Founded in 2002, NetStreams delivers what it calls “the ultimate IP A/V Experience” by distributing HD audio and video over TCP/IP networks. NetStreams’ digital streaming media and control systems support virtually any number of digital or analog sources, including HD audio and video content to nearly an unlimited number of networked endpoints.
Under the terms of the transaction, ClearOne paid approximately $2 million in cash and assumed approximately $2 million of long-term debt. In addition, ClearOne will also make earn out payments over the next two years based on achievement of certain performance criteria.
Headquartered in Austin, privately held NetStreams has approximately 20 employees and will continue to operate from its current location. NetStreams’ 2009 revenue is anticipated to be in excess of $5 million. ClearOne reported revenue of $35.7 million for its fiscal year ended June 30, 2009.
“The transaction represents a perfect fit for both companies, bringing complementary products and sales channels to both organizations,” said Zee Hakimoglu, president and CEO of ClearOne. “The combination will change the game by enabling us to provide a comprehensive high-definition audio and video solution to deliver the true promise of audiovisual and IT convergence. We welcome NetStreams, their partners and customers to the ClearOne family.”