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Harris Corporation Opens New Broadcast Manufacturing Facility for Digital Television Transmitters in Brazil
Posted on Monday, August 23, 2010

Localized Manufacturing Will Enable Harris to Leverage Strong Growth Potential of Brazilian Market as it Continues Digital Transition

Localized Manufacturing Will Enable Harris to Leverage Strong Growth Potential of Brazilian Market as it Continues Digital Transition

SAO PAULO, Aug. 23 -- Harris Corporation (NYSE: HRS), an international communications and information technology company, today opened a new factory in Brazil to manufacture low- and mid-power UHF television transmitter products to support the region's transition to digital television. The facility will enable Harris customers in the region to benefit from competitive pricing, improved lead-time and immediate access to post-sales support.

Located in Campinas, a region 80 miles northwest of Sao Paulo, the plant will produce Harris® Maxiva™ UAX air-cooled solid-state transmitters for distribution to broadcasters across Brazil, as well as throughout Mercosur (the Common Market of the South) and other Latin American countries.

The strong growth potential of the Brazilian broadcast market was one reason Harris decided to invest in a local manufacturing presence. In preparation for an analog shut-off date in 2016, Brazilian broadcasters are in the process of migrating to the ISDB-Tb digital format that has been adopted in the country. To date, only 120 channels out of the approximately 10,000 television licenses that currently exist in Brazil have made the transition from analog to digital.

"With the DTV rollout just beginning to gain momentum, and with the world's highest-profile sporting events coming to Brazil in 2014 and 2016, the timing of this initiative could not be better for Harris or our customers," says Nahuel Villegas, vice president, CALA Sales and Services, Harris Broadcast Communications. "We are pleased to support this exciting time in Brazil's broadcast history with a local manufacturing presence that will enable us to maximize value for our loyal customers in the region."

The new Brazil operation will allow Harris to leverage several advantages of the region, such as Mercosur trade agreements and the Basic Productive Process (PPB), which provides tax incentives for products produced in the country. Harris has also registered its Maxiva UAX transmitters with the Brazilian Development Bank (BNDES), which will enable its customers to obtain financing from BNDES further increasing the company's competitiveness in the Brazilian market.

The Campinas factory is designed to scale to meet demands as they increase and track market trends. The new plant will produce transmitters available in the low-to-medium digital power levels, as Harris expects that transmitters in this power range will comprise approximately 90 percent of the local market demand over the next five years.

Harris has been adapting its broadcast products to ISDB-Tb since Brazil adopted the standard, and now offers a complete, cost-effective ISDB-Tb solution that includes transmitters, SD and HD encoders, multiplexers, single- and multi-frequency networking adapters, closed caption generators and gap fillers. Harris is the market leader in ISDB-Tb systems in Brazil, with more than 60 transmitters sold throughout the region to date.

Harris Broadcast Communications offers products, systems and services that provide interoperable workflow solutions for broadcast, cable, satellite and out-of-home networks. The Harris ONE™ solution brings together highly integrated and cost-effective products that enable advanced media workflows for emerging content delivery business models.