Ericsson Acquires Microsoft’s Mediaroom IPTV Business, Allows Microsoft To Focus 100% On Xbox

Posted on Apr 8 2013 - 7:28pm by Editorial Staff


With rumors high last month over Microsoft plans to sell Mediaroom IPTV business, the Reuters confirmed the news today that Ericsson has agreed on to buy Microsoft’s Mediaroom IPTV business, the tech giant subsidiary which built software that allows operators to broadcast television on the internet. If goes on Microsoft words, then the company now committed to give its 100 percent of focus on consumer TV strategy with Xbox.

The Mediaroom brings in 22 million set-top boxes which it powers to about 11 million subscriber households, and will make Ericsson the leader IPTV provider and multi-screen resolutions with a market share of more than 25 percent. The acquisition is expected to close during the second half of 2013 although till now no financial terms made public. The business unit is currently based in Mountain View, California, and employs more than 400 people worldwide.

Per Borgklint, SVP and Head of Business Unit Support Solutions at Ericsson, said:

“Ericsson’s vision of the Networked Society foresees 50 billion devices to be connected via broadband, mobility and cloud. Future video distribution will have a similar impact on consumer behavior and consumption as mobile voice has had.

This acquisition contributes to a leading position for Ericsson with more than 40 customers, serving over 11 million subscriber households. In addition, Ericsson will be powered with senior competence and some of the most talented people within the field of IPTV distribution.”

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