Nokia finalised the sale of the majority of its IP Video business to Volaris Group, a Toronto-based software company. Financial details were not disclosed.
Volaris bought Nokia’s video products including: caching and streaming; origin and storage technology; and stream personalisation software. Nokia will remain a minority shareholder in the new “pure play streaming technology company”, to be known as Velocix. The new entity will operate as an independent business within Volaris Group's Communications & Media portfolio.
When the deal was announced in September 2018, Nokia said it expected most of its IP Video business employees to move to Velocix. Some staff are to remain with Nokia, though, as the company will maintain elements of its video unit, including the integration business.
The role of video
In September, Paul Larbey, head of the IP Video Business at Nokia, said, "We are excited to be part of the new company under the Velocix brand that set out to transform the video landscape back in 2002. Through several acquisitions the name changed, but the purpose remains the same: to enable big changes in the video market, to make video more personal and to enable a highly compelling entertainment experience for consumers on every screen."
Basil Alwan, Co-President of IP/Optical Networks at Nokia added: "Video plays a very important role in our customers' strategies, both as it relates to their services and the demands it places on their networks. Meanwhile, the technology behind video – including user experience, content packaging and delivery – continues to go through meaningful shifts. Our new partnership enables us to adapt and grow in this important period. Together we can better navigate change while providing continuity for our customers."