Ericsson to acquire Microsoft Mediaroom

Ericsson to acquire Microsoft Mediaroom 
STOCKHOLM, SWEDEN -- (Marketwired) -- 04/08/13 --  
* Underlines Ericsson's commitment to being partner of choice for
Video     distribution across multiple networks and devices 
* Places Ericsson in lead for TV Anywhere consumption 
* Ericsson becomes leading player for innovative video distribution
with     combined market share of more than 25% 
Ericsson (NASDAQ: ERIC) has reached an agreement with Microsoft
(NASDAQ: MSFT) to acquire its TV solution Mediaroom business. This
will make Ericsson the leading
provider of IPTV and multi-screen
solutions with a market share of over 25%.
Closing expected during
the second half of 2013.   Mediaroom is situated in Mountain View,
California and employs more than 400 people worldwide. 
Per Borgklint, Senior Vice President 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
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." 
The global IPTV market is estimated to reach 76 million subscribers
in 2013 with
revenues of 32 BUSD, growing to 105 million subscribers
and 45 BUSD in 2015. 
"Mediaroom is the leading platform for video distribution deployed
with the world's largest IPTV operators. This strategic acquisition
positions Ericsson as an industry leader thanks to the skills and
experiences of the talented people
of Mediaroom combined with
Ericsson's end to end service capabilities" Borgklint
The total media solution portfolio of Ericsson in the TV and video
space combined with a further increased focus on consumer needs will
be the foundation
for providing services to end users. The importance
of video distribution capabilities for the customers and their
consumers will be increasing as more
and more LTE networks are
deployed and filled with smartphone users. 
"We are proud of the number one IPTV market position that we have
achieved with
Mediaroom. Ericsson's complementary portfolio of TV and
networking services will
help drive the future growth and development
of Mediaroom," said Tom Gibbons,
Corporate Vice President of
Microsoft Corporation. "Ericsson is positioned to be a valuable
strategic partner for operators and TV service providers around
world as the IPTV market evolves." 
Microsoft Mediaroom is the TV technology behind many of the world's
leading television service providers like AT&T U-verse(R), Entertain
of Deutsche Telekom, Telefonica, TELUS Optik TV(TM) and Swisscom.
Mediaroom-powered TV services are offered on more than 22 million set
top boxes deployed throughout
the Americas, EMEA and APAC. 
Ericsson already sees that the ever-changing behaviors of TV
consumers are evolving faster than ever. Speed of innovation and
intelligent solutions drive
consumer propositions in TV anywhere.
This development will continue to fuel the industry as convergence
becomes reality. The development requires content owners,
broadcasters, TV service providers and operators to re-think their
This move builds on Ericsson's triple Emmy award-winning leadership
in the media
industry, providing its customers with a truly unique
experience in TV anywhere
spanning the entire media value chain from
camera to consumer. 
The agreement is subject to customary regulatory approvals and other
Mediaroom will be incorporated into Business Unit Support
Photo and bio of Per Borgklint 
Ericsson has pioneered innovation
within the TV and video area for over 20 years, enabling the entire
media value chain from content acquisition through to delivery of
premium content and enhanced TV experiences to the consumer. Our
multimedia content is available at the broadcast room: 
Download high-resolution photos and broadcast-quality video at 
Ericsson is a world-leading provider of communications technology and
We are enabling the Networked Society with efficient
real-time solutions that
allow us all to study, work and live our
lives more freely, in sustainable societies around the world. 
Our offering comprises services, software and infrastructure within
and Communications Technology for telecom operators and
other industries. Today
40 percent of the world's mobile traffic goes
through Ericsson networks and we
support customers' networks
servicing more than 2.5 billion subscriptions. 
We are more than 110,000 people working with customers in more than
180 countries. Founded in 1876, Ericsson is headquartered in
Stockholm, Sweden. In
2012 the company's net sales were SEK 227.8
billion (USD 33.8 billion). Ericsson
is listed on NASDAQ OMX,
Stockholm and NASDAQ, New York stock exchanges. 
Acquire Microsoft Mediaroom press release PDF: 
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Source: Ericsson via Thomson Reuters ONE 
Ericsson Corporate Communications
Phone: +46 10 719 69 92
Ericsson Investor Relations
Phone: +46 10 719 00 00
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