U.K.-based set-top box manufacturer Pace Micro Technology signed a deal with DirecTV to supply next generation set-top boxes in 2006, strengthening Pace’s position in the U.S. set-top box market. DirecTV has more than 14 million subscribers.

Earlier this year, the Pace signed a three-year deal worth up to $550 million to produce set-top boxes for cable operator Comcast.