Google to acquire voice and video codec company

Global IP Solutions develops products that can improve quality of VoIP on mobile phones

Google plans to acquire video and VoIP (Voice over IP) codec developer Global IP Solutions (GIPS) for approximately 421 million Norwegian kronor (US$68.2 million) in cash, the company said on Tuesday.

GIPS develops codecs for encoding real-time video and voice signals into a digital format for transport over IP networks. The company has also developed a number of techniques that can combat the effects of delay, jitter, packet loss, background noise and echo that IP networks can introduce.

Google provided few details on how it plans to use GIPS' know-how and what will happen to its products, only saying that real-time video and audio communication over the Internet are growing in importance, and that it looks forward to working with the GIPS team.

Its portfolio of products includes software that can be integrated into voice and video applications for mobile phones, PCs and tablets. In April, the company introduced VideoEngine for Android, which lets developers integrate video conferencing into applications running on Google's Android mobile operating system. Motorola has signed a deal to use the company's VoiceEngine software on Android phones.

GIPS' list of customers includes Yahoo, IBM, Motorola and WebEx, according to its web site.

One possible reason for Google's acquisition of GIPS could be to help with the development of support for built-in video in HTML 5, which is gathering momentum, according to Ben Wood, analyst at CCS Insight.

Google will distribute details of its formal offer to GIPS shareholders on May 20, and has set a deadline of June 4 to obtain acceptance from the owners of at least 90 percent of the shares in GIPS.

GIPS isn't the only company with video know-how that Google has acquired recently. In August last year it announced the acquisition of On2 Technologies, a video compression specialist. The deal finally closed in February, with Google paying $124.6 million, about $18.6 million more than its initial offer.

Join the PC World newsletter!

Error: Please check your email address.

Tags codecmergers & acquisitionsGooglevoip

Our Back to Business guide highlights the best products for you to boost your productivity at home, on the road, at the office, or in the classroom.

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Mikael Ricknäs

IDG News Service
Show Comments

Essentials

Lexar® JumpDrive® S57 USB 3.0 flash drive

Learn more >

Microsoft L5V-00027 Sculpt Ergonomic Keyboard Desktop

Learn more >

Mobile

Lexar® JumpDrive® S45 USB 3.0 flash drive 

Learn more >

Exec

Audio-Technica ATH-ANC70 Noise Cancelling Headphones

Learn more >

Lexar® Professional 1800x microSDHC™/microSDXC™ UHS-II cards 

Learn more >

HD Pan/Tilt Wi-Fi Camera with Night Vision NC450

Learn more >

Lexar® JumpDrive® C20c USB Type-C flash drive 

Learn more >

Budget

Back To Business Guide

Click for more ›

Most Popular Reviews

Latest News Articles

Resources

PCW Evaluation Team

Michael Hargreaves

Windows 10 for Business / Dell XPS

I’d happily recommend this touchscreen laptop and Windows 10 as a great way to get serious work done at a desk or on the road.

Aysha Strobbe

Windows 10 / HP Spectre

Ultimately, I think the Windows 10 environment is excellent for me as it caters for so many different uses. The inclusion of the Xbox app is also great for when you need some downtime too!

Mark Escubio

Windows 10 / Lenovo Yoga

For me, the Xbox Play Anywhere is a great new feature as it allows you to play your current Xbox games with higher resolutions and better graphics without forking out extra cash for another copy. Although available titles are still scarce, but I’m sure it will grow in time.

Kathy Cassidy

STYLISTIC Q702

First impression on unpacking the Q702 test unit was the solid feel and clean, minimalist styling.

Anthony Grifoni

STYLISTIC Q572

For work use, Microsoft Word and Excel programs pre-installed on the device are adequate for preparing short documents.

Featured Content

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?