Nagra Buys Conax amidst Other CAS/DRM Consolidation
Conditional access (CA) market leader Nagra (part of the Kudelski Group) bought smaller Norwegian (Telenor subsidiary) Conax for about US$225 million (CHF200 million). Conax earned roughly US$100 million in revenues in 2013, so the deal represents 2.25X revenues. Conax had a system which was better known for turnkey deployments, while Nagra’s solutions were generally more highly customized, and therefore required higher up-front costs. Significantly, Conax has disclosed a number of key design wins in Latin America, including Cablemás, as well as with KCCL (India). With the two products coming together, Nagra expects to be able to better address the end-to-end market.
In addition, two smaller IP deals in the core technology have taken place, similar to how Irdeto bought Cloakware all the way back in 2007:
You must be a subscriber to view this ABI Insight.
To find out more about subscribing contact a representative about purchasing options.