Internet appliance maker Coollogic Inc announced Tuesday that it will acquire the assets of ON Channel Inc, a developer of embedded Linux open source software for web-enabled appliances. No financial terms of the deal between the privately-held companies was disclosed. Dallas-based Coollogic says the deal brings the power and adaptability of embedded Linux into its line of devices and positions the company to capitalize on the explosive growth of the open source operating system.

The embedded Linux technology will enable the appliances to run a variety of third-party applications and plug-ins, including Netscape Navigator, Macromedia Shockwave and full Java, Coollogic claims. Coollogic plans to begin shipping Linux-based appliances running Navigator by year-end. ON Channel’s operations will move from their Davis, California headquarters to Dallas.