China Digital TV Holding Co., Ltd. (NYSE: STV) said it has reached an agreement with Beijing Gehua CATV Network Co Ltd to establish a strategic partnership on cloud computing technology and related businesses, to cooperate on overseas business expansion, and to enter into an equity investment agreement.
Pursuant to the agreement, Gehua will make an equity investment in the company and hold a ten percent stake in Cyber Cloud, a subsidiary of China Digital TV. Meanwhile, China Digital TV will help Gehua build and improve its full media cloud computing platform. As part of this effort the two sides will aim to integrate the content from various media, cross-platform applications, streaming application platforms, cloud gaming and other relevant service offerings. Leveraging this cloud-computing platform, the two companies will integrate content resources and establish a cloud-based content platform. The cooperation will help improve user experience in the areas of gaming, somatic gaming, education and travel applications. In addition, China Digital TV and Gehua will also strengthen cooperation for multi-end interaction, mobile business and other key areas that will allow them to explore further mobile Internet business opportunities.
The two sides will also jointly develop their opportunities overseas by leveraging their respective advantages in the areas of technology, operations and management.
Founded in 2004, China Digital TV is the provider of CA systems and comprehensive services to China´s expanding digital television market. CA systems enable television network operators to manage the delivery of customized content and services to their subscribers. Its website is at http://ir.chinadtv.cn.
Approved by Beijing Municipal Peoples government, Beijing Gehua CATV Network Co Ltd was founded in September 1999. BGCTV is principally engaged in the development, construction, operation, management and maintenance of cable radio and television networks in Beijing.