Amino has announced a contract win with Hong Kong-based PCCW for deployment of the Enable TV software onto PCCW’s Now One set-top boxes. The release is light on detail as to the contract size and potential value. We note, however, that PCCW is the largest IPTV operator in Hong Kong with over 1.3m subscribers. Following the Cincinnati Bell deal announced in February 2016, the deal validates the strength of the Amino software platform and demonstrates the company is gaining further traction in stand-alone software deployment.
Amino to supply Enable TV to PCCW: Amino has announced that it will license the Enable TV device software to PCCW for deployment onto PCCW’s Now One integrated DTT, OTT, IPTV, 4K UHD set-top box, which also includes PVR functionality. Our understanding is that in addition to the software licensing, the deal also includes multi-year professional services and maintenance components.
PCCW is the dominant telco in Hong Kong: Having acquired Hong Kong Telecom in 2000, PCCW is the market leader in fixed-line and mobile telecommunications in Hong Kong. As part of its quad-play service offering, PCCW provides over 1.3m IPTV subscribers with 190+ channels.
Further traction in stand-alone software deployment: Back in February 2016 Amino announced its first software-only deal via a contract with tier-2 US operator Cincinnati Bell to migrate the latter’s IPTV devices (from a Chinese vendor) to the Enable TV platform. The PCCW deal is therefore the second contract win for Enable TV in the past six months.
We view today’s announcement as a clear positive, and look forward to an update on progress with the expected Trading Update in December- 2016. Amino’s core competence has been the sale of IPTV devices (over 7m to date) to tier-two and three network operators globally. The PCCW transaction represents the welcome addition of a new tier-one operator (and in an influential market) to the client base and validates the strength of the EnableTV platform. Furthermore, as the second major announcement of a stand-alone software deployment in the past six months, the deal demonstrates further commercial traction for the Enable TV software suite.