Tomahawk, WI 05/01/2014 (Basicsmedia) – IT services company Cognizant Technology Solutions Corp (NASDAQ:CTSH) recently entered into a conclusive agreement to acquire Itaas, a US-based digital video solutions company, for an unspecified amount.

It is likelythat the acquisition will allow Cognizant to capitalize on the increasing demand for a higher degree ofinteractivity, personalization and innovative content delivery in the video and multi-screen market.

A Brief Look at Itaas

Founded in 1999 by three individuals of Indian origin, Itass employs about two hundred people in the US, Canada and India. The company, headquartered at Atlanta, helps in delivering digital video services across traditional broadcast, cable, telecom networksand on consumer-grade electronics such as set-top boxes, smartphones and tablets.

As an increasing number of people access Internet video content directly through their television sets, communications-centric companies are looking out for open platforms that would effectively reduce time-to-market, while digital device companies are working on supplying content with connected devices.

The multiplatforCognizant Technology Solutions Corp (NASDAQ:CTSH) and digital video engineering that Itaas possesses would extend and supplement Cognizant’s infrastructure that serves the media and communications industries. The extended capabilities will additionally support other industries such as banking, healthcare and retail – which are initiating roll-outs of business and customer platforms centered on video.

Cognizant’s Point Of View

Rajeev Mehta, the Chief Executive of IT Services at Cognizant stated that this acquisition would continually fuel theirtime-honored strategy of acquiring business capabilities that focus on complementing their existing offerings.

He also said that Cognizant Technology Solutions Corp (NASDAQ:CTSH)’s strong focus on clients, their deep tech and business-oriented insights into the whole video ecosystem, mixed with Cognizant’s international consulting and delivery capabilities, would create a greater degree of value for their mutual clients. As multiplatform video proceeds to become the new norm, newer technologies would spawn a higher number of more empowered, tech-savvy consumers. In time, an increasing number of industry sectors would look to exploit the potential of video for interaction with customers. This acquisition would strengthen Cognizant’s ability to help conglomerates challenge the status quo, design adaptive business models in response to changes in the market and competitive pressures in their respective industries.

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