OpenTV CEO Ben Bennett has countered criticisms from the Kudelski Group that the middleware company is not investing in the future. While reiterating that OpenTV management is remaining neutral on Kudleski’s $1.55 per share offer, Bennett told a conference call that investment in R&D was a case of perspective. “If you look at our plan for 2009, where other companies have been letting people go, we’ve been recruiting quite heavily both in the US and in China. Our plan is to call for an almost 20% increase in that headcount.”
Bennett said OpenTV was seeing increased activity in hybrid DTH and had set up an initiative to penetrate the market. Investment had already been made in the area, but Bennett believes further investment is needed in the area in order to be successful. Outside of Japan, OpenTV has no terrestrial interest, and Bennett sees the HbbTV initiative as an opportunity to enter this area.
OpenTV announced third quarter revenues of $31.8 million, an increase of 18% compared to $26.9 million for the third quarter of 2008. Adjusted EBITDA increased to $4.4 million for the quarter ended September 30, 2009, compared to $3.7 million for the third quarter of 2008.