Ericsson has agreed to acquire 100 per cent of Fabrix Systems for $95 million (€73.5 million) in a bid to expand its TV and media portfolio by improving its platform for so-called "TV anywhere" services and applications.
The Sweden-based equipment manufacturer said Fabrix provides cloud storage, computing and network delivery for video applications such as such as cloud DVR and video-on-demand (VOD).
"TV service providers, particularly those with IP delivery networks, are accelerating their network architecture investments in video optimisation to deliver on the promise of TV anywhere," commented Ram Ben-Yakir, CEO and co-founder of Fabrix Systems.
Ericsson noted that consumers are rapidly embracing TV services that provide immediacy, ease of access, and personalized relevance. "This acquisition accelerates Ericsson's capability to meet consumers' expectations in the way they want to enjoy TV today and into the future," the company said in a statement.
To date, Fabrix has worked with TV service providers to provide consumer services such as DVR through cloud-based deployment, which promise lower overall costs.
The company was founded in 2006 and has offices in the U.S. and Israel with 103 employees. The acquisition is expected to close in the fourth quarter of 2014. Once completed, the company will be incorporated into Ericsson's support solutions business unit.
For more:
- see this Ericsson release
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