Cogeco Cable, Canada's fourth-largest MSO, has purchased MPEG-2 digital video encoding equipment from EGT Inc. as part of a plan to optimize video quality and channel efficiency for new services such as video-on-demand and high-definition television. EGT valued the deal at $1 million.
EGT emerged from stealth mode last month with an encoding platform the company claims can converge bandwidth costs by 30 percent while also maintaining video quality. Thanks to its use of programmable DSPs, a key component of EGT's strategy is to help operators shift from analog to digital. The company expects to add MPEG-4/H.264 and Windows Media 9 support in 2005.
Cogeco, which is in the process of migrating to an all-digital environment, purchased 50 EGT encoders last November. "We placed a larger follow-on order this Spring, so that most of our network can benefit from the improved video quality, bandwidth economics and architectural simplicity we've gained," said Cogeco VP of Corporate Engineering and Development Denis Bélanger, in a statement.
EGT has also announced deployments with Persona Communications and Mountain Cablevision - two Canadian MSOs.