Polycom Acquires DSTMedia

PLEASANTON, Calif. and BEIJING -- Polycom®, Inc. (NASDAQ: PLCM), the world’s leading provider of unified collaborative communications solutions, today announced its acquisition of DSTMedia™ Technology Company, Ltd., a privately held video solutions company headquartered in Beijing, China. Founded in 2001 by an engineering team from Tsinghua University, China’s foremost technology institute, DSTMedia is a leading provider of video network solutions for the Asia market. DSTMedia has also recently launched low cost IP video room systems, desktop products, and video walls for the China, India, Japan, and Southeast Asia markets.

DSTMedia has 90 employees, primarily in research, development, sales and support, who will join Polycom. DSTMedia has sales offices in Chengdu, Guangzhou, Nanjing, Shanghai, Shenzhen, Wuhan, and Xian. Its products will be distributed worldwide under the DST brand. DSTMedia CEO and Founder Xiong Sheng Feng will become a vice president of Polycom and general manager of DST, a wholly owned subsidiary of Polycom, reporting to Hans Schwarz, Executive Director of China, Senior Vice President, Technology and CTO of Polycom.Morgan Stanley acted as financial advisor to Polycom in the transaction.

“DSTMedia is an impressive early-stage company that has already gained a leadership video network position in China and Japan and has crossed the threshold of over one million dollars in quarterly revenues,” said Bob Hagerty, chairman and CEO of Polycom. “DST’s low-cost video network platform and early-stage IP video endpoint platform is well-suited for mass deployment at the desktop and in group video space for departmental solutions and cost-sensitive vertical applications. This clearly positions Polycom as a leader in the fast growing, low-cost IP communications space. We welcome Xiong and his highly-productive team to Polycom.”

“China is one of the most strategic markets for Polycom. DST significantly enhances our position in China with its seven sales offices and world-class engineering team based in Beijing,” added Hans Schwarz. “With DST, Polycom will have an increased local presence, enhancing our position not only in China, but throughout Asia. DST also provides a product line that is optimized for Chinese commercial and government applications. We can leverage their technology across broader geographies, such as India, Japan, and other emerging IP video markets.”

Polycom Inc.