The US-based Sigma Designs Inc and Vietnam Multimedia Corp (VTC) have reached an agreement to establish a joint venture to develop and market set-top boxes for digital television, smart energy products and home connectivity solutions.

The Vietnam-headquartered joint venture, VietSilicon Technology Joint Stock Co (VSilicon), will enable the two companies to accelerate their growth in the Vietnamese market by combining proven IPTV semiconductor technology with VTCs unparalleled local content and network in Vietnam.

Under the terms of the agreement, the joint venture will combine an experienced team, technology development, products, sales and marketing. With the combined talent, capabilities and capital sharing, the joint venture will also provide the focus required to speed innovation and delivery of products to market in Vietnam.

Sigma Designs expects the joint venture to introduce two new products in 2011.

“Sigma Designs has the technology we need to modernize the market in Vietnam, so by working closely with Sigma, we will accelerate Vietnam’s transition to the digital era,” ” said Nguyen Hoang Phong, president of VTC Digicom.

“The combination of our experience in the media processor and connected home and VTC’s experience in digital television will help us meet Vietnam’s increasing demand for high-definition set-top boxes and smart energy solutions,” said “Thinh Tran, CEO of Sigma Designs.

“We are trying to modernize the Vietnamese high technology sector,” said Dr. Chu Ngoc Anh, Deputy Minister of Science and Technology.

The state-owned VTC, Vietnam’s largest multimedia corporation in Vietnam, and has more than 4 million subscribers.

Sigma Designs is a leading semiconductor provider of highly integrated system-on-chip (SoC) solutions that are used to deliver entertainment and control throughout the homes.

Source: VIR