HD Conference Provider ClearOne Acquires NetStreams for $2 Million

ClearOne, a Utah-based HD conference manufacturing company, announced today it acquired NetStreams, Inc., a provider of high definition audio and video over TCP/IP networks, for $2 million.

 

Under the deal, ClearOne (News - Alert) assumed about $2 million of NetStreams’ long-term debt. In addition, ClearOne will also make earn out payments over the next two years based on certain performance criteria, company officials said.

 

NetStreams is a global company rooted in digital media networks based on Internet Protocol technology. It is used in a wide variety of applications, including digital signage, corporate video distribution, network operations centers and government facilities, as well as large venues in industries including hospitality, entertainment and casinos. The company’s digital streaming media and control systems support a number of digital or analog sources, including high definition audio and video content to countless networked endpoints, officials said.

 

"The transaction represents a perfect fit for both companies, bringing complementary products and sales channels to both organizations," said Zee Hakimoglu, president and CEO of ClearOne, in a statement. "The combination will change the game by enabling us to provide a comprehensive high definition audio and video solution to deliver the true promise of audiovisual and IT convergence. We welcome NetStreams, their partners and customers to the ClearOne family."

 

ClearOne said NetStreams will continue to operate from its Austin, Texas-based location where 20 employees now work. NetStreams' 2009 revenue is expected to be more than $5 million.

 

The addition of NetStreams to ClearOne’s portfolio will help boost the company’s HD conferencing services, company officials said. ClearOne reported revenue of $35.7 million for the fiscal year ended June 30.

 

"Both companies have earned stellar reputations for providing the most compelling and complete product solutions in the broad market we both serve,” Kevin Reinis, the former president and CEO of NetStreams, said in a statement. “As the global market increasingly embraces the benefits of distributing audio, video and data content efficiently through Internet Protocol technology, the combined company will be an even more powerful industry force."

 

In other news, ClearOne this week will showcase its MAX IP conference phones at the 2009 VoiceCon conference and exhibition, a conference that focuses on the evolution in enterprise communications to IP Telephony and unified communications systems, software and services. The event is scheduled for Nov. 3 and 4 in San Francisco. As TMCnet reported earlier, the company will demonstrate its conferencing systems and speakerphones, as well as its Personal Conferencing line.