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Sonic buys divx – The Inquirer

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VIDEO TECHNOLOGY COMPANY Sonic, which flogs that to movie studios and other clients, has bought out its rival DivX.

According to Bloomberg News, the deal is worth about $300 million. Sonic CEO Dave Habiger said the move will give its customers a clear and efficient path to deliver premium content to users.

A Sonic and DivX combo “promises to be the foremost provider of platforms, tools and technologies for the efficient delivery of premium video entertainment to virtually any type of consumer electronics device,” Habiger said.

The deal has yet to be approved by shareholders and regulatory watchdogs, but it is starting to look as if it will hit a bit of rocky ground. The deal is being investigated by a Levi & Korsinsky legal team to determine whether or not the DivX board of directors failed to adequately shop the company before selling it to Sonic.

There is suspicion that Sonic Solutions might have underpaid for DivX shares. µ

 

 

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Written by wesley83

June 3, 2010 at 5:28 pm

Posted in Uncategorized

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