US-based software company Cisco Systems bought all the shares of BNI Video, a software company it backed in October last year, for $99m in cash and retention-based incentives yesterday.
Cisco had said in May this year that video was one of five company priorities. The other four priorities it stated were: routing, switching, and services; collaboration; data center virtualisation and cloud; architectures for business transformation.
BNI, which was founded two years ago, raised more than $16m when Cisco backed it. The October fundraising was also backed by Comcast Interactive Capital, the corporate venturing unit of media group Comcast, and Time Warner Cable and venture capital firms Charles River Ventures and Castile Ventures. This venture backing helped BNI Video launch a video platform.
Marthin De Beer, senior vice president and general manager of Cisco’s Emerging Business Group, said: ""Cisco is committed to working with our service provider customers to deliver next-generation IP-based video experiences across devices. Service providers globally are embracing our Videoscape vision, and today with the acquisition of BNI Video, we are augmenting our Videoscape platform and giving customers a clear migration path to Videoscape."
Tony Werner, chief technology officer, Comcast, said: "As a founding investor in BNI Video, Comcast Ventures recognized the potential for this technology to play a critical role in advancing video experiences for Comcast’s customersd. "With the combined expertise in IP video systems, Cisco and BNI Video offer service providers a compelling software and infrastructure platform to efficiently deliver video content to multiple devices."
Mike LaJoie, chief technology officer, Time Warner Cable, said: "Time Warner Cable invested early in BNI Video, as it brought a unique software platform to market that addresses the back-office complexities of delivering TV Everywhere services. "Combining forces with Cisco presents an opportunity to take video service providers to the next level with Internet video, helping to manage networks more efficiently to deliver advanced TV entertainment experiences to consumers."