London-based Videotel provides films and electronic learning services to more than 11,000 ships.
KVH is paying £28.7m ($48.9m) in cash.
Videotel CEO Nigel Cleave told TradeWinds KVH approached his company about a deal.
"They're a big company and very nice people. This propels us into the future," he added.
It will be business as usual for Videotel with management remaining in place.
“The acquisition of Videotel is an important addition to our portfolio of services targeting the needs of commercial seafarers and supports our strategic vision of extending our maritime broadband service to include delivering premium content to vessels,” said Martin Kits van Heyningen, KVH’s CEO.
Videotel
