On2 No Shop Clause
I was Interested to read that the On2 acquisition deal included a 'No Shop' clause to preclude On2 from soliciting other offers or starting a bidding war. I wonder who might have been interested in putting in a better offer having heard the proposed Google $106 million takeover.
Maybe one of their big customers, already using their technology Adobe, Skype, Nokia or Sony? Or maybe Apple or Microsoft. The value is not just in the technology, but the ability to shape the video standards used in the future by either adding or removing restrictions on the use of the technology and patents.
I've seen a number of suggestions as to how Google intend to proceed - many suggesting that Google will free some or all of the codecs and use it to reduce bandwidth costs for YouTube. Another interesting idea is that Google will use the encoders to help users upload their vidoes. It's nice for YouTube to have the highest quality upload, but processing and storage must be expensie. Most broadband users have much smaller upload connections than download ones - better compression would allow for faster upload times, and higher resolution for live streaming from say an Android mobile device with limited bandwidth.
Posted by Alexander at August 17, 2009 06:06 PM
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I'd like to see someone other than Google make a counter offer/bid. It would be interesting to see how Google would respond.
Posted by: Lewis at August 17, 2009 08:20 PM
What do you think the future will bring for ON2 shareholders??
The stock is still trading for arround 0.60 cents, very low ..
Posted by: jerome at November 23, 2009 11:29 PM