Autodesk Inc. announced that it has signed a definitive agreement to acquire substantially all of the assets of Colorfront Ltd., the leading developer of color correction technology for film studios and digital film laboratories, for $15 million. This acquisition will bring comprehensive new expertise in film laboratory processes, digital post-production, color science, image processing and hardware platform optimization to Autodesk. The transaction is expected to close in the next 45 days, and to be neutral to Autodesks earnings in fiscal year 2006.
Colorfront, a privately held company based in Budapest, Hungary, worked with Autodesk to co-develop the Discreet Lustre digital color grading system. Introduced in April 2003, the Lustre system has been used on feature films such as THE POLAR EXPRESS, THE PHANTOM OF THE OPERA, PIRATES OF THE CARIBBEAN and MASTER AND COMMANDER: THE FAR SIDE OF THE WORLD. Colorfronts product portfolio also includes color correction plug-ins for Autodesks Discreet systems.
Autodesk is committed to providing industry leading tools that empower all content creators to better realize their ideas. The acquisition of Colorfront underscores this commitment and is a key component of our film strategy to provide a full suite of integrated end-to-end solutions for everything from pre-visualization through to distribution, said Martin Vann, vp of worldwide sales, marketing and support for Autodesks media and entertainment division. Digital filmmaking is driving the biggest shift ever in the filmmaking process. By more deeply integrating the industry leading Lustre system technology into our product family, we will be able to offer our customers better workflow and collaboration tools, ultimately enabling a more profitable creative process.
The Colorfront team has a proven track record of innovation and fast-paced development, added Marc Petit, vice president of product development and operations at Autodesks media and entertainment division. The integration of Colorfronts skills with our Discreet systems team will benefit all our product lines.
The Lustre system began shipping less than two years ago, and has enjoyed rapid adoption. As commercial off-the-shelf computer performance continues to improve, new opportunities are appearing in television markets. Attracted by new performance levels and the unique creative capabilities that software-based color correction offers, a growing number of commercial post-production facilities are also adopting the Lustre system.
Mark Jaszberenyi, ceo of Colorfront, said, Colorfront is proud and excited to become a part of Autodesk. Its a logical and welcome evolution of our relationship, giving us the joint ability to drive faster innovation and productization of R&D initiatives. Together, we will be able to ensure continued long-term leadership in the digital intermediate and color grading market.
Mark Jaszberenyi, a film industry veteran and color science expert, will join Autodesk media and entertainment divisions R&D team in Montreal, Canada. Colorfront co-founder Aron Jaszberenyi remains onboard in Budapest to manage the integration. Colorfront employees will continue their R&D activities in Budapest, as part of Autodesk Hungary Kft.
Autodesk Inc. is the world's leading software and services company for the building, manufacturing, infrastructure, digital media and wireless data services fields. Autodesks solutions help customers create, manage and share their data and digital assets more effectively. Founded in 1982, Autodesk is headquartered in San Rafael, California. For additional information, visit www.autodesk.com.