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Ericsson pays $25M for Technicolor broadcast services unit
|14 марта 2012|
Swedish wireless equipment maker Ericsson said it has submitted a binding offer of $25 million to acquire the Broadcast Services Division of Technicolor, giving Ericsson several big European broadcaster customers and about 900 new employees.The deal, which also allows for an additional payment of up to $12 million based on the business' revenues in 2015, gives Ericsson a substantial increase to its current broadcast operations in terms of channels managed and households reached. The deal also helps it move more aggressively into the business of providing managed services for broadcasters. It's expected to close in mid-2012.
The company said the acquisition is "in line with Ericsson's managed services strategy to broaden its capabilities in the broadcasting area."
"As the TV industry is undergoing fundamental changes with the transition to multi-platform, on-demand television, teaming up with a trusted partner enables broadcasters to meet the increasing commercial and technological complexity and competition in the TV market," said Magnus Mandersson, EVP and head of business unit global services at the company.
The deal will make Ericsson, already the top independent playout service provider in the Nordic countries, the leading independent playout service provider in Europe, the company said.
A little more than a year ago, Ericsson saw a big momentum builder for its business in Asia when Singapore's MediaCorp selected the company to enable and manage its new over-the-top service via broadband connection to its customers. The contract was Ericsson's first managed services deal with a media company in Asia, ncluded an array of Ericsson TV Everywhere solution and gave customers the ability to watch video content at any time, anywhere, on a wide variety of devices.