Samsung has bought israeli-based startup Boxee for an estimated 30 million. Here are five fast facts you need to know.
1. This Was A Surprise
Israeli news agencies revealed that Samsung had bought the Boxee for this large fee. The buying price was around $30 million but some sources claim that the ultimate price was lower than this figure. Boxee is an Israeli-based startup that created a streaming service for users to watch broadcast TV on any device with unlimited DVR capabilities. The list of possible buyers did not even include Samsung which is why this was a big surprise. Both companies have yet to give comments on this deal.
2. Boxee Staff Is Expected To Stay In Israel
The company has an approximate staff of 40 people lead by president Avner Ronen. Every employee is expected to stay on remaining in Tel Aviv. While it has an office in New York City, this marks the end of a long search for a buyer. AllThingsD reporter Peter Kafka had wrote that finding a buyer or gaining another infusion of capital was all Boxee had left.
3. It May Help Samsung’s TV Division
The best reason for this business acquisition is that Samsung needs support for their TV’s. It makes sense for the electronics giant since they have a large variety of streaming products. Also, the korean electronic giant has struggled with incorporating new features in their televisions. Boxee has a hardware focus which can help Samsung gain an edge against its other competitors.
4. Smart TV’s Are Becoming Really Important
Apple is becoming one of the leaders in TV development based on their efforts with streaming apps. Intel also appears to be checking out this market too. Samsung TV’s have been met with varying reactions but Boxee’s set-top has potential to bolster this project.
5. Boxee’s Future Remains Vague
This story is still developing but the future of the firm remains vague. The company arrived in 2007 with media software for sharing but the company then partnered with D-link to make the Boxee TV. We can’t guarantee if Samsung really lucked out with this since Boxee had been pitching itself as a hardware/software solution for cable and satellite companies according to Peter Kafka. This purchase makes sense but this story is still developing.