Arris Acquires Video Encoding Technology
SUWANEE, GA.: Arris, a manufacturer of communications gear serving mostly wired distributors, has acquired the assets of EG Technology for a reported $6.5 million. Under deal terms, Arris takes over EGT’s patents and video processing technology for digital networks, and will employ approximately 20 to25 of the existing employees. Arris said the acquisition complements its current video offerings by adding multifunctional, flexible, and scalable video processors to its portfolio of voice, video and data solutions.
“The addition of EGT’s video processing portfolio to the Arris portfolio is another step in our evolution towards addressing all of the quad play, three-screen needs of broadband network operators,” said Jim Lakin, presiden of Arris. “The primary benefits from this acquisition will be the long-term enhanced engineering and solution capabilities the EGT product portfolio will enable. The transaction is expected to be neutral with respect to earnings per share, excluding amortization of intangibles associated with the acquisition.”
Arris technology does video on demand, switched digital video and ad insertion. Arris in 2007 made a bid of more than $1 billion for Tandberg Television, but was subsequently outbid by Ericsson.
Jeff Baumgartner has more on the acquisition at Light Reading.