Offering shareholders a status update on its proposed $2.1 billion takeover of rival Pace, Arris revealed that the Justice Department has made a "second request" for information regarding the deal.
Global shipments of pay-TV set tops reached just $15.3 billion in 2014, down nearly 4 percent from the $15.9 billion in sales reported in 2013, according to research firm IHS.
CHICAGO--Arris says that its E6000 high-density converged cable access platform has been deployed by Suddenlink Communications, enabling the operator to better offer its customers broadband speeds of 1 Gbps and faster.
Following an active start to 2015, during which Arris entered a $135 million co-venture with Charter Communications to purchase cloud-based video software company ActiveVideo, then put down a whopping $2.1 billion to buy competitor Pace LLC, company president and CEO Bob Stanzione put the acquisitions in context for investors.
Merging the world's two largest set-top makers, Arris' $2.1 billion acquisition of Pace offers insulation from a volatile U.S. pay-TV market, as well as the unpredictable revenue streams of the disparate CPE product cycles, analysts say.
Set-top maker Arris has agreed to acquire its competitor Pace for $2.1 billion in stock and cash. The deal will provide Arris will an entry into the satellite business as well as beef up its customer base. The newly merged company will be incorporated in the U.K. but its headquarters will remain in Suwanee, Ga.
Charter Communications and Arris have jointly purchased cloud TV interface company ActiveVideo for around $135 million.
With Arris expecting its financials to endure a roller-coaster 2015 thanks to big ongoing mergers among its top clients, U.S. pay-TV operators, the technology company is thinking about a big deal of its own.
Arris reported a 6 percent rise in fourth quarter revenue to $1.26 billion, beating analysts' consensus forecast. However, during the telecom technology giant's Q4 earnings call Wednesday, news of its fourth-quarter performance took second stage to what the company predicts will be a very down-and-up 2015.
The broadband customer premise equipment (CPE) market is set to go out with a bang in 2014, with ABI Research forecasting that worldwide broadband CPE shipments are expected to reach 151.9 million.