Technology

Cisco sells set-top-box biz to Technicolor for $600 million

http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/smartcrop_800x800/public/images/technology-images/2015/07/23/set-top-box.jpg?itok=KNza-MvK

MUMBAI: Cisco has sold its set-top-box (STB) business to Technicolor for $600 million in a cash and stock transaction.

The board of directors of the two companies will review the deal, which will be on a cash free, debt free basis.

Under the terms of the agreement, upon the closing of the transaction, Cisco will receive approximately $450 million in cash and approximately $150 million in newly issued Technicolor shares, subject to certain adjustments provided for in the agreement.

The acquisition should result in Technicolor’s connected home segment reaching adjusted EBITDA in excess of $219 million by year end 2016 and best-in-class profitability by 2017. The transaction will also translate into double-digit EPS accretion at Group level starting in the first full year after closing.

Simultaneously to the acquisition, Technicolor and Cisco will enter into a strategic partnership that will allow both companies to develop and deliver next generation video and broadband technologies, with cooperation on Internet of Things (IoT) solutions and services. The strategic agreement will provide ongoing commitment to all existing customers and expand offerings.

By combining their strengths and leading video expertise, from content creation to in-home delivery, the two companies will accelerate innovation and forge a leading entity that network service providers can rely on for their next generation connected home experiences.

Technicolor and Cisco also have signed a long-term patent cross-licensing agreement that covers specific intellectual property and patents from both companies. As part of the deal and after the transaction has closed of Cisco senior vice president and chief strategy officer Hilton Romanski, will join Technicolor’s Board of Directors.

Technicolor CEO Frederic Rose said, “We know that video expertise is essential to the future of creating outstanding network and home infrastructure products and services. Through this acquisition and strategic agreement, Technicolor can immediately bring its unrivalled experience and innovation in video creation, delivery, and display to more customers in more geographies, while strengthening our position as a technology leader.”

“The strategic relevance of video to every consumer, business, city and country around the world is only growing, and the market is moving rapidly. This is the right time and we have the right company in Technicolor to drive the future of the CPE business to deliver what our customers and partners need, today and into the future. At Cisco, we are prioritizing our investments to deliver on our strategy of video in the cloud, and will partner with Technicolor to position the CPE business and employees for future success,” added Cisco CEO and chairman John Chambers.

The $452 million cash portion of the consideration will be financed through cash-on-hand and fully-underwritten new debt with an anticipated limited impact on Technicolor’s leverage position.

Latest Reads

http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/05/17/Dalet.jpg?itok=0-5wx5GR
Dalet to expand opportunities for b'casters & content producers

MUMBAI: Dalet Digital Media Systems will present its forward-thinking, agile media solutions at the BroadcastAsia2017 show (BCA), held in Singapore from May 23-25, on stand 4T3-05. Dalet solutions streamline a wide range of workflows for broadcasters and media organizations around the world,...

Technology Software Applications
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/05/17/LG%20%26%20SES.jpg?itok=IJvnNLDE
LG & SES to demonstrate 4K high frame rate tech

MUMBAI: SES and LG Electronics will demonstrate OLED TV’s cutting-edge 4K High Frame Rate (HFR) broadcast at the tenth SES Industry Days conference in Luxembourg on 16 & 17 May. The 4K HFR content will be transmitted live via an ASTRA satellite at 19.2 degrees East and displayed on LG’s OLED TV...

Technology Software Applications
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/05/16/Michael%20Hawkey.jpg?itok=4U-bvF_d
TiVo brings entertainment to Panama Cable Onda subs

MUMBAI: TiVo Corporation, a global leader in entertainment technology and audience insights, today announced that Cable Onda, a leading television service provider in Panama and long-time TiVo partner, has agreed to expand its offerings and will soon offer its customers the latest TiVo Gateway DVR...

Technology Software Applications
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/05/11/Ian_Goldsmith-David_W_Jones_0.jpg?itok=PipNfkbS
Irdeto helps Rogue Wave Software secure banks & PSPs

MUMBAI: Irdeto, the world leader in digital platform security, and Rogue Wave Software, maker of Akana and a leading provider of API Management, API security and Microservices solutions for digital businesses, have announced a partnership to help banks and payment service providers (PSPs) protect...

Technology Software Applications
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/05/08/Nadeem%20Khan_2.jpg?itok=zyJc49bI
Gartner sees VIDIZMO as a 'challenger' for Enterprise Video Content Management

MUMBAI: VIDIZMO, a leading enterprise video platform provider, has been recognized as a challenger by information technology research and advisory firm Gartner Research, Inc. in its annual Magic Quadrant for Enterprise Video Content Management. The Gartner Magic Quadrant evaluates vendor...

Technology Software Applications
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/05/05/LATAM.jpg?itok=uWgTkYY0
Virtualise content: Prime Focus signs deal with Turner LATAM

MUMBAI: Prime Focus Technologies (PFT), the technology arm of Prime Focus, has signed an agreement with Turner Latin America, where PFT’s CLEAR™ Broadcast Cloud will provide work order and supply chain management along with end-to-end process monitoring of critical tasks, with reports and...

Technology Software Applications
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/05/04/Anil%20Ambani.jpg?itok=Dhy1Ez2I
R-Com signs pact with Aegis for VR & gaming, $ 36bn HPC market forecast

MUMBAI: Reliance Communications' undersea cable unit Global Cloud Xchange has entered into a HPC pact with two companies to provide cloud computing services. Traditionally, HPC has focused on serving end users, but the growth of IoT and Big Data, combined with the emergence of virtual reality and...

Technology Software Applications
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/05/03/chris.jpg?itok=jVQOBS-4
Content & OTT solutions: Alliance & India's Fullorbis tie up to sell NETArchive

Data archiving leader Alliance Storage Technologies and Fullorbis Technologies have teamed to expand sales throughout India. Fullorbis intends to sell and promote Alliance’s purpose-built NETArchive solutions to help archive, manage, optimize and protect critical data serving customers in a variety...

Technology Software Applications
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/05/03/Vynsley%20Fernandes%20and%20Sunil%20Ranadey.jpg?itok=oLYj8SoV
CastleMedia sets up Spyke for CPE and STBs repair

MUMBAI: Here’s some good news for the DTH Operators, MSOs and LCOs who used to get their STBs repaired from the neighborhood electrical shop at the hands of untrained, unqualified electricians.

Technology Hardware Set-top Boxes

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories