NDS wins contract with Germany’s Kabel BW

The contract for the supply of digital cable conditional access solutions is worth $23 million a year.

NDS Group plc (Nasdaq: NNDS; Euronext:NNDS), has beaten its Swiss rival Nagra with the signing of an agreement with German cable operator Kabel BW for the supply of its conditional access solutions. NDS replaced Nagra which was Kabel’s previous supplier. Kabel BW is one of the largest cable operators in Germany and Europe with more than 2.3 million customers. NDS will reportedly have annual revenue of $10 million from the service to Kabel, thus the contract is worth an estimated $23 million a year.

NDS has deployed around 70 million VideoGuard active smart cards worldwide. During the coming months, NDS and Kabel BW will migrate the cable platform to the new VideoGuard technology. As part of this process, smart cards currently deployed in Kabel BW's set-top boxes (STBs) will be swapped-out and NDS VideoGuard conditional access software will be downloaded to all existing STBs.

NDS Israel CEO Rafi Kesten said, “One of the main reasons for the German company’s decision to prefer NDS over Nagra is the smart and highly advanced security that our technology offers.”

This is not the first time that NDS has beaten Nagra. It recently won a tender to unify the encryption system of Hot Cable Systems Media Ltd. (TASE: HOT), in which Nagra was also a bidder.

Published by Globes [online], Israel business news - www.globes.co.il - on February 27, 2007

© Copyright of Globes Publisher Itonut (1983) Ltd. 2007

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