RGB Networks, a Sunnyvale, Calif.-based provider of network video processing solutions, has acquired RipCode Inc., a Dallas-based provider mobile IP video solutions. No financial terms were disclosed.
RGB Networks has raised over $52 million in VC funding, from Accel Partners, Comcast Interactive Capital, Kleiner Perkins Caufield & Byers, Focus Ventures and Institutional Venture Partners. Ripcode had raised around $38 million from Granite Ventures, Hunt Ventures, El Dorado Ventures, Vesbridge Partners and ATA Ventures.
RGB Networks, the leader in network video processing, has taken three screen delivery to the next level with today’s acquisition of RipCode, Inc., a privately held developer of solutions for mobile IP video. RGB will incorporate RipCode’s technology into its Video Multiprocessing Gateway (VMG) enabling video service providers to cost-effectively deliver services to their subscribers on TVs, PCs and mobile devices.
“As video service providers consolidate their headends and build converged delivery networks, they require highly reliable IP video solutions that scale efficiently across all subscriber devices,” said Jef Graham, CEO of RGB Networks. “With the integration of RipCode’s mobile delivery technology into our modular, high-density Video Multiprocessing Gateway, RGB can offer a unified content delivery solution for TV, PCs and mobile in a scalable, carrier-class platform. We are already seeing tremendous interest in our multi-function VMG and this bold move quickly takes our capabilities to the next level, providing a unique solution that directly satisfies our customers’ requirements for three screen delivery.”
RipCode’s technology for converting live and on-demand video content to formats required for the mobile environment, complemented by RGB’s field-proven transcoding and ad insertion capabilities for TV and PCs, offers a solution that has never before been available to operators. RGB’s chassis-based VMG already delivers industry-leading MPEG-2 and MPEG-4/H.264 stream processing quality and capacity for advanced video processing functions, including transcoding, ad insertion, transrating and grooming, with exceptional scalability and reliability. With the addition of mobile video delivery capabilities to this modular chassis, network operators will have the ability to perform any-to-any live and file video transcoding, adaptive delivery with Apple Live Streaming, Microsoft Silverlight, Adobe HTTP Streaming, and seamless multi-device ad insertion – all within a single carrier-class platform. This integration of leading technologies completes a one-of-a-kind solution that simplifies network architectures, streamlines operations and minimizes costs.
“Video service providers will require a new generation of high performance, highly reliable video processing solutions to implement ‘three screen’ service in which high-quality video is delivered to TVs, PCs and mobile devices on a large scale,” said Gerry Kaufhold, Principal Analyst with In-Stat, based in Scottsdale, Arizona. “Today’s announcement between RGB and RipCode demonstrates that they understand the requirements for these new solutions and that they have the necessary software and hardware components for this new generation of products.”
“Joining forces with RGB makes a lot of sense—not only does our flexible transcoding and delivery technology round out the second and third screen solution needs of RGB’s strategy, but it also strengthens RipCode’s solution scalability for many of our existing customers and opportunities,” said Brendon Mills, CEO of RipCode. “In addition to providing a very compelling solution for three screen delivery, we can also now add high-density, carrier-class transcoding, delivery, monetization and optimization into our existing solutions for web video service providers, mobile network operators and government live and on-demand applications. So this is a win-win not only for RGB and RipCode, but RipCode’s existing customers and partners as well.”
“We examined several options before concluding that integrating RipCode’s technology into our VMG would be the most effective way to complete a three screen solution that would meet the challenges faced by cable, telco and mobile operators,” said Yuval Fisher, RGB’s Chief Technology Officer. “We have built the VMG specifically to enable video service providers to seamlessly implement three screen delivery, serving as the heart of a new generation of IP-centric headends.”
In addition to tightly integrating RipCode’s technology into RGB’s product line, RipCode will continue serving its existing customers and markets with its transcoder hardware and software products. Nearly all of RipCode’s employees are being retained, including the engineering team, and will continue to operate out of RipCode’s office in Austin, Texas.
About RGB Networks
RGB Networks enables video service providers to migrate to a three screen environment for the delivery of linear and on-demand video over managed and unmanaged IP networks. The company’s success is based on core strengths in transcoding, advertising and overlay insertion, ultra-dense modulation and statistical multiplexing. RGB’s solutions for video delivery to TVs, desktop and mobile devices are built to deliver the highest video quality at the best price-performance on the market—they uniquely offer the density and scalability required to support the growing demands of consumers with integrated functionality that simplifies operators’ network architectures and minimizes operational costs. RGB’s products are deployed by over 200 cable, telco, satellite, OTT and mobile operators in 30+ countries. Backed by principal investors Accel Partners, Kleiner Perkins Kaufield and Byers, and Comcast Interactive, RGB is a private, profitable company based in Sunnyvale, California with offices around the world. For more information, please visit www.rgbnetworks.com.