Emblaze Systems merges with Emblaze Mobile; separate media transcoding unit will be established

June 10, 2004

2 Min Read

RA'ANANA, Israel -- Emblaze Ltd. (LSE: BLZ) (the “Company”) announces its decision to merge two of its business units namely Emblaze Systems, a provider of solutions for wireless multimedia, and Emblaze Mobile, the developer of customised rich media handsets. The merged division will continue to operate under the name “Emblaze Mobile”. This step establishes a unified entity capable of selling end-to-end backend and handset solutions to global operators for introduction of rich-media value added services.

The recent sale of Emblaze Semiconductor and this merger will result in overall improvement of operational efficiency for the group, cutting down significantly on expense and unifying operational functions in two companies that actually have the same target market and clients list.

Merged managements and reduced headcount are expected to make annualised cost savings of approx. $15m to $20m while retaining essentially all business relationships with existing customer base, prospects and partners.

Avner Mor, until recently the CEO of Emblaze Mobile, has notified the Board of Directors prior to the decision of the merger, that he will be resigning from his position and moving on to pursue new ventures.

Emblaze also announces that Uzi Breier, currently the CEO of Emblaze Semiconductor, will step in as CEO for Emblaze Mobile after the transition of the Semiconductor business to Zoran Corporation is completed.

During this time, Eli Reifman will act as interim CEO for Emblaze Mobile and Itai Ben-Dor, the current Managing Director of Emblaze Systems, will become the General Manager of Emblaze Mobile reporting to the company CEO.

In addition, Emblaze will establish a separate unit around its media Transcoding business. The Emblaze EMcoder™ product is currently gaining global market leadership and has been deployed in over 50 MMS carrier installations worldwide becoming the core MMS transcoding engine on over 30 countries. In order to exploit this momentum and opportunity to the fullest, a stand-alone division under the name “Emblaze Transcoding” will be formed reporting to group CEO. This step will focus the necessary management attention on this very important market and will help gain more market share and sustained leadership.

After these changes, the Emblaze group will be comprised of 3 business units including Emblaze Mobile (the newly merged entity), Emblaze Transcoding and Orca Interactive.

Eli Reifman, Group Chief Executive Officer of Emblaze Ltd said: “The steps are very straight forward and are designed to lead the Company into aggressive focus and profitability. I am certain it will benefit shareholders and employees alike sooner rather then later.

I would like to take this opportunity to publicly thank Mr. Avner Mor for successfully leading Emblaze Mobile through its first and important phase of development and penetration, reaching operational stability and launching the first-ever Israeli cellular phone. I am saddened by his departure, he will always remain an Emblaze icon.”

Emblaze Semiconductor Ltd.

Subscribe and receive the latest news from the industry.
Join 62,000+ members. Yes it's completely free.

You May Also Like