Mirifice, whose technology ensures the quality of a TV signal, has signed up a US Internet protocol TV operator as a customer and is moving out of the SETsquared incubator offices in Bath into offices which will allow it to more than double its size.

“We’ve signed an agreement with a telco to deliver a solution for IPTV users,” Paul Tinkler, CEO of Mirifice, told EW. “It’s perfect for us. It’s a 40,000 user system but it brings us contacts with the cable providers, and they have millions of users.”

Mirifice’s patented technology sits on a set-top box and measures the parameters which define good and bad quality signals. ”It allows customers to get an early sight of that and to deliver a solution remotely,” said Tinkler.

Consequently, operators avoid call-outs to users’ premises and, ultimately, avoid losing customers whose signal quality can be improved before they realise it needs improvement.

Mirifice is cash-flow positive and made a profit last year on £750,000 revenues. Customers include service providers NTL and Telewest, set-top box manufacturers Pace Micro Technology and Thomson, and smart-card supplier Nagravision. Revenues this year are expected to top £1.5m.

Mirifice is privately funded but, in October, will present to the SETsquared investment showcase to raise £1m to fund expansion in the US.

The company has 20 employees and the move to larger offices will allow that figure to grow to 50. It has been at SETsquared’s incubator for two years. “It’s been a fantastic experience but we’ve graduated,” said Tinkler.