Harmonic and Omneon have confirmed the signing of a definitive agreement in which Harmonic would acquire Omneon for some $274 million in cash and Harmonic stock. The proposed acquisition would combine Harmonic's position in video delivery infrastructure with Omneon's technology for the production, management and distribution of digital media.
“This proposed combination will position Harmonic to become a global leader in video infrastructure for the digital media industry,” said Patrick Harshman, president and CEO of Harmonic. He noted that media companies are being driven by ever-increasing demand for video content coupled with consumers' desire to consume video anytime and anywhere and that at the same time, the dramatic growth of video delivery over broadband and wireless networks was blurring traditional boundaries between content producers and service providers. He suggested that the combined company was uniquely positioned to capitalise on these trends and to accelerate revenue growth.