Net Insight has closed the transaction to divest Sye, its consumer streaming video business, to Amazon (NASDAQ:AMZN) for approximately SEK 350 million in cash.
As announced in December, Net Insight signed an agreement to divest the Streaming Solution business area (Sye). Amazon has already deployed Sye in some of its live video streaming services as a customer.
With the close of the transaction, 100% of the shares in the wholly owned Sye business subsidiary - which holds all relevant IPRs, contracts and about 30 employees and consultants - have been transferred to Amazon. The estimated net profit of the transaction is expected to be some SEK 200 million in the first quarter of 2020.
The divestment is intended to allow Net Insight to increase focus and investments in its core B2B Media Networks business area and competencies gained while developing and launching Sye, such as virtualized software and cloud-based technology. Among other things, the increased focus and investments are intended to accelerate efforts to drive growth in market segments like Internet-based transport, remote/distributed production and cloud networking solutions.