Ericsson has sold 51 per cent of its Media Solutions business to a private equity company.
One Equity Partners will become the new majority owner of Media Solutions business with assets and staff transferring to a new independent company when the deal closes in the third quarter of 2018.
Ericsson said the new company "will establish Media Solutions as a leading independent video technology company with strong and committed financial support driving continued investment in innovation and growth."
Angel Ruiz, who will continue to lead Media Solutions as the CEO, said: “The work we have done to integrate and advance our end-to-end roadmap is paying off in strong customer engagement. One Equity Partners brings valuable experience in the media and telecom sectors, and we’re confident that we have found the right partner to further develop and grow the business.”
Ericsson says it will now focus on developing Red Bee Media.
Steve Nylund, CEO, Red Bee Media, said: “Red Bee Media is already today a leading broadcast and media service provider, with a strong customer base among the top tier broadcasters and service providers. Our focus is now on improving and transforming Red Bee Media, in partnership with our customers, to enable our full potential as an independent and focused media services business.”
This article originally appeared in TVB Europe.