In a move that adds momentum to its play in the North American market, Pace Micro Technology aced a new multi-year set-top box and software licensing deal with Comcast Corp.
The deal replaces and expands a previous agreement between the two companies, said Michael Pulli, president of Pace's Americas division, which will make boxes for Comcast that work with the Motorola and Scientific-Atlanta conditional access systems.
The new, three-year deal is valued at $375 million to $550 million, depending on the mix of Pace boxes that Comcast orders. Comcast has plans to purchase a range of Pace boxes, including its Tahoe HD-capable digital video recorder.
Comcast also has opted to license Pace's EngineWare software and certain set-top box designs for North America. In addition, the two companies will jointly fund a non-exclusive development project led by Pace's engineering team that will seek to create next-generation set-tops and related technologies.