I am wrong however it is painfully obvious that something is amiss