Shares of Palm ( PALM) were among technology's losers Friday, sliding 12% after the maker of handheld computer devices posted solid fourth-quarter results but gave a weaker-than-expected projection for the first quarter.

For the three months ended May 31, the company earned $27.2 million, or 25 cents a share, on revenue of $403.1 million. Excluding items, the company earned $30.6 million, or 29 cents a share. Analysts polled by Thomson First Call expected earnings of 23 cents a share, before items, on revenue of $401.7 million. During the year-earlier period, Palm earned $17.7 million, or 17 cents a share, on revenue of $335.8 million. Excluding items, year-earlier earnings were $19.2 million, or 19 cents a share.

Palm sees first-quarter adjusted earnings of 18 cents to 19 cents a share, below analysts' forecast of 22 cents. The company projects revenue of $380 million to $385 million, compared with analysts' projection of $413.4 million. Shares were trading down $2.10 to $16.56.

Saba Software ( SABA) plunged 23% as investors were disappointed with the software company's fourth-quarter results and first-quarter guidance. For the period ended May 31, the company reported a loss of $3.5 million, or 12 cents a share, on revenue of $23.1 million. The results included one-time items that lowered earnings by 16 cents a share. A single analyst expected the company to earn 7 cents a share on revenue of $23.5 million. During the year-earlier period, the company recorded a loss of $572,000, or 3 cents a share, on revenue of $12 million.

Looking ahead, Saba sees a first-quarter loss of 11 cents to 14 cents a share, including one-time items that will cut earnings per share by 16 cents. The company anticipates revenue of $22 million to $23 million. The single analyst forecast calls for earnings of 9 cents a share, with revenue of $22.1 million. Shares were trading down $1.60 to $5.35.

Shares of RSA Security ( RSAS) soared 19% after the seller of identity and access-management systems agreed to be acquired by EMC ( EMC) for nearly $2.1 billion in cash, or $28 a share. The price tag represents a 22% premium to Thursday's closing price of $22.88. On Thursday, shares of RSA jumped 18% ahead of the official acquisition announcement. On a pro forma basis, the acquisition is expected to be neutral to EMC's earnings during 2007 and accretive to earnings by 3 cents a share during 2008. The deal is expected to close during the late third quarter or early fourth quarter. Shares of RSA were trading up $4.36 to $27.24, while shares of EMC dropped 80 cents, or 7%, to $10.45.

Airspan Networks ( AIRN) plummeted 36% after the wireless-networking equipment company said a supply contract with one of its biggest customers to deliver $42.9 million of WiMax equipment was amended. Under the new agreement with Japan's Yozan, some $16.8 million in equipment that had been delivered against cash payments will be considered accepted. However, 40% of the remaining deliveries will be delayed. What's more, the deliveries are subject to revised payment terms. Airspan also said the remaining deliveries are subject to mutually satisfactory renegotiation and could be cancelled.

Because the company and its independent auditor are still in the process of assigning a fair value to the Yozan Tri Band contract, Airspan said may still not be able to record any of the $16.8 million in products shipped during the second quarter to Yozan. "If no such revenues are recorded, Airspan's second quarter revenues are likely to be consistent with its first quarter results, as it expects to deliver $24 million of products and services to its other customers," the company said. Airspan posted revenue of $23.8 million during the first quarter. Analysts are projecting second-quarter revenue of $39.1 million. Shares were trading down $1.31 to $2.36.

Shares of Qiao Xing Universal Telephone ( XING) tumbled 18% after the telecom-products company posted lower first-quarter earnings, as results were weighed down by options costs. The company's earnings from operations fell to $2.1 million from $5.9 million a year earlier. Revenue rose to $84.1 million from $71.1 million. Without stock-based compensation costs, Qiao Xing said it would have earned $9.4 million during the most recent period. Shares were trading down $2.21 to $10.04.

Other technology movers included Level 3 Communications ( LVLT), up 9 cents to $4.19; Microsoft ( MSFT), up 5 cents to $23.52; Intel ( INTC), down 28 cents to $19.04; Cisco Systems ( CSCO), down 13 cents to $19.78; Oracle ( ORCL), up 8 cents to $14.82; Apple Computer ( AAPL), down $1.51 to $57.46; Sun Microsystems ( SUNW), down 3 cents to $4.11; JDSU ( JDSU), down 3 cents to $2.40; Applied Materials ( AMAT), down 19 cents to $16.36; Lucent Technologies ( LU), down 1 cent to $2.44; and Nortel Networks ( NT), down 3 cents to $2.25.