Amazon Buying Elemental

Amazon (NASDAQ:AMZN) Web Services has reached an agreement to acquire Elemental Technologies, providers of software-defined video solutions for multiscreen content delivery. The acquisition is intended to bring together Elemental's video solutions with the AWS Cloud platform. Terms of the acquisition were not officially disclosed, but some sources say the purchase price was $500 million. The acquisition is expected to close in the fourth quarter.

Founded in 2006 and headquartered in Portland, OR, Elemental will continue to operate its business under its existing brand. Elemental will also expand the integration of its offerings with AWS, and through collaboration with AWS, develop solutions leveraging on-premises assets, hybrid architectures, and cloud. At IBC in Amsterdam, AWS and Elemental will feature a variety of cloud video and video streaming workflows at the companies' respective booths.