Ericsson has made another big stride into the media services sector with the announcement that it is to acquire Red Bee Media.
The purchase price has not been disclosed.
The former BBC Broadcast division has 1,500 staff in the UK and Australia. It was spun off from the BBC in 2005 and bought by a Macquarie-backed venture, specially established for the acquisition.
Thorsten Sauer, Head of Broadcast Services, Ericsson told Broadband TV News that the intended acquisition brought with it a strong presence in IP video publishing, editorial metadata, access services and creative services. “It’s important customers understand the value here and we want to leverage the skillset,” he said.
Ericsson has been gradually building its interest in media services. Last year it acquired the Technicolor playout business for €19 million. It took over playout operations at TV4, having previously handled media services for the then Canal+ Nordic, before its acquisition by te Swedish commercial broadcaster.
Sauer said Ericsson has demonstrated the ability to cater for complex and customer specific workflows as well as the more standardized requirements of thematic channels.
Red Bee maintains contracts with the BBC, as well as providing services for companies including Canal+, Chellomedia and Channel 4, amongst others. There are also facilities in France, Germany, Spain.
