3Com, seeing its future in China, has promoted EVP Robert Mao to CEO and relocated him there. (3Com tried to sell itself to a Chinese investor group last year, but the Department of Defense blocked the sale.) To run its U.S. business, the telecom-equipment maker also rehired Ron Sege as chief operating officer. In 1999, then a senior vice president, he left the company to join Lycos, and subsequently served as CEO of Tropos Networks, a wireless-broadband startup. Nine years to go from SVP to COO? I've heard good tech jobs are hard to find on the East Coast, but this is ridiculous.

Microsoft's Yahoo bid is not the only one in trouble. The $2.2 billion offer for 3Com made by the private-equity firm Bain Capital and Chinese telecommunications company Huawei Technologies is no longer on the table. The company has been unable to work out a compromise with the Committee on Foreign Investment in the United States, a federal panel which has the authority to recommend the White House block or alter terms of deals that involve national security. [AP]

And we thought that Congress was going to be the main stumbling block for 3Com's buyout by Bain Capital and Huawei. Shareholders are suing 3Com, its directors, a former director, Bain Capital, Huawei Technologies, and the Easter Bunny over the "insufficient" purchase price. Just shut up and take the money. No one else is going to buy your little has-been networking-equipment company. [AP]

3Com's buyout by Bain Capital could get hung up in Congress because of Chinese telecom-equipment maker Huawei's involvement. The Committee on Foreign Investment in the United States could review the deal, examing the national-security implications of Huawei getting "shareholder voting rights, seats on the board or access to technology." [AP]

3Com has agreed to be acquired by Bain Capital for about $2.2 billion in cash — a 44 percent premium over Thursday's closing price. Included in the deal is a minority stake in 3Com for Chinese network giant Huawei Technologies, which is getting control of H3C, the companies' joint venture. By shutting out Nortel, which also was interested in 3Com, Huawei prevents its Canadian rival from getting a foothold in its rapidly expanding home market. [WSJ]