Tata Communications, a leading provider of a new world of communications, today announces that it has reached a definitive agreement to acquire BitGravity, an award winning content delivery network (CDN). BitGravity’s network and products accelerate the delivery of media assets to end-users and enables scalable, real-time video communications over the Internet. Upon successful completion of the transaction, Tata Communications (Netherlands) B.V. will own 100 percent BitGravity, Inc., which will operate as a wholly-owned subsidiary of Tata Communications. Terms of the transaction are not being disclosed.
In 2008, Tata Communications entered into a strategic alliance with BitGravity that included the licensing BitGravity’s CDN technology and the federation of BitGravity’s and Tata Communications’ delivery networks. The company also made a strategic investment of $11.5mn in BitGravity. The alliance enabled Tata Communications’ to enter the market with its own global CDN in 2008 and has resulted in successful traction with high profile media, content and gaming companies in Europe, Asia and India such as NDTV, IAH Games, Quick Heal Technologies and Nimbus Communications.
“Two years ago, we made an investment in BitGravity to provide content delivery services for Tata Communications” said Genius Wong, Senior Vice President, Global Network Services, Tata Communications. “With the success we’ve seen in the marketplace and our ownership of BitGravity, we can now fully invest in the potential that exists around the globe and accelerate the delivery of new features and services to our customers”.
“Tata Communications bet on BitGravity’s vision and people to provide innovative video services. We are ecstatic that this will be a positive outcome for all the stakeholders; we are equally excited about what this means for BitGravity and its products going forward,” said Perry Wu, CEO and co-founder of BitGravity. “As a combined entity, we can propel our position in the market, and the opportunity to accelerate our vision on a significantly larger scale was one we couldn’t pass up.”
BitGravity, a privately held company located in Burlingame, California, was founded in mid-2006 and launched its services in 2008. The company’s innovative services made inroads with major media and Internet companies and has received numerous accolades including RedHerring 100, OnHollywood 100, DemoGod, and LightReading’s Service Company of the year. BitGravity initially raised a total of $13.5mn in two rounds of funding from angels and from Tata Communications.
About Tata Communications
Tata Communications is a leading global provider of a new world of communications. With a leadership position in emerging markets, Tata Communications leverages its advanced solutions capabilities and domain expertise across its global and pan-India network to deliver managed solutions to multi-national enterprises, service providers and Indian consumers.
The Tata Communications Global Network includes one of the most advanced and largest submarine cable networks, a Tier-1 IP network, with connectivity to more than 200 countries across 400 PoPs, and nearly 1 million square feet of data center and collocation space worldwide.
Tata Communications’ depth and breadth of reach in emerging markets includes leadership in Indian enterprise data services, leadership in global international voice, and strategic investments in operators in South Africa (Neotel), Sri Lanka (Tata Communications Lanka Limited), Nepal (United Telecom Limited).
Tata Communications Limited is listed on the Bombay Stock Exchange and the National Stock Exchange of India and its ADRs are listed on the New York Stock Exchange. (NYSE: TCL)
www.tatacommunications.com
About BitGravity
BitGravity, Inc., built the first video delivery network to deliver affordable, broadcast quality video on demand, live streams, and interactive applications to massive audiences on the Internet. BitGravity is based in Burlingame, CA and is privately held, with strategic investment from Allen & Company, Tata Communications, and private investors. To learn more, please see www.BitGravity.com.
www.BitGravity.com
