Amazon is bolstering its video delivery infrastructure with a move that could help put it in league with traditional broadcasters as the web and TV worlds merge.
Today, its Amazon Web Services division announced that it has reached an agreement to acquire Elemental Technologies, Inc., makers of software video solutions for multi-screen content delivery. Reports have pegged the purchase price at $500 million.
Elemental software takes live and on-demand video created for traditional MPVDs and re-format it for distribution to PCs, smart phones, tablets, and TVs. The company has more than 700 media customers, including popular over-the-top TV applications such as the BBC’s iPlayer, CNNGo, ESPN ScoreCenter, HBO GO, MSNBC Shift, and Sky Go and Sky Now.
Amazon plans to combine Elemental’s video solutions with its AWS Cloud platform to provide media companies with integrated solutions to scale video infrastructures as the media industry towards more internet-based delivery.
Founded in 2006, Elemental is based in Portland, Or., and has additional offices in the U.S., Hong Kong, Singapore, Japan, China, Russia, India and Brazil. The company will continue to operate under its existing brand, delivering its full range of services to clients, including pay TV operators, content programmers, broadcasters, governments and enterprise customers.