Motorola will acquire Kreatel, the Swedish developer of set-top boxes for internet protocol television. Terms of the deal have not been disclosed.

Kreatel produces Linux-based set-top boxes and systems that extend to application and middleware software for IPTV services. The company provided the first IPTV set-top boxes for FastWeb in Italy. Its customer base includes TeleSonera in Sweden, Telefonica in Spain and KPN in the Netherlands.

Motorola is a Fortune 100 company with a turnover of more than $30 billion.

“Combining Motorola and Kreatel’s strengths is immensely attractive to green field video networks around the world and provides a critical solution as service providers evolve their video networks in the future,” said Dan Moloney, president of Motorola connected home solutions. “Motorola will have a flexible IPTV portfolio that addresses the real challenges faced by service providers worldwide as they build and evolve their networks.”

It is the latest move in the consolidation of suppliers in the emerging IPTV market, as companies align their competitive position. Cisco recently announced the acquisition of Scientific-Atlanta. Further alliances and acquisitions can be expected.