AGS buys VMS-maker Telindus

Technology to be combined with former Steelbox offering, now called CellStack
Thursday, April 22, 2010

ATLANTA—Adtech Global Solutions, a company that has historically created OEM products and provided services for software manufacturers, has increased its stake in the IP video surveillance market with the acquisition of Telindus Surveillance Solutions, a UK-based manufacturer of video management software, along with encoders and decoders. The company, a division of Telindus Group NV and part of the Belgacom Group, has long integrated its software with the Steelbox technology that Adtech acquired last year following Steelbox’s bankruptcy and dissolution.

Terms of the deal were not disclosed.

With the buy, AGS “added some software that was lacking,” said Nik Moissiadis, VP at AGS and head of the newly created Network Media group of which this technology will be the core. “Telindus has been OEMing the [formerly Steelbox] product for a number of years and it was a very fitting value proposition to transfer the business with an asset purchase from them to us. We’re trying to round out our portfolio. We don’t want to be a closed system. We want to be known for open standards, to go into both greenfield and existing situations and solve problems involving anything related to streaming IP data, especially video.”

However, AGS isn’t interested in smaller deals. The CellStack solution is “primarily a network video switch,” Moissiadis explained, “a very powerful embedded technology that allows for massive amounts of recording and playback, and moving massive amounts of data around the network ... the primary problem being solved is to become a device as part of a the purpose-built network for moving video around. Not as an edge device that just records.”

Thus, if you just need to record 20 or 40 cameras on site, CellStack and AGS are not for you. It would work, but the value proposition wouldn’t be there.

However, the company is looking to increase its reseller network. Not only is it committed, Moissiadis said, to serving the current Telindus reseller network, which has been notified of new service numbers and email addresses, “but we’re certainly looking to acquire a larger reseller network on a worldwide basis. This will not be a direct sale ... The enabler is the reseller, whether it’s a national or international systems integrator or the local installer who’ll be providing the support to the end user on the local level.”