CATV MSO's are actively searching for the best technologies as they deal with the bandwidth crisis.

Implications: 1.  CATV MSO's are faced with dealing with heavy bandwidth requirements for high definition TV, Video-on-Demand, and higher speed data needs of customers. 2.  CATV MSO's are looking for the best fit technologies for the issues they face, as long as the cost is in line with their budgets.

Analysis: The Light Reading article is about Harmonic, Inc., who acquired Entone Technologies' video-on-demand (VOD) software in 2006, closing a deal with Multimedia Polska SA, a Poland-based IPTV service provider.  According to the article, Harmonic had targeted the tier2 and tier3 service providers, but apparently, has the attention of at least one CATV MSO in the US market. 

Both Entone and Harmonic have been attentive to the less than huge service providers with their gear  (Entone is focused on set-top boxes and smart network interfaces), with Entone selling IPTV boxes to Hickory Ridge Tel that help reduce the overall capex involved with providing video to all the sets in the house via the home coax wiring.  Reducing capex for any size telco is a real plus as is Harmonic's VOD software deal with the Poland-based service provider.  Perhaps, smaller technology companies that are focusing their sights on the tier2,3 service providers have the prospect of gaining the attention of major service providers, as those big companies strain their current vendor set with price reductions and product improvement requests for more and more bandwidth, services, features, etc.  Perhaps, also the larger vendors are paying attention to their less bulky competitors to improve their product offerings.