Biz Buzz

LONG ISLAND

Chip maker's 2Q profit falls

Standard Microsystems Corp. of Hauppauge, a maker of computer chips and in-car entertainment networks, reported quarterly financial results that included higher revenue but lower profits compared to the year-ago quarter. SMSC had $11.8-million income on revenue of $112.5 million for the three-month period ended Aug. 31, compared to $12.8-million income on revenue of $104 million for the corresponding quarter last year. SMSC, which sells its chips to computer makers and automakers, has steadily increased its network of vehicle makers, supplying entertainment and information system components to Audi, BMW, Daimler, Hyundai-Kia, Jaguar, Land Rover, Porsche, Toyota and Volvo. Comparing the quarter ended Aug. 31 to the year-ago quarter, the company's cost of goods increased sharply from $45.4 million in 2010 to $52.2 million this year, and its research and development costs rose nearly $3 million to $60.3 million. Net income per share dropped from $0.57 to $0.51. Second-quarter revenue included $8.7 million in sales related to its buy of BridgeCo, a maker of networked audio technologies. -- JOSEPH MALLIA

Delivering help for Philly papers

A Port Washington computer retailer, Systemax Inc., has contracted to help Philadelphia's two major daily newspapers with their marketing campaign to offer a $99 Android tablet, preloaded with newspaper apps, as an incentive for new subscribers. "The tablet has been specifically designed for publishers and at a price point that allows it to be bundled into subscriber marketing campaigns," Systemax said Tuesday. Systemax's prime subsidiary, the online retailer Tiger Direct.com, is doing the work. The product is called PubTab, as in publisher's tablet. The Philadelphia Inquirer and the Philadelphia Daily News are the first newspapers to make such a deal with TigerDirect. TigerDirect's contribution is its vendors and suppliers, its call centers and its delivery and technical support systems. It will take customer orders, ship the Androids to subscribers and fix or replace the tablets if needed. The 10-inch Android PubTab, manufactured by Archos, comes with a 1 GHz CPU and installed apps for the Inquirer, Daily News and their combined phillynews website. Systemax aims to market the same services to other publishers, saying PubTab is "a comprehensive, turnkey solution." -- JOSEPH MALLIA

NATION

Bernanke: Budget control needed

Federal Reserve Chairman Ben Bernanke said yesterday that the United States and other rich nations could relearn a few lessons from developing countries: Adopt disciplined budget policies, embrace free trade, make public investments and support education. In a largely academic speech in Cleveland, Bernanke spoke of the explosion of growth in emerging economies such as China, India and Brazil. But in his conclusion he appeared to criticize U.S. lawmakers and others in developed countries who he says have failed to embrace some key economic principles. -- AP

Justice scrutinizes Google deal

The U.S. Justice Department is taking a closer look at Google's proposed $12.5-billion acquisition of mobile phone maker Motorola Mobility. The extended review disclosed yesterday had been widely expected since Google Inc. announced the Motorola deal last month. Most of Google's big moves have been closely scrutinized by federal regulators because of the power it has gained as the Internet's search and advertising leader. Google also makes Android, a leading software system for mobile phones. The advantages that Google has gained from Android may be one of the focal points of the Justice Department's inquiry. Google has won approval for all its acquisitions so far. -- AP