Wireless Internet and e-mail provider OmniSky plans to acquire NomadIQ in all-stock transaction worth at least $18.75 million based on buyer’s Wed. closing price of $7.50 per share. Privately held NomadIQ provides location-based applications and services for handheld devices. OmniSky said it would issue 2.5 million shares of common stock, as well as up to one million additional shares over 12 months if certain performance targets were met.

Integra Telecom said it secured $41 million in equity financing from shareholders including Bank of America Capital Investors, Boston Ventures, Navis Partners, Shaw Venture Partners. Investment will be used to expand Integra’s customer base in its regional markets and pushes its total financing in 2000 to $252 million. Integra CEO Dudley Slater said he was “gratified” by market response since CLECs have been struggling for financing. Integra provides telecom services to small and midsized businesses.

News Corp said it wasn’t going to “risk negative credit rating” following negative forecast from Standard & Poor’s (CD Dec 27 p2) and would “proceed cautiously” in its negotiations for Saban Entertainment’s 49.5% stake in Fox Family Worldwide. S&P report on News Corp. came after Fox Family Chmn. Haim Saban exercised his option to sell his stake back to News Corp. Analysts valued stock at $1.2-$1.7 billion, while Saban estimated worth at $2 billion. Buying at that price, News Corp. could pick up bad credit rating, analysts said, which would undermine its effort to purchase DirecTV from Hughes Electronics.

Several members of Congress got off to fast starts this week, introducing Internet-related bills on familiar topics within days of returning to Washington. Among them: (1) Rep. Green (D-Tex.) introduced bill (HR-95) to protect “individuals, families and Internet service providers” from spam. It was referred to both Commerce and Judiciary Committees. (2) Rep. Frelinghuysen (R- N.J.) offered bills to require Federal Trade Commission to set regulations protecting Internet privacy (HR-89) and to regulate Internet companies’ use of social security numbers and other personally identifiable information (HR-91). He also dropped measures prohibiting telemarketers from interfering with any caller ID service (HR-90) and to ensure efficient allocation of phone numbers (HR-92). All were referred to Commerce Committee, of which Frelinghuysen isn’t yet member.

Coalition of major broadcasters, cable networks, movie studios, record companies, sports leagues and other content owners lobbied FCC for strong copy protection technology for advanced digital cable set-top boxes. In joint 4-page letter to FCC Chmn. Kennard Thurs., ABC, BMI, CBS, ESPN, Fox, Minor League Baseball, MPAA, NBC and RIAA argued that “cable interface devices must include the capability to protect certain high-value content against unauthorized copy and Internet retransmission” because of “the economics of producing and distributing high-value programming.” Responding to letter by House Telecom Subcommittee member Boucher (D-Va.) to Kennard last month, group also contended that advanced digital set-tops must be capable of providing some level of content protection “so consumers that purchase such devices will be able to receive the widest variety of program choices, including high-value programs that may be made available only if content protections are in place.” It said “alternative is to introduce devices in the marketplace that cannot provide content protection, and therefore cannot receive certain types of high-value programming.” Content owners also disputed Boucher’s contention that “freely broadcast programming should remain freely copyable,” contending that local broadcasters would be relegated to “the position of ‘low-value’ content distributors.” They questioned whether there was any public interest “in allowing consumers to make multiple copies of broadcast programming, or to retransmit broadcast programs over the Internet.”

Qualcomm signed royalty-bearing CDMA infrastructure equipment license agreement with GBase Communications, terms not disclosed. Agreement licenses certain Qualcomm patents and agreements to GBase to develop and manufacture wireless infrastructure equipment for in-building or campus network applications. Pact covers cdmaOne, cdma2000, cdma2000 1xEV.

Offering optimistic view in generally downbeat industry, McLeod USA told analysts Thurs. it expected its 4th-quarter revenue would exceed expectations at $408 million, with full-year revenue exceeding $1.4 billion. In conference call with analysts, company didn’t address projections that McLeod would face per- share loss for both periods but said its operating profit would be up. COO Stephen Gray said McLeod had 1.1 million access lines at yearend and its “fundamentals have never been stronger in terms of people, assets and execution.” CEO Clark McLeod said company had been “almost boring with our predictability.” He also announced Gray had been named co-CEO, reflecting fact that he and Gray have been sharing leadership in company. “Today we recognize that with our titles,” McLeod said. In answer to question, Gray said company’s acquisition of CapRock Communications would add $70 million to year-end revenue and offset operating profit by negative $2-$3 million. Later in day, Moody’s assigned B1 rating to $450 million in senior notes that McLeod said it planned to offer. Moody’s also retained negative outlook for all McLeod ratings to reflect “the risk of a company in its high-growth phase.” In addition, “generated cash flow is still modest relative to the company’s debt,” Moody’s said. Rating service said, on other hand, it took into consideration McLeod’s “strong management team, good strategy and established track record of strong business plan execution.” McLeod’s shares were up almost 19% at end of day to $19.88.

Globecomm said it signed $4.2 million contract with unnamed telecom company in southern Europe for development, integration and delivery of Ku-band satellite network.

Rural Task Force (RTF) asked FCC to act within 45 days on task force proposal for rural universal service revisions. In Jan. 3 ex parte letter, RTF said Federal-State Joint Board on Universal Service already had developed “extensive record” of comments on recommendation, so swift action was plausible: “Because the recommendation now in front of the FCC is unchanged from that put out for comment by the Joint Board, it is highly unlikely that an additional round of comments from the FCC is required.” If FCC decides to seek more comments, it ought to complete comment process in 30 days, RTF said. RTF Chmn. William Gillis said group realizes Commission had many demands but “each additional day of delay in implementing universal service reform for rural carriers puts at risk much-needed investment in rural America.”

GiantLoop Network and 360networks announced alliance in which latter will be GiantLoop’s preferred provider of N. American and transatlantic broadband services. In addition, 360 networks made “very minor” equity investment in GiantLoop, Waltham, Mass.-based fiber network.