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Ericsson to acquire Azuki Systems

Acquisition intended to extend vendor’s TV and media portfolio.

Traditional TV is shifting rapidly towards TV Anywhere.
Traditional TV is shifting rapidly towards TV Anywhere.

Ericsson this week announced plans to acquire Azuki Systems, a provider of TV Anywhere delivery platforms for service providers, content owners and broadcasters.

In a statement, Ericsson claimed that the acquisition will extend its TV and media portfolio - another step in a journey that began when Ericsson acquired Microsoft's Mediaroom in 2013. The vendor senses a shift in the delivery of viewing experiences, and is banking on TV Anywhere - whereby content can be viewed across a range of devices, over both wired and wireless networks - as a differentiator.

"Traditional TV is shifting rapidly towards TV Anywhere," said Per Borgklint, a senior vice president and the head of business unit support solutions at Ericsson.

"Azuki Systems further positions Ericsson to help customers deliver on the networked society's global demand for customised and personalised media experiences that include content on any screen, any time across any network."

The acquisition will see Ericsson take Azuki-developed technologies related to adaptive bit rate and content protection. Ericsson will also keep hold of a number of Azuki software engineers after the acquisition has been completed.

According to Jouni Forsman, research vice president at Gartner, however, Ericsson still has to prove that it can build better integrated capabilities across fixed and mobile networks.

"To deliver additional value from this acquisition Ericsson needs to convince its existing large telecom customers," Forsman told ITP.net.

Ericsson's acquisition of the company is expected to close before the end of February 2014, subject to conditions.