Light Reading
The book closes on one of the cable industry's most colorful and controversial vendors

Motorola Seals Up Terayon

Jeff Baumgartner
LR Cable News Analysis
Jeff Baumgartner
7/20/2007
50%
50%

The trials and tribulations of Terayon Communication Systems Inc. as a stand-alone entity have come to a close after Motorola Inc. (NYSE: MOT) completed its acquisition of the digital video specialist for $1.80 per share and a total value of $140 million.

Terayon has become a wholly owned subsidiary of Motorola and will be integrated into the company's newly created Home & Network Mobility business, which fuses together what was Motorola's Connected Home Solutions and Cellular Wireless Networks businesses. Dan Moloney, the head of Connected Home, is helming the newly combined entity.

Motorola said it will maintain Terayon's operations in Santa Clara, Calif. The deal is expected to have a neutral effect on Motorola earnings per share in 2007.

Following a bidding war that reportedly included Cisco Systems Inc. (Nasdaq: CSCO) and Harmonic Inc. (Nasdaq: HLIT) as other possible suitors, Motorola officially announced its intention to purchase Terayon on April 23, 2007. Terayon stockholders approved the deal on June 28. (See Motorola, Cisco Bidding for Terayon and Motorola to Buy Terayon for $140M.)

Motorola plans to use Terayon's products and expertise to shore up its digital video strategy. Of recent note, Terayon expanded its flagship CherryPicker Application Platform (CAP) with the release of the CAP-1000. Terayon claimed it to be the first video processing application platform to rate-shape "broadcast quality" MPEG-4 AVC-based standard- and high-definition video streams. (See Terayon Expands CherryPicker Lineup.)

Motorola, which just reported some disappointing second-quarter earnings due to flagging handset sales, is also trying to bolster its video and fixed mobile convergence strategy with acquisitions of Leapstone Systems Inc. and Modulus Video Inc. On Thursday, Motorola chairman and CEO Ed Zander said the company might pursue other "small acquisitions" in the IP and technology market, but didn't elaborate.

The closing ends the run of what was once among the most colorful and controversial vendors in the cable industry.

Terayon, once a supplier of Docsis cable modems and cable modem termination systems and a champion of the upstream-enhancing Docsis 2.0 platform, bugged out of that business for good in early 2005. Instead, the company trained its focus on digital video, spurred by Terayon's $100 million acquisition of Imedia Corp., the original maker of the CherryPicker, in July 1999.

Terayon was sued several years ago when CableLabs told the company to cease and desist claims that the vendor's S-CDMA technology would be part of an erroneous spec called Docsis 1.2.

S-CDMA, along with A-TDMA, eventually became part of Docsis 2.0.

— Jeff Baumgartner, Site Editor, Cable Digital News

(2)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View
Fotons
50%
50%
Fotons,
User Rank: Light Beer
12/5/2012 | 3:05:08 PM
re: Motorola Seals Up Terayon
If you had gone back a little farther into Terayon's history, you would have noted that Terayon's life was even more twisted than you indicated.

During the bubble, they had a MainSail product line that included IADs and a concentrator capability that was used by some telcos for aggregating ATM from DSLAMs. Quite a journey to get to the Cherry Picker...

Cheers
Jeff Baumgartner
50%
50%
Jeff Baumgartner,
User Rank: Light Beer
12/5/2012 | 3:05:05 PM
re: Motorola Seals Up Terayon
that is taking a trip in the Wayback Machine, but definitely one stop I missed in this collection of TERN highlights/lowlights, of which there certainly are many to cite.
Flash Poll
From The Founder
It's clear to me that the communications industry is divided into two types of people, and only one is living in the real world.
LRTV Custom TV
Using Service Quality to Drive WiFi Monetization

10|22|14   |   6:51   |   (0) comments


Live from the SCTE conference: Heavy Reading's Alan Breznick explores the forces shaping the WiFi opportunity in an interview with CableLabs' Justin Colwell and Amdocs' Ken Roulier.
LRTV Custom TV
Distributed Access Architectures – 2

10|21|14   |   8:51:00 AM   |   (0) comments


ARRIS CTO Network Solutions Tom Cloonan discusses why many if not most MSOs will continue with integrated CCAP, while addressing why some are also looking at two futuristic, distributed access architectures: Remote PHY and Remote CCAP.
LRTV Custom TV
Distributed Access Architectures – 1

10|21|14   |   9:01   |   (0) comments


SCTE Sr. Director of Engineering Dean Stoneback discusses the pros and cons of distributed access architecture (DAA) and its various forms, which range from basic Remote PHY to full CMTS functionality in the node.
LRTV Custom TV
The WiFi Road to Riches – 2

10|21|14   |   3:58   |   (0) comments


ARRIS Senior Solution Architect Eli Baruch talks about how MSOs can enable public and community WiFi through 1) outdoor access points, 2) businesses seeking to offer WiFi to customers, and 3) residential WiFi gateway extensions.
LRTV Custom TV
The WiFi Road to Riches – 1

10|21|14   |   10:15   |   (0) comments


SCTE Director of Advanced Technologies Steve Harris discusses WiFi deployments, drivers, challenges and advances, including 802.11ac, carrier-grade WiFi, community WiFi, Hotspot 2.0, Passpoint, WiFi-First and voice-over-WiFi.
LRTV Custom TV
Advantech Accelerates 100G Traffic Handling

10|17|14   |   7:56   |   (0) comments


Paul Stevens from Advantech explains why handling 100GbE needs a whole new platform design approach and how Advantech is addressing the needs of equipment providers and carriers to give them the flexibility and performance they will need for SDN and NFV deployment.
LRTV Huawei Video Resource Center
Holland's Imtech Traffic & Infra Discusses Huawei's ICT Solution and Services

10|16|14   |   4:49   |   (0) comments


Dimitry Theebe is from the business unit at Imtech Traffic & Infra which delivers communications solutions for transportations. His partnershp with Huawei began about a years ago. In this video, Theebe speaks more about this partnership and what he hopes to accomplish with Huawei.
LRTV Huawei Video Resource Center
Huawei's Comprehensive Storage Solutions Vital for SVR

10|16|14   |   6:16   |   (0) comments


SVR Information Technology provides cloud services for academic and special sectors. With Huawei's support, SVR and Yildiz Technical University has established Turkey's largest and most advanced High Performance Computing system. CSO Ismail Cem Aslan talks about what he hopes Huawei's OceanStor storage system will bring for him.
LRTV Huawei Video Resource Center
Mexico's Servitron's Impression of Huawei at CCW 2014

10|16|14   |   6:35   |   (0) comments


Servitron is a network operator in Mexico that has been in the trunking industry for the past 20 years. Its COO, Ing. Ragnar Trillo O., explains at Critical Communications World 2014 that his company has been interested in the long-term evolution of LTE technology and its adoption for TETRA.
LRTV Huawei Video Resource Center
Building a Better Dubai

10|16|14   |   2:06   |   (0) comments


Abdulla Ahmed Al Falasi is the director of commercial affairs, a telecommunications coordinator for the government of Dubai. Their areas of service span across multiple industries, including police, safety, shopping malls and more. In this video, Abdulla talks about his department's work with Huawei.
LRTV Huawei Video Resource Center
Huawei Lights Up Malaysia Partner Maju Nusa

10|16|14   |   1:59   |   (0) comments


Malaysia's Maju Nusa is an enterprise partner to Huawei in networking, route switches and telco equipment. At this year's Critical Communications World in Singapore, CTO Pushpender Singh talks about what Huawei's eLTE solutions mean to his company and for Malaysia.
LRTV Custom TV
Evolving From HFC to FTTH Networks

10|15|14   |   2:19   |   (0) comments


Cisco's Todd McCrum delves into the future of cable's HFC plant, examining how DOCSIS 3.1 and advanced video compression will extend its life and how the IP video transition will usher in GPON and EPON over FTTH.
Upcoming Live Events
October 29, 2014, New York City
November 6, 2014, Santa Clara
November 11, 2014, Atlanta, GA
December 2, 2014, New York City
December 3, 2014, New York City
December 9-10, 2014, Reykjavik, Iceland
February 10, 2015, Atlanta, GA
June 9-10, 2015, Chicago, IL
Infographics
WhoIsHostingThis.com presents six of the world's most extreme WiFi hotspots, enabling the most epic selfies you can imagine.
Hot Topics
Analysts Warn of Major NFV Gaps
Carol Wilson, Editor-at-large, 10/22/2014
Is Health the Killer App for the IoT?
Jason Meyers, Senior Editor, Gigabit Cities/IoT, 10/22/2014
Drones Hover Over the IoT Sector
Jason Meyers, Senior Editor, Gigabit Cities/IoT, 10/23/2014
Roku Raises $25M, But for What?
Mari Silbey, Independent Technology Editor, 10/23/2014
1959 Newsreel: Make Phone Calls – From Cars!
Mitch Wagner, West Coast Bureau Chief, Light Reading, 10/24/2014
Like Us on Facebook
Twitter Feed