Chemical Engineer , Billionaire
Chairman and CEO of i2Technologies
New York: Dallas-based e-business solutions provider i2 Technologies, founded by Indian American billionaire Sanjiv Sidhu, on July 4 said it would post revenue loss for the second quarter which ended on June 30.
Take the Hyderabad-born Sanjiv Sidhu, 43. Son of a research chemist, Sidhu is an Osmania University graduate and did his chemical engineering from Oklahoma State University in the US.
Chairman and Chief Executive Officer of i2 Technologies, Sanjiv Sidhu, has been rated by Forbes ASAP magazine as the "wealthiest Indian immigrant" in the United States of America.
Sanjiv Sidhu, 43, ranked seventh on the magazine's list that includes a total of 33 billionaires (compared to 30 the previous year) in the hi-tech world. There were 12 new billionaires on the list. Worth $ 6.8 billion, Sanjiv Sidhu is up 583 per cent from less than a billion dollars last year.
Microsoft CEO Bill Gates retained his position at the top of the list in spite of $ 38.3 billion being chipped away from his $ 97.2 billion fortune. His lead over Oracle's founder Larry Ellison, placed second on the list, however dipped from $ 80.3 other Microsoft billionaires were among the top four - co-founder Paul Allen, ranked third with $ 24.4 billion and CEO Steve Ballmer ranked fourth with $ 15.3 billion. Intel co-founder Gordon Moore ranked fifth on the list and Dell Computer Chief Michael Dell came in at sixth place.
Co-founder and Chairman
of Massachusetts-based Sycamore Networks, Gururaj Deshpande, was the second
of three Indian-Americans to make it to the ranks of the tech world's billionaires.
Ranked 20th with a fortune of $ 1.81 billion, Deshpande's 20.8 per cent stake
in the company made him the magazine's "richest rookie".
"Sycamore's success didn't take me by surprise", a soft-spoken Deshpande had told The Asian Age in an earlier interview. "When you build something that doesn't surprise you. It might others who are not aware of the effort put in behind the scene". Juniper Networks founder Pradeep Sindhu, described by venture capitalist Vinod Khosla as "tech's biggest unsung hero", came in at 27th place with a total fortune of $ 1.56 billion.
The rest of the list, all the way up to a hundred, was peppered with a few Indian-American names. Hassan Ahmed, President and CEO of Massachusetts based voice-over-packet technology provider Sonus Networks, ranked 57th with a fortune of $ 427.5 million. Naveen Jain, founder, Chairman and CEO of InfoSpace and worth $ 369.2 million came in at 67th place. Naveen Jain made his fortune supplying content such as Yellow as White Pages, third party weather reports, and stock quotes to more than 3,200 websites.
The company said it expects to report total revenues of $ 235-240 million, including license revenues of $ 103-107 million.
Based on the estimated revenues, the company expects to report net loss of approximately $ 0.16 per share for the quarter, which includes a special charge for bad debt expense of approximately $ 25-27 million, or $ 0.04 per share.
Excluding this special charge would reduce the revenue loss to approximately $ 0.12 per share. The special charge was taken primarily as a result of adverse conditions surrounding dotcom and public marketplace customers, a company official said.
The announcement of revenue loss comes a month after Sidhu replaced himself with Greg Brady as Chief Executive Officer and cut its work force by 10 per cent as part of its restructuring drive.
"Market conditions were much more difficult than we had anticipated this quarter," Brady said adding that the depressed market sentiment "prevented us from achieving what we believed were conservative estimates for the quarter."
Chief financial officer of i2 Technologies Bill Beecher said, "One positive spot this quarter was expense control. We made better than expected progress at reducing our operating cost structure."
Sidhu, who founded the company in 1988, has always maintained that i2 is creating real value for its global e-business customers through its i2 TradeMatrix solutions, content and marketplace platform.
Earlier this year, one of its customers, Nike, alleged that i2's software solutions had some glitches that had affected the shoemaker's performance.
Providing a variety of collaborative e-business services for both the early stages and next generation of e-business adoption, the company has more than 5,700 employees and maintains offices worldwide.
It counts among its customers General Motors, Caterpillar, Visteon, Volvo Trucks as well as top clients in several sectors including pharmaceuticals and healthcare, energy sector, consumer goods, and retail.