Vecima Signs New Module Supply Agreement for Cable Vendor's Platform
Jul 06, 2010
(News Release) VICTORIA – Vecima Networks Inc. ("Vecima" or "the Company") (TSX:VCM), a leading designer and manufacturer in the broadband cable and wireless network infrastructure market, today announced that it has signed an agreement to supply Quadrature Amplitude Modulation (QAM) output modules to a leading US-based original equipment manufacturer (OEM). QAM technology is used by cable operators to provide digital video, high definition television, high speed data, video on demand, and other services. The Edge QAM platform will be marketed through the OEM's leading worldwide sales and distribution channels. Volume deliveries are expected to begin in the fourth quarter of the 2010 calendar year.
The total annual market for Universal Edge QAM platforms is estimated to grow to $450M worldwide by 2014 as cable operators leverage their investments in all-digital networks to deliver high definition and next generation high speed data services. Additionally, international operators are now investing in state of the art digital cable technology for HD, broadband internet, and video on demand services with demand for infrastructure volume matching the scale of their population densities.
"As the leading supplier of QAM module technology, which is broadly deployed worldwide across multiple generations, this announcement further cements the execution of our multi-pronged growth strategy," said Surinder Kumar, Chairman and CEO of Vecima. "Having our QAM modules selected by this OEM for its flagship Universal Edge QAM ensures Vecima a robust market share position in this growth market."