Company Achieves Profitability Amid Fast Growing Video Delivery Market

ATEME announced today its preliminary and unaudited results for the year ending December 31st, 2010. With net revenues totaling $22 million in 2010, the video compression solution provider achieved a 57% year-on-year growth. The company achieved profitability for 2010 – a significant achievement considering it was accomplished with the lowest invested capital by any competitor in the video delivery market.

2010 had started with a €6.5 million fundraising from A Plus Finance – a leading French private equity firm – and existing shareholders to enable the company to sustain its investments and keep its technologic edge. This made it possible for the company to successfully launch new products – targeting the converged media space in particular –demonstrating a high degree of flexibility and responsiveness in supporting its highly respected clients – tier one broadcasters and network operators.

The commercial successes came from all regions, with Asia and Latin America in particular showing 3-digit growth rates. ATEME’s incremental revenues came both from strong customer demand in the broadcast contribution and Over-The-Top video spaces and from winning market-share in the mature video head-end market.

This ambitious strategy was rewarded by a significant improvement in all financial metrics. Not only did the top line revenue beat budget and company expectations, but gross margins exceeded 60% for the year as a result of productivity gains. This was achieved while maintaining a high rate of investments, with R&D spending representing almost 25% of net sales.

In 2011, the company expects significant growth in the Over-The-Top video market with strong demand for file-based and live transcoding coupled with Adaptive Delivery technologies such as Apple® HLS and Microsoft® Smooth Streaming. ATEME’s recent product announcement of the TITAN KFE and Live transcoding platform will address this growing opportunity.


ATEME is a world leading provider of MPEG-4 / H.264 and MPEG-2 bandwidth efficient compression technology. ATEME encoding solutions are deployed widely for broadcast contribution links, distribution, multi-screen live streaming, OTT and VOD applications.

  • ATEME Press Contact:
  • Sophie Guldner
  • T: +33 1 69 35 89 56
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