Thursday, May 17, 2007

Motorola to Acquire Modulus Video

Motorola has agreed to acquire Modulus Video, a privately held company focusing on MPEG-4 AVC encoding systems. The terms of the agreement have not been announced.


I have heard that Modulus has sold MPEG 4 encoders to ATT in the U.S. and Telefonica in Spain. This acquisition will beef up Motorola's ability to support MPEG-4 services.

2 comments:

Ohad said...

Bob

even at risk of sounding like a broken record, I can't connect the dots regarding MOT's intents towards each of the vertical telecommunication markets. (telco, cable, satellite)

They are buying amazing technologies at a very cheap price, no doubt, but how does it all fit in? until recently , they haven't seemed to nbe intersted in IPTV but TERN and Modulus changed that. besides, it isn't likely they bought TUTS and modulus both for encoding capabilities, right?

Ohad

Bob Larribeau said...

Ohad,

Keep in mind that Motoroala has:

1. A very strong position in the U.S. and global cable markets.

2. A strong position in the U.S. IOC and Canadian IPTV access market through its acquisition Next Level.

3. A strong position in the U.S. RBOC IPTV set-top box market with contracts with Verizon and ATT. It also sells fiber access systems to Verizon for FiOS>

4. A strong position in the international IPTV set-top box market with its acquisition of Kreatel.

The recent acquisitions fit right in with this. Terayon and Modulus should also help it the cable market as well.

What they are doing seems to be a pretty logical step by step approach to the video market.

Bob