Cisco Systems has agreed to sell its Service Provider Video Software Solutions (SPVSS) to Permira, a private equity firm with ties to Dr. Abe Peled, the former chairman and CEO of NDS.

Financial terms were not announced, but Bloomberg said Permira is acquiring the SPVSS unit from Cisco for about $1 billion, a fraction of the $5 billion Cisco spent to acquire NDS, a maker of video software and video security technologies, about six years ago. Cisco isn't commenting on the financials or how many employees are part of the unit that's subject to the sale. 

RELATED: Cisco Announces Deal to Acquire NDS for $5 Billion

Reports that Cisco’s video software unit was on the block surfaced last fall.

RELATED: Cisco Looking to Sell Video Software Unit

Under the deal announced Tuesday, Permira Funds will create a new, rebranded video software company focused on the pay TV market. Peled, an adviser to Permira Funds, will serve as chairman of the new company.

As part of its acquisition of Cisco’s SPVSS business, Permira will obtain Cisco’s Infinite Video Platform (a multiscreen video platform that was formerly branded as Videoscape), and as well as products that include cloud-based digital video recording, video processing, video security, video middleware and some services groups focused on this area.

Update:Reuters reported that the U.K.-based unit that Permira is acquiring has about 3,500 employees. Peled told Reuters that the business being acquired is profitable but didn’t elaborate on those details. “They [Permira] see opportunity for creating value through innovation and growth,” Peled told Reuters.  

Cisco said it will retain video and media technology tied to its “core business” in networking, multi-cloud, security, data, and collaboration.

The sale represents another alteration in Cisco’s service provider business, which was down about 5% in the company’s fiscal Q2 period. In late 2015, Cisco sold off a connected devices unit that made set-tops, cable modems and other consumer premises equipment, to Technicolor, for about $600 million.

RELATED: Technicolor, Cisco Seal the Deal

Examples of customers that use Cisco’s Infinite Video Platform (IVP) include Vodafone (for its GigaTV service in Germany), Canada’s Eastlink, and Israel’s YES. 

Of recent note, Cisco has been using IVP to head up an initiative that targets service providers that deliver pay TV services with Mediaroom, the IPTV platform acquired by Ericsson in 2013. Ericsson has since sold a majority stake in its Media Solution division, which includes Mediaroom, to One Equity Partners. 

RELATED: Cisco Attacks Ericsson’s Mediaroom Market

Cisco’s board has approved the sale of the SPVSS business. The deal is expected to close during Cisco’s Q1 for fiscal 2019.

“I’m very pleased to say that one of the major reasons for the selection of Permira is the belief that they are the right investor to benefit our customers and employees,” Yvette Kanouff, SVP and GM of Cisco’s Service Provider Business, said in this blog post about the transaction. “At the same time, Cisco will be able to clearly focus on its core priorities.”

"This is a unique opportunity to lead and shape the video industry during its transition with the flexibility as a private company," Peled said, in a statement. "The new company will have the scale, technology innovation, and world-class team to deliver outstanding go-to-market execution, customer engagement, and new end-user experiences.

Bank of America Merrill Lynch acted as financial adviser to the Permira Funds and provided committed financing; Fried, Frank, Harris, Shriver & Jacobsen LLP and Clifford Chance LLP acted as legal advisor to the Permira Funds.

Industry vet Frank Romeo has joined Alticast Americas as senior vice president of business development at the video software and security company.

Romeo takes on the role previously held by Jae Park, who was recently named president and general manager of Alticast Americas.

RELATED: Jae Park to Head Alticast Americas 

In his new role, Romeo will be tasked with growing Alticast’s business in North and South America.

Romeo most recently was SVP of new business development at Humax USA, and has previously held marketing and business development-focused slots with consumer electronics giants that included Samsung and Panasonic.

“I’m extremely pleased that Frank will be joining our team,” Park said, in a statement. “He not only brings a wealth of experience but a well-regarded familiarity of our existing customers. This expertise will prove critical as we accelerate our business growth in North and South America and grow our customer base by cultivating new and innovative solutions that our industry is demanding.”

Video software and security company Alticast has named Jae Park president and general manager of Alticast Americas, where he’ll oversee operations, sales and business development for the North and South America regions.

Park, a 15-year vet of the company, most recently served as VP of business development at Alticast, on board to help execute the company’s deal with Videotron for the Canadian operator’s illico 2 video service (Videotron is also working toward a next-gen IPTV platform that will lean on an X1 licensing deal with Comcast).

RELATED: Alticast Softens Up Videotron’s Multi-Room DVR

"Jae brings an impressive track record of strategic, operational and sales development to this position. He is proven to be a successful and trusted leader through his ability to foster and grow relationships with his team members and customers,” Alticast CEO Mansoo Han, said in a statement. “He will be instrumental in leading our business efforts in the North and Latin American markets to help grow our footprint while continuing to meet the needs of our customers. Jae represents the next generation of leadership for Alticast.”

John Carlucci, the former president and CTO of Alticast’s U.S. division, is now president and chief strategist of Petrichor Networks, a startup focused on cloud video technology.

RELATED: Former Time Warner Cable, Arris Execs Lead Petrichor Networks

An investor in SeaChange International submitted a letter to the company’s board of directors urging the multiscreen video technology company to seek a sale while the company remains in a position that would be attractive to potential suitors.

“It should be obvious to the Board that SeaChange's small, sub-$100 million revenue base is insufficient to warrant remaining an independent going-concern,” Roumell Asset Management, explained in a release about the letter. “We have talked to industry participants and believe the demand for SeaChange's assets would provide shareholders a meaningful premium to the company's current share price.”

Selling SeaChange is hardly a new idea. SeaChange has been the subject of M&A rumors for several years. TiVo and Rovi, which merged last fall, were once among those that were poking around SeaChange.

Roumell Asset Management, which says it owns 1.2 million shares of SeaChange or roughly 3.3% of outstanding shares, also shared some harsh words about the company’s “poor operating results and weakening balance sheet” and placed a good portion of the blame at the feet of the SeaChange board.

SeaChange has been asked for comment about the letter.

SeaChange, under new CEO Ed Terino, is in restructuring mode amid a plan to return the company to profitability. As part of that, SeaChange, which counts Liberty Global as its sole 10% or greater revenue contributor, has been cutting back staff and transferring its engineering responsibilities from the Philippines to Poland and pivoting some of its professional services capacity to third parties.

RELATED: SeaChange Pushes Back Restructuring Wrap Up

Terino was named CEO in April 2016 after the board ousted previous CEO, Jay Samit, who orchestrated SeaChange’s troubled $24.5 million acquisition of Timeline Labs, a social media analytics company, in late 2014. SeaChange later discontinued and shut down Timeline Labs.

Roumell Asset Management is also expressing its views after long-time board director Tom Olson, resigned, effective July 18. According to this July 13 SEC filing, Olson, a member of the SeaChange board since 2001 and a past CEO of National Cable Communications, received 13.2 million votes for election, and 16.6 million against.

 That vote, the investment firm suggested, is an indication that “shareholders are finished with the company's ‘business as usual’ culture.”

“We believe the Board needs further reconstitution,” it added. “Candidly, individuals who participated in some of these glaringly inept decisions should consider stepping down. It's clear to any independent observer that new blood is needed in the boardroom.”

SeaChange’s current board includes chairman and former Comcast exec Steve Craddock; Terino; William Markey, president of consulting firm the Relevant C Business Group (RCBG); Mary Cotton, previously CEO of VT iDirect and a former exec with SAP; and Ed Wilson, the co-founder and executive chairman of Timeline Labs, a founding partner at New Form Digital, president and CEO of Dreamcatcher Broadcasting, and a media exec late of Tribune Broadcasting, Fox Television, NBC, CBS and Sony.

Roumell Asset Management had praise for Terino, citing his landslide re-election to the board and his decision to streamline and to build the tech team in Poland, and said SeaChange’s base of customers for Adrenalin (its multiscreen video backoffice platform), relationship with Liberty Global and its equity investment in Layer3 TV “are enviable assets.”

“We believe Mr. Terino's approach of protecting the company's balance sheet by reducing expenses, while focusing on discrete market opportunities, is the correct one and will ultimately position the company for a successful sale,” the investor noted.

Shares in SeaChange dropped 7 cents (2.48%) to $2.75 each Thursday. It has a market cap of about $97.15 million.

In a deal that expands its video software expertise and market share, Espial on Friday (August 19) said it has closed its acquisition of Arris’s Whole Home Solution platform.

RELATED: Espial Swings Deal for Arris’s Whole Home Solution

Terms and conditions of the deal were not disclosed, but Ottawa, Canada-based Espial said in June that it expects the acquisition to add $7.7 million annual revenues as it moves ahead on a plan to spur growth with “video-as-a-service” offerings.

Arris and Espial said they will collaborate on integration and co-marketing activities, and are creating a reseller agreement. Arris is now Espial’s preferred partner for gateways, but Espial is free to work with other hardware partners.

The deal also covers WHS’s infrastructure, client and server software products, a development and operations team primarily located in Kirkland, Wash., and a network operations center and two WHS cloud data center operations.

Espial also announced that Ron Miller will transition from Arris to lead the business as general manager.

The deal effectively transfers some key video software expertise to Espial from Arris, the world’s largest maker of set-top boxes -- , a position established through its acquisition of U.K.-based set-top maker Pace plc. in January, and its purchase of Motorola Home in April 2013.

Arris’s WHS originated from its $20 million acquisition of the Digeo set-top and software business from Paul Allen in 2009. MSOs that have deployed Arris’s WHS include Shaw Communications, WideOpenWest, Buckeye CableSystem, EastLink, Comporium, Consolidated Communications and Service Electric Cable TV.

Espial has previously said it will support current roadmaps, and look to accelerate future product roadmaps, for more than 40 service providers that use WHS in the U.S., Canada and Latin America.

Espial CEO Jaison Dolvane said when the deal was announced that there are more than 2 million boxes deployed that are powered by Arris’s WHS platform. He said the growth plan includes expanding the reach of WHS at existing customers, upselling others, and selling and deploying the offering to new customers.

"Espial gains a broad base of new customer relationships and further scales our world-class integration, operations, and software development teams,” Dolvane said in a statement.

The agreement will pit Espial against others that are looking to help MVPDs transition to IP video and next-gen video services, Evolution Digital, for example, is targeting that opportunity with its eVUE-TV platform. Comcast, meanwhile, is trying to syndicate and license its X1 platform. Cox Communications and Shaw Communications are already on board.

Software and video multiscreen firm SeaChange International has appointed Tony Dolph to senior vice president of marketing.

Dolph, who reports to COO Ed Terino, will head up the company’s marketing and communications efforts and work closely with SeaChagne’s business development and inside sales operations.

Dolph most recently was president and CEO of software-as-a-service Hubcast, and is also late of Artel Video Systems, Media 100 and Idiom Technologies.

“SeaChange is focused on growing our business by investing to ensure superior operational performance and execution in our core markets, and by extending our reach into adjacent and emerging markets for premium video delivery, content management and monetization,” Terino said in a statement.  “I’m very pleased that SeaChange continues to attract top talent like Tony Dolph to help us increase our potential through greater capabilities in marketing, sales and strategic partnerships.”

Dolph holds a BA from the University of Massachusetts and certificate of matriculation from Beijing Foreign Studies University.

Set-top and video software specialist Alticast has hired Nara Won to the post of vice president, business development and strategy for the company’s operations in the Americas region.

Won  most recently was VP of business development for Humax Americas, responsible for the company’s cable industry business activities, including the rollout of set-tops, gateways, media hub and Internet of Things products.  He’s also late of Texas Instruments, and earned Bachelor’s and Master’s degrees in Computer Science from the Korea Advanced Institute of Science and Technology (KAIST).

“Nara Won will play an integral role in addressing our work with operators in the North American and LATAM markets,” said John Carlucci, president and CTO of Alticast US.  “His strong engineering background, his proven ability to understand industry trends, and his focus on addressing customer needs all will help us capitalize on next-generation video opportunities.”

Alticast’s Americas unit also promoted  Jae Park to vice president, business development, and Mike Fallon to vice president, technical service.

Metrological, a TV apps specialist based in the Netherlands, said it is shoring up expansions into North and South America with the appointments of industry vet Michael Pohl as strategic advisor and Wouter van Boesschoten to the post of vice president of technology.

Pohl, the company said, will aid Metrological’s business development activities in the region, while Wouter will lead the company’s technology development and head technical support for “key customers” in North America.

Pohl is currently on the board of Ascent Capital Group  and ThinkAnalytics, and advised Cross MediaWorks following its acquisition of advanced ad firm BlackArrow last year. Pohl, previously chairman of BlackArrow and BigBand Networks (now part of Arris) and a board member at Imagine Communications, also was president and CEO of VOD tech pioneer nCube, which was sold to C-COR in 2004 (Arris subsequently acquired C-COR in 2007). Wouter van Boesschoten is late of VOD and video software company SeaChange, heading up solutions architecture for its set-top box/consumer premises equipment platform, Web apps and Reference Design Kit middlware.  He joined SeaChange via its 2009 acquisition of  eventIS.

Of recent note, Metrological announced that Liberty Global and Comcast were using a new, open-source browser enhancements designed to provide a performance boost to IP-based services and apps for set-tops that rely on the RDK software stack.  Liberty Global has been adding those new elements to its RDK-based Horizon TV platform, with Comcast committing to test the browser enhancements on X1, a platform that also uses the RDK.

RDK Management LLC, the RDK joint venture, and Metrological introduced the RDK App Emulator last spring.

“Michael and Wouter have the right skillset to help us serve our existing base in the Americas and to take advantage of the tremendous opportunity for Metrological in the region,” Metrological CEO Jeroen Ghijsen said, in a statement. “The future of TV is app centric and multichannel video programming distributors (MVPDs) are coming to us to take the next steps in their TV app strategies. They are adopting application framework technology that streamlines app deployment and gives them the flexibility to deliver personalized TV app experiences on any device.”

Paul Molinier has been appointed CEO of Paris-based content protection and video software company Viaccess-Orca. 

Molinier, who assumes that role on June 15, succeeds François Moreau de Saint Martin, who has joined Orange Business Services as vice president of industry and IT large accounts. Viaccess-Orca is a subsidiary of the Orange Group. Chem Assayag, Viaaccess-Orca’s EVP of sales and business development, has been serving as interim CEO.

Before joining Orange Business Services in 2007, Molinier was an exec with companies such as Texas Instruments, Siemens, and Telindus, before joining Orange Business Services (OBS) in 2007. At OBS, Molinier was initially in charge of the Services Transformation program before heading up Obiane, a subsidiary of OBS specializing in IP network and security integration services. More recently, Molinier served as senior vice president in charge of the Unified Communication and Collaboration global business unit.

"Paul Molinier brings in-depth knowledge of the IT and telecom industries to our executive team that will be highly valuable in accelerating Viaccess-Orca's business growth," said Serge Laroye, executive vice president, content division at Orange, in a statement. "Paul's rich experience in business development and strategic partnerships will help the company expand, innovate, and address the key challenges facing its customers, making Viaccess-Orca stronger in the marketplace.”

Viaccess-Orca's customers include Olympusat Telecom, Singtel, KBS, and Canal +, among others.

Mike Hayashi, the former long-time Time Warner Cable engineering exec who announced his retirement last fall, has been appointed to the board of directors at Espial, a maker of video software and user interfaces.

Espial -- headquartered in Ottawa, Canada, with R&D centers in the Silicon Valley and the U.K. -- develops UIs powered by HTML5 and has licensed the Reference Design Kit (RDK), the preintegrated software stack for IP-capable set-tops and other video devices that is being managed by Comcast, TWC, and Liberty Global.

Espial announced last month that a “major,” but unidentified European cable operator with more than 1.5 million homes passed had selected Espial’s RDK platform, including its client software for DVB/IP set-tops, user experience and backoffice service management platform. Espial, which has RDK-facing deals with another MSO in Europe and a “tier-1” in North America, has a list of customers and partners that includes Vodafone, KDDI, Com Hem, Sagecom, Pace, Arris, Cisco Systems, Panasonic Technicolor and Samsung, among others.

Hayashi, a 36-year-cable industry vet who most recently served as TWC’s executive vice president, architecture, announced in September 2014 that he would retire from the MSO at the end of that year. Espial’s announcement said Hayashi’s retirement from TWC became effective in March 2015.  At TWC, Hayashi was a leading developer of next-gen cable products and services, including advanced analog, digital video, cable telephony, and video-on-demand. 

“Mike is one of the most innovative and respected technology executives in our industry, and we're excited to have him join Espial’s board of directors," said Jaison Dolvane, CEO of Espial, in a statement. "Mike’s insight, experience and industry knowledge will be invaluable to Espial's future plans." 

“Espial has developed impressive solutions that enable network operators to create an immersive, personalized user experience for their subscribers,” Hayashi added. “Their leadership and customer momentum around RDK is a key success ingredient for our industry in this critical time of growing competition. I'm excited to work with Jaison, Espial’s board, and the leadership team as they help major operators around the world launch compelling new video services.” 

Hayashi, who played a key role in Warner Cable’s pioneering, seven-year “Qube” interactive TV project (read this story about the group’s reunion in 1998), is also late of Scientific-Atlanta (now part of Cisco Systems) and Pioneer Communications. Hayashi graduated from St. Joseph College (Yokohama, Japan) in 1974, earned a B.S. in Engineering from Harvey Mudd College in 1978, and an MBA from The Ohio State University in 1986.