Advanced Television

Ericsson acquires Fabrix for $95m

September 12, 2014

Ericsson has entered into an agreement to acquire Fabrix Systems, a provider of cloud storage, computing and network delivery for video applications that power some of the most advanced cable and telecom cloud DVR deployments.

Fabrix Systems further extends Ericsson’s TV and media portfolio with a cloud based scale out storage and computing platform focused on providing a simple, tightly integrated solution optimised for media storage, processing and delivery applications such as cloud DVR and VoD expansion. The approach takes advantage of the latest advances in clustered storage; grid computing; virtualisation and video processing technologies enabling a wide range of applications.

The acquisition enables new services and migration to cloud DVR deployments in all TV platforms including Ericsson MediaFirst and Ericsson Mediaroom. It also adds to Ericsson’s video-centric network and services capabilities to ensure that video can be managed, stored and delivered from the cloud to all TV Anywhere devices efficiently and with assured quality of experience.

Per Borgklint, Senior Vice President and Head of Business Unit Support Solutions at Ericsson says, “We are investing significantly across our TV platform and video-network areas to extend our market leadership position. Our Media Vision 2020 shows that traditional TV is shifting rapidly towards TV Anywhere and Ericsson’s leadership in broadcast, video and networks places us in a unique position to enable the most demanding customers to define and deliver the future of TV. Fabrix Systems further positions Ericsson to help customers deliver on the Networked Society’s global demand for personalised video content on any screen, at any time.”

Ram Ben-Yakir, CEO and co-founder of Fabrix Systems, says: “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. Through worldwide deployments of our cloud storage and computing capabilities, we have enabled leading TV service providers to provide consumer services such as DVR through cloud-based deployments, lowering costs and enabling a more unified consumer experience in content on-demand.”

Fabrix Systems was founded in 2006 with offices in the US and Israel and brings a team of skilled cloud computing software engineers. The company has 103 employees. The purchase price for 100 per cent of the shares in Fabrix Systems is $95 million. The acquisition is expected to close in the fourth quarter, 2014, subject to customary closing conditions. Fabrix Systems will be incorporated into Business Unit Support Solutions.

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