Macrovision Buys Consumer Electronics Software Maker Mediabolic

Macrovision, based Santa Clara, Calif., said Wednesday the acquisition was completed Jan. 1. Mediabolic is a privately held company based in San Mateo, Calif.

Macrovision's portfolio includes the popular InstallShield tool used by developers to deploy applications on Windows and copyright-protection technology that prevents copying DVDs. Mediabolic's software is used by hardware manufacturers to build electronic devices, such as televisions, set-top boxes, and digital video recorders, that can discover, store, and play back Internet-based content.

"Mediabolic's software is a strong fit with our road map to help content owners transition from the world of physical media to the digital world on the strength of our technology and partner ecosystem," Fred Amoroso, chief executive of Macrovision, said in a joint statement with Mediabolic.

Most Internet content today is accessed through a home computer. Analysts say online video won't achieve its market potential until people are able to easily view downloaded movies and other content on their larger TV screens.

"We believe the opportunity to liberate content from the PC and move it throughout the home will become more important," Dan Putterman, founder and chief executive of Mediabolic, said. "By joining Macrovision, we will be in even a better position to help CE manufacturers, content owners and consumers work together to benefit from the emergence of digital media."

Macrovision paid $43.5 million in cash for all Mediabolic shares. The acquisition is expected to add to Macrovision's earnings in 2008 but decrease its 2007 profits by up to 10 cents a share.