Amazon Web Services Acquires Elemental Technologies

Amazon Web Services has reached an agreement to acquire Elemental Technologies, specialists in software-defined video solutions for multiscreen content delivery. Elemental will continue to operate under its current branding and develop and sell its own video solutions.

AmazonWebservices_LogoTerms of the acquisition were not disclosed and are still subject to closing conditions. The deal is expected to close in Q4 of 2015.

This acquisition is significant as the media industry increasingly moves to internet-based delivery. The deal brings together Elemental’s video solutions with the AWS Cloud platform to provide a range of integrated solutions to scale video infrastructures.

“The media and entertainment industry is going through a shift in technology that is unprecedented,” Kalyanaraman Prasad, VP, Edge Services for Amazon Web Services said during a conference call Thursday afternoon following the announcement. “While it is very early in this evolution, we believe that Elemental’s deep media processing expertise at the high end of the market combined with AWS Cloud will allow customers to focus the majority of their time and effort on innovations that will differentiate their viewers’ services.”

Elemental will expand the integration of its offerings with AWS and will collaborate in the development of next-generation services that feature a range of solutions for customers leveraging on-premises assets, hybrid architectures, and cloud.

“The media and entertainment industry is at a unique inflection point, and as a part of Amazon, we will be in an even stronger position to help our customers delight their viewers globally,” said Sam Blackman, co-founder and CEO of Elemental. “We’re thrilled to have Amazon supporting our growth and ongoing commitment to our customers’ success.”

Elemental software assists media and entertainment companies in taking live and on-demand video destined for traditional networks like cable, satellite, or over-the-air broadcast and re-format that content for distribution to PCs, smart phones, tablets, and TVs. The company has more than 700 media franchise customers and powers over-the-top sports TV (OTT) applications like ESPN ScoreCenter and media portals such as HBO GO, CNNGo, MSNBC Shift, and Sky Go and Sky Now. Elemental is also a leader in the world of 4K, supporting the world’s first Ultra HD services, including those that were delivered by the BBC during the 2014 World Cup.

“Elemental shares Amazon’s passion for invention and putting the customer first,” Andy Jassy, Senior Vice President of Amazon Web Services said in an official release. “Together, we’ll collaborate on deeper technology integrations and new infrastructure offerings so that media and entertainment companies can evolve their hybrid and cloud models as they continue to innovate their services for viewers.”

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