ATX Networks buys Arcos Technologies
ATX Networks has acquired Arcos Technologies, a manufacturer of video systems designed to optimize the delivery of multiple private video streams in any format anywhere.
The purchase price, according to Isreali news sources, could total over $26 million; just less than half that amount is to be paid upfront, with much of the balance to be paid as royalties contingent on future sales.
ATX has been relying on Arcos to provide a number of the video processing products it sells. The company name will change to ATX Networks Israel.
Arcos was founded in 2004 in Israel by CEO and co-founder, Yariv Reches and CTO and co-founder, Avi Eliyahu. Reches and his team will continue to lead the daily operations of the Israeli-based location.
Reches said, "Arcos was particularly attracted to ATX because of their strong presence in the digital video market. As the demand for high definition content and video-on-demand becomes stronger, Arcos' advanced solutions and ATX's existing customer relationships will position the companies for solid growth."