Ericsson Snaps Up U.K.-Based Video Services FirmRed Bee Media’s Client Roster Includes ESPN, Disney, Liberty Global, Discovery and Turner 7/01/2013 4:26 AM Eastern
Ericsson has inked a deal to acquire Red Bee Media, a U.K.-based media firm that specializes in broadcast TV and multiscreen video services.
Financial terms were not disclosed, but Ericsson said the deal will strengthen its broadcast services unit, which was launched in 2007 and expanded in 2012 via the acquisition of Technicolor’s Broadcast Services Division.
Through the deal, Ericsson will add 1,500 employees, pushing its U.K.-based workforce beyond 4,000, making it a “global media hub” for Ericsson. It will also pick up media services and operations facilities in the U.K., France, Germany and Australia.
Red Bee Media, founded in 2005, provides a range of media services, including media asset management, playout, digital video publishing, and metadata services. The company which claims to deliver more than 100,000 hours of subtitling per year for leading broadcasters, formed a partnership with Cisco Systems in 2011 to combine its RedPlayer service with key elements of Videoscape, Cisco’s managed multiscreen platform for service providers.
According to the Red Bee Media Web site, its clients include ESPN, UPC, Disney, Liberty Global, PBS, Discovery Channel, BBC, MTV, QVC, Orange, Turner, Fox, Canal+, and CNBC Europe, among others.
"We can create value for broadcasters by making digital content more accessible, enabling monetization of TV content more efficiently. Video traffic shows very strong uptake in the mobile networks and Ericsson can address the need of both broadcasters and telecom operators through our technology expertise and services capabilities,” said Magnus Mandersson, Ericsson’s EVP and head of business unit global services, in a statement.
Red Bee Media will be folded into Ericsson’s Business Unit Global Services when the deal is closed.
Red Bee Media marks the latest significant video-focused buy for Ericsson. In April, Ericsson struck a deal to acquire Microsoft’s Mediaroom business, with plans to fuse its own multiscreen product with Mediaroom and create a unified, next-gen IPTV platform.