Light Reading
3:15 PM ADT looks even more cable-friendly after industry vet Arthur Orduña joins the home security giant, which has been the topic of M&A scuttlebutt

ADT Adds a Cable Guy

Jeff Baumgartner
The Bauminator
Jeff Baumgartner
10/22/2012
50%
50%

3:15 PM -- ADT Corp. , the newly spun-off residential security unit of Tyco International Ltd. (NYSE: TYC; London: TYI), appears to be getting more and more cable-friendly by the week.

The latest: Arthur Orduña, a former Bright House Networks exec who initially served as CTO and later as chief product officer at the cable-backed Canoe Ventures LLC advanced advertising J.V., has joined ADT as chief innovation officer, reporting to CEO Naren Gursahaney. (See Cable Guy Heads to ADT.)

Orduña, who most recently consulted with eBay Inc. (Nasdaq: EBAY)'s PayPal unit, is tasked with leading ADT's "long-term vision" and putting together a strategic roadmap to help "position the company as a partner of choice." (See Comcast Cozies Up to PayPal .)

ADT's long-term prospects have been a subject of much speculation after it became a stand-alone company with about 6.5 million customers in North America.

While recent comments by ADT's new CEO indicate that the company intends to go it alone, the rumor circulating for months is that the spinoff puts ADT in prime position to be acquired by Comcast Corp. (Nasdaq: CMCSA, CMCSK) or Verizon Communications Inc. (NYSE: VZ), two service providers that are relatively new to the home security/automation market and compete directly with ADT. The theory is that one of them could make a play for ADT and become the sector's market leader virtually overnight. (See Comcast Goes Big With Xfinity Home , How ADT's Spinoff Could Affect Google and Will Service Providers Steal ADT's Customers?)

If ADT's long-term vision includes how to fit into service provider architectures, including cable's, Orduña's certainly the kind of guy to help make that happen -- whether that's to help out with potential partnerships or to help ADT get ready for an outright acquisition.

As we've noted, ADT already has some very cable-friendly linkages. Edward Breen, the former chairman and CEO of Tyco who once ran the show at Motorola and General Instrument Corp., is still on the Tyco board. Frank Drendel, the founder and chairman of another key cable supplier, CommScope Inc. , joined the Tyco board in late September.

— Jeff Baumgartner, Site Editor, Light Reading Cable

(3)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View
joanengebretson
50%
50%
joanengebretson,
User Rank: Light Beer
12/5/2012 | 5:18:46 PM
re: ADT Adds a Cable Guy


I agree it certainly would appear that ADT is being prepped for a sale to Verizon or Comcast or another cable company.


But you wouldn't know that from ADT's television ads, which talk about the company's years of experience that give it an edge over newcomers.


Those newcomers undoubtedly are the same broadband providers who would appear most likely to acquire ADT.


 


 


 


 

joanengebretson
50%
50%
joanengebretson,
User Rank: Light Beer
12/5/2012 | 5:18:46 PM
re: ADT Adds a Cable Guy


Good point about iControl.


ADT also has central monitoring facilities that could be attractive to Verizon or Comcast. Comcast currently relies on a third-party central station and Verizon doesn't currently offer central station monitoring.

Jeff Baumgartner
50%
50%
Jeff Baumgartner,
User Rank: Light Beer
12/5/2012 | 5:18:46 PM
re: ADT Adds a Cable Guy


That makes sense. They all remain directly competitive, so that will certainly come through in their marketing. But I did get a good question: why would ADT try to sell after they go public? My guess is they'd like to know what the market value is if they are going to weigh offers, if that's the direction they end up taking.  But such a deal makes some sense for Comcast and Verizon if they want to turn their efforts into a material businss much faster than they could trying to scratch and claw into the market on their own.


Plus, the cable guys have a pretty good technology angle to chase after. ADT, Comcast, Cox, Rogers and TW Cable all use iControl's platform for their new high end service packages. Perhaps that removes some of the potential integration headaches that could come with an ADT aquisition?


JB


 

More Blogs from The Bauminator
Don't expect anything more to pop for a while, but one analyst sees John Malone & Co. as the 'logical, ultimate acquirer of Ziggo' if the price is right
Cable operators will need to free up at least 24MHz of spectrum for Docsis 3.1. But why is that the magic number?
Liberty Media's rumored plan to snag a 25% stake in Charter for $2.5B could aid the MSO's M&A strategy
Top US cable operators lost 1.41 million video subs in 2012, but the bleeding continues to show signs of slowing in a saturated pay-TV market
Aereo streams its 'no cable required' tagline into the video world. Will consumers tune in to the message?
Flash Poll
LRTV Custom TV
A New Security Paradigm in SDN/NFV

7|28|14   |   02:54   |   (0) comments


Paul Shaneck, Global Director Network Solutions for Symantec, discusses the evolving virtualized network, explaining how Symantec is leading the security discussion as it relates to SDN and NFV, and helping to ensure the network is protected and compliant.
LRTV Documentaries
Sprint's Network Evolution

7|24|14   |   14:59   |   (0) comments


Sprint's Jay Bluhm gives a keynote speech at the Big Telecom Event (BTE) about Sprint's network and services evolution strategy, including Spark.
LRTV Documentaries
BTE Keynote: The Software-Defined Operator

7|24|14   |   18:43   |   (1) comment


Deutsche Telekom's Axel Clauberg explains the concept of the software-defined operator to the Big Telecom Event (BTE) crowd.
Light Reedy
Numbers Are In: LR's 2014 Salary Survey

7|24|14   |   1:25   |   (7) comments


Our fourth annual Salary Survey paints a picture of who's hiring, firing, earning, and yearning for a change in the telecom industry.
LRTV Custom TV
Driving the Network Transformation

7|23|14   |   4:29   |   (0) comments


Intel's Sandra Rivera discusses network transformation and how Intel technologies, programs, and standards body efforts have helped the industry migration to SDN and NFV.
LRTV Custom TV
Distributed NFV-Based Business Services by RAD

7|18|14   |   5:38   |   (0) comments


With the ETSI-approved Distributed NFV PoC running in the background, RAD's CEO, Dror Bin, talks about why D-NFV makes compelling sense for service providers, and about the dollars and cents RAD is putting behind D-NFV.
LRTV Custom TV
MRV – Accelerating Packet Optical Convergence

7|15|14   |   6:06   |   (0) comments


Giving you network insight to make your network smarter.
LRTV Custom TV
NFV-Enabled Ethernet for Generating New Revenues

7|15|14   |   5:49   |   (0) comments


Cyan's Planet Orchestrate allows service providers and their end-customers to activate software-based capabilities such as firewalls and encryption on top of existing Ethernet services in just minutes.
LRTV Custom TV
Symkloud NVF-Ready Video Transcoding, Big Data

7|9|14   |   3:41   |   (0) comments


Kontron and ISV partner Vantrix demonstrate high-performance video transcoding and data analytic solutions on same 2U standard platform that is ready for SDN and NFV deployments made by mobile, cable and cloud operators.
LRTV Huawei Video Resource Center
The Evolving Role of Hybrid Video for Competitive Success

7|4|14   |   4:09   |   (0) comments


At Huawei's Global Analysts Summit in Shenzhen, China, Steven C. Hawley from TV Strategies speaks to us about the evolving role of hybrid video for competitive success.
LRTV Huawei Video Resource Center
How CSPs Leverage Big Data in the Digital Economy

7|4|14   |   4:48   |   (2) comments


Justin van der Lande from Analysys Mason shares with us his views on how telecom operators can leverage customer asset monetization with big data. His discusses the current status of big data applications and the challenges and opportunities for telecom operators in the digital economy era.
LRTV Huawei Video Resource Center
Accelerator for Digital Business – Future Oriented BSS

7|4|14   |   3:08   |   (0) comments


Mobile and internet are becoming intertwined; IT and CT are integrating; and leading CSPs have begun to transform to information service and entertainment providers. How should the BSS system evolve to enable this transformation? Karl Whitelock, an analyst at Frost & Sullivan, shares his views.
Upcoming Live Events!!
September 16, 2014, Santa Clara, CA
September 16, 2014, Santa Clara, CA
October 29, 2014, New York City
November 6, 2014, Santa Clara
November 11, 2014, Atlanta, GA
December 9-10, 2014, Reykjavik, Iceland
Infographics
Packet Design asks network professionals how they handle the cloud, SDN, and network management.
Today's Cartoon
Vacation Special Caption Competition Click Here
Latest Comment
Hot Topics
Facebook: 30% of Users Are Mobile-Only
Mitch Wagner, West Coast Bureau Chief, Light Reading, 7/24/2014
Is Windstream Boldly Setting a New Trend?
Carol Wilson, Editor-at-large, 7/29/2014
Nokia Holds Steady in Q2, Raises Outlook
Ray Le Maistre, Editor-in-chief, 7/24/2014
U-verse Growth Slips But Still Strong
Alan Breznick, Cable/Video Practice Leader, 7/24/2014
Verizon Applies 3G Throttling Policy to LTE
Sarah Reedy, Senior Editor, 7/25/2014
Like Us on Facebook
Twitter Feed