Tandberg snags SkyStream for $80 million
Tandberg Television today purchased SkyStream for $80 million in a deal that expands Tandberg’s service offerings. SkyStream, founded in July, 1996, provides IP-based video transmission services while Tandberg’s expertise is in the hardware used to deliver those services.
“The sands are shifting in the digital media market and there is an inevitable level of industry consolidation taking place. In a marketplace with a number of acquisition opportunities to pursue, we chose to acquire SkyStream because of the company’s best-in-class technologies and its strong culture of building revenue and profitable growth,” says Eric Cooney, President and CEO of Tandberg Television.
SkyStream’s high density Mediaplex-20 and iPlex switched digital video headends for MPEG-2/MPEG-4 AVC encoding and transcoding are used extensively by IPTV operators in Asia, Europe and the US. These solutions deliver lower cost, higher-density solutions to cable and satellite operators and will be a valuable extension to Tandberg’s DTH head end systems and its industry leading MPEG-4 AVC HDTV compression solutions. In addition, SkyStream’s zBand content delivery software for push on-demand services is highly complementary to the TANDBERG N2 On-Demand solutions and gives the company a complete ‘push and pull’ on-demand offering.
TANDBERG Television and SkyStream already share a number of common customers and the companies’ solutions sit side-by-side in telco and satellite networks and combine to enable operators to deliver advanced IPTV and HDTV services.
“The combination of the SkyStream business and Tandberg Television provides tremendous opportunities for our customers, our partners and our employees,” says James Olson, CEO of SkyStream.