From Wikipedia, the free encyclopedia
BigBand Networks (known as
BigBand ; NASDAQ: BBND) is a multinational corporation
headquartered in Redwood City, California, United States.
BigBand manufactures and sells digital video and data processing
platforms and solutions in areas ranging from digital video to CMTS.
Locations
BigBand has 2 major development centers. The main Video products
development center is located in Tel Aviv, Israel with roughly 200 people. The main Data
and Voice products development center is located in Westborough, Massachusetts
with roughly 175 people [2]. A
small video development group resides in the Redwood City headquarters and
a fourth research and development office was recently open in Shenzhen, China[3].
Products and
Technologies
The company sells video, voice and data solutions directly to
major cable Multi-System Operators MSOs. Amongst
the company's biggest MSO clients are Comcast, Time Warner Cable, Cablevision and Cox. In
recent years the company expanded the video offering to Telcos,
with Verizon becoming their biggest
customer in 2006. BigBand products include a digital video
processing platform called BMR and a Cable Modem Termination
System (CMTS) called Cuda. The video platform enables services
such as Switched Video [4], Digital Cable, Video on demand and IPTV offered on a variety of transport networks
such as QAM cable, DSL and Verizon FiOS.
Recent
Affairs
BigBand went public in March 2007[5]. The
offering was underwritten by Morgan Stanley, Merrill Lynch, Jeffries & Company,
Cowen & Company and ThinkEquity[6].
BigBand is currently suing a firm started by ex-employees. The
firm, called Imagine Communications, is allegedly infringing on 3
of BigBand's patents covering video processing and bandwidth
management techniques[7].
Class
Action Lawsuit
In October 2007, a class-action shareholder lawsuit was filed on
behalf of shareholders who purchased BigBand Networks Inc.
securities in the company’s IPO on March 15, 2007.[8] The
lawsuit seeks to pursue remedies under the Securities Act of 1933.
The complaint alleges BigBand violated the Securities Act, and that
company insiders including the CEO, CFO and CTO knowingly published
misleading and false statements about the company’s financial
health and product offerings. In particular, the complaint alleges
that BigBand materially misstated their revenues, and engaged,
among other allegations, in the practice informally known as channel
stuffing to artificially inflate their financials prior to IPO.
As a result of failing to meet its guidance, BigBand Networks stock
has suffered a drop from its post-IPO high of $21.43 to a low of
$3.76. It is now considered "one of the poorest IPO's of 2007". In
addition, "management has lost credibility" and it has been
suggested that it's time for the CEO to "step aside".[9]
References
External
links
- Business data
Redwood City,
California, USA
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