- Product Supports Transition to All-Digital Networks,
Enables New HDTV Market Services -
VICTORIA, Feb. 5 /CNW/ - Vecima Networks Inc. ("Vecima" or "the Company") (TSX:VCM), a leading provider of equipment supporting broadband access to cable, wireless and telephony networks, today announced it has signed a multi-year engineering, supply and maintenance contract with a leading, US-based cable multiple system operator (Cable MSO) for a new cable network product in its growing Terrace product family for all-digital cable systems. The new TerraceQAM product is designed to provide cable system operators with market leading technology delivering both High Definition (HD) and Standard Definition (SD) digital video streams in a secure format connecting directly to newer flat panel TVs, eliminating the need for an additional Digital Set Top Box. The result is a cleaner and more reliable installation offering a broader range of video services and a simplified user experience. This new technology is highly desired by the hospitality industry, hospitals, schools, universities and other institutions because it streamlines infrastructure requirements and reduces costs. The market is expected to grow to a cumulative $600M worldwide over the next ten years and creates opportunities for operators to deploy all-digital services to new market segments.
"Signing this agreement for the TerraceQAM product provides further evidence of the lead role Vecima is playing as networks transition to all-digital service," said Vecima Chief Executive and Chairman, Dr. Surinder Kumar. "TerraceQAM allows operators to use their networks to take full advantage of the capabilities of next-generation HDTVs providing an improved end-user experience. As we continue to execute on our strategy to exploit opportunities supporting Cable MSO's transition to all-digital networks and the provision of new and enhanced HDTV services, we would expect to obtain a sizeable portion of this market over the mid-term."
TerraceQAM is a modular system allowing simultaneous decoding of 32 QAM modulated channels to either MPEG-2/SD or MPEG-2/HD video channels. The product allows bulk decryption and re-encryption of video streams and re-modulation to QAM format. The remodulated signals are distributed to subscribers via one of four output ports. The channel line-up is configurable for delivery to devices with QAM demodulating tuners. The TerraceQAM allows for insertion of local feeds by encoding baseband audio and video signals as either MPEG-2/SD or MPEG-2/HD video streams.
About Vecima Networks
Vecima Networks Inc. (TSX:VCM) designs, manufactures and sells products that enable broadband access to cable, wireless and telephony networks. Vecima's hardware products incorporate original embedded software to meet the complex requirements of next-generation, high-speed digital networks. Service providers use Vecima's solutions to deliver services to a converging worldwide broadband market, including what are commonly known as "triple play" (voice, video and data) and "quadruple play" (voice, video, data and wireless) services. Vecima's solutions allow service providers to rapidly and cost-effectively bridge the final network segment that connects the system directly to end users, commonly referred to as "the last mile," by overcoming the bottleneck resulting from insufficient carrying capacity in legacy, last mile infrastructures. Vecima's products are directed at two principal markets: Converged Wired Solutions and Broadband Wireless. The Company has also developed, and continues to focus on developing, products to address emerging markets such as Voice over Internet Protocol, fibre to the home and IP video. www.vecima.com
Forward-Looking Statements
Certain statements in this news release may constitute forward-looking statements which involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. When used in this news release, such statements are generally identified by the use of such words as "may", "will", "expect", "believe", "plan", "intend" and other similar terminology. These statements reflect Vecima's current expectations regarding future events and operating performance and speak only as of the date of this news release. Forward-looking statements involve significant risks and uncertainties, should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether or not such results will be achieved. A number of factors including, but not limited to, the factors discussed under "Risk Factors" in the Company's Annual Report dated September 25, 2008 available on SEDAR (www.sedar.com), could cause actual results to differ materially from the results discussed in the forward-looking statements. Although the forward-looking statements contained in this news release are based upon what management of the Company believes are reasonable assumptions, the Company cannot assure investors that actual results will be consistent with these forward-looking statements. These forward-looking statements are made as of the date of this news release, and the Company assumes no obligation to update or revise them to reflect new events or circumstances.