SeaChange sells its broadcast and storage division

SeaChange will now focus on software and services, including its next-generation back office solutions, video streamers, gateway software and targeted advertising. The broadcast and storage area, which passes into the hands of a venture capital fund, will operate under the name XOR Media.

SeaChange International will divest from its broadcast servers and storage business area, focusing from now on on software and services, including its next-generation back office solutions, video streamers, gateway software and targeted advertising.

The broadcast and storage area will be acquired, if the operation is finally approved by the US competition authorities, from an investment fund. The new company will operate under the name XOR Media.

The until now president of the storage and servers area at SeaChange, Zheng Gao, will be the CEO of the new XOR Media. Zheng Gao said he was excited "at this opportunity to take an industry-leading business unit and make it an even more successful independent company. XOR Media is a nominally new business entity, but with the same people and processes serving our loyal customer base, only now we have the focus and resources to bring storage platforms to market representing the next generation of NAS-SAN convergence."

For his part, Raghu Rau, CEO of SeaChange, has justified this sale by arguing that “it is in line with our strategy of transforming SeaChange into a software-only company, significantly reducing our total cost structure, and strengthening our ability to compete in the delivery of next-generation multi-screen video solutions.”

SeaChange will continue to provide service and support to all of its VOD streaming service customers, with renewed focus resulting from this transition, and will also, as part of its reseller agreement with XOR Media, provide service and support to any customer purchasing storage products.