Sonic Foundry, Neusoft Sign Expanded Distribution Deal For Mediasite In China

(RTTNews) - Sonic Foundry, Inc. (SOFO), a video creation and management solutions company, announced Thursday that it has signed an expanded distribution agreement with Neusoft Cloud Technology Co., Ltd, a subsidiary of China-based IT solution and service provider Neusoft Corp. The five year agreement includes commitment to significant revenue thresholds for the first 18 months.

In accordance with the agreement, Neusoft will commit to $3.1 million in revenue through the end of fiscal 2016, with billings beginning in the third quarter of fiscal 2015. The agreement provides for further revenue commitments in following years at increasing annual levels.

The company said the agreement formalizes the existing strategic relationship between the companies, and confirms a mutual commitment to meet the growing demand in the Chinese market for enterprise video.

Neusoft will also assume responsibility for localization of the software and building the Mediasite brand in China.

Sonic Foundry said the partnership will enhance its already strong international presence. With customers in 60 countries and the recent acquisitions of Mediasite KK in Japan and MediaMission in the Netherlands, the company saw an 84% growth in international billings overall in fiscal year 2014.