Vitec has formally announced the acquisition of Datapath, this strategic move strengthens Vitec’s videowall and video distribution portfolio, offering customers access to expanded engineering capability, customer support, distribution, and geographical reach.
The integration will see Datapath’s product names and categories, including its videowall controllers & processors, AV-over-IP systems, capture cards, and control room offerings, preserved within the Vitec portfolio. Vitec intends to maintain familiarity, while enhancing support and development capabilities for Datapath. Datapath serves customers in over 100 countries across industries including professional AV, defense, education, security, and healthcare.
Inavate spoke to Bryan Reksten, VP of Marketing, Vitec to see what this deal means for both parties
Why Datapath - what did the acquisition do to Vitec’s portfolio that other acquisitions or internal R&D wouldn’t?
Like Vitec, Datapath is a global leader in video, but in the area of control rooms, capture cards and videowalls. This acquisition quickly gives Vitec a broader portfolio to meet our customers’ requirements, mostly as they expand their IP video distribution into control rooms. Datapath benefits from Vitec’s commitment to being the leader in providing low-latency, reliable IP video distribution and Vitec benefits by immediately entering the control room market as an industry leader.
Was Datapath looking for a buyer and if so, why?
Datapath was open to supporting the next chapter in the company’s growth, with IP video distribution accelerating the innovations in its markets and solutions. Vitec is a company that has over a 35-year history in IP video, bringing a mature organisation with experience managing sales and operations on a global scale. The leadership styles and corporate cultures are very similar, so the integration is positioned to go well.
How will integrators benefit in practical terms once the portfolios are aligned?
Integrators will have a vendor that brings a more complete video solution to their end customers. Now, just about every display on the network can be managed by a Vitec platform. From fan-facing screens in sports venues, including videowalls, to mission critical control rooms, including remote users, to corporate in-house TV and signage; all these applications can be supported by Vitec products.
What will change for product development? Will Vitec be able to accelerate development of certain items, or develop new categories?
Product development will continue for the Datapath products and will eventually become part of the Vitec portfolio. The Fx4 and VSN products are already being integrated into Vitec’s portfolio. Once the integration is complete, close to 50% of Vitec’s global employee base will be engineers working in the R&D group.
What is the long-term integration roadmap? Are there plans for Datapath tech to appear in Vitec products, interoperability plans?
Partially answered above. Plans are still in development, but there is anticipation that integration and interoperability will be critical to simplify the deployment for our integration partners. Plus, it will give Vitec a key differentiation in the marketplace. Integrators will now be able to work with a single vendor to deploy a complete system for their IP video workflows.
What happens to Datapath’s existing distribution channels, warranties etc? Will they remain unchanged?
Datapath’s current distribution channels, warranties, service contracts will not be changed and will continue to be honored by Vitec. These existing relationships and go-to-market successes are a key part of the reason Vitec saw the acquisition of Datapath as a catalyst for future growth.
Has there been any staff restructuring as part of the acquisition?
The impact to staffing at Datapath has been minimal to avoid disrupting its product development and established business cycles. At the upper management level, some leaders have a mix of direct reports from both Vitec and Datapath. The intent is to understand our business processes and work toward a future-state that will incorporate the “best of breed” capabilities. These include areas like sales, marketing, operations, finance and project management. The combined organisations have talented individuals that will each have an opportunity to contribute to the success of our future growth.