NETANYA, Israel Digital entertainment technology company NDS is completing the acquisition of startup Jungo. NDS, which supplies smart cards for digital set-top boxes, is expected to pay $107 million in cash for the company, sources in Israel told EETimes Europe.
According to the sources, the deal is expected to be announced on Monday, Dec. 4.
NDS Group plc (London, England) a subsidiary of Rupert Murdoch's News Corp., supplies open end-to-end digital TV solutions for the secure delivery of entertainment and information to set-top boxes and IP devices.
The company employs 3,000 workers worldwide, 1,000 of them in the Jerusalem based design center. The company is traded on Nasdaq and its revenues for the quarter ended Oct. 31 were $164 million.
Founded in 1998, Jungo Ltd (Netanya, Israel) is a provider of residential and business gateway software platforms and applications. Its customers include Cisco, NetGear and US Robotics. In 2005, Jungo also announced collaborations with Intel, STMicroelectronics, Microchip and Texas Instruments.
According to IVC-Online, Jungo, which employees 140 workers, received financing from Intel, Infineon Technologies, Cisco, Conexant, Telesoft and Partech. Its sales for 2003 were estimated at $6.5 million. Jungo’s branches are located in Israel, California, U.K. and Taiwan.
Jungo's flagship products, OpenRG residential gateway software platform and OpenSMB small and medium gateway software platform allow OEMs to supply broadband Customer Premises Equipment (CPE) such as residential gateways, triple play gateways, office-in-a-box gateway and firewall/VPN routers.
Jungo also develops a hardware access product line, featuring WinDriver - a software development toolkit that enables developers to create custom device drivers that are set to run on various operating systems without modification.
NDS is expected to enable its customers to integrate Jungo’s software into their set-top boxes. This will help them offer services like voice over IP (VoIP), video on demand, IPTV, wireless internet and security capabilities for home networks.
According to reports in Israel, NDS and Jungo were expected to announce a technology collaboration deal in October, and those negotiations resulted in the current acquisition.