The man who helped turn round the fortunes of Shipley-based set-top box maker Pace Micro Technology plc is to pave the way for a new era at the company and spearhead plans for radical diversification.

Although John Dyson will step down as chief executive he will take on a new role as executive director of a slate of new ventures designed to move Pace away from its reliance on set-top box manufacturing.

Mr Dyson told the Telegraph & Argus that he would be pushing ahead with plans to develop remote healthcare systems which could help slash costs and revolutionise treatment.

He said the systems had many potential applications and would be aimed primarily at people in their own homes. Patients recently discharged from hospital after surgery could use the equipment so

that their progress could be monitored at

a distance.

Patients with high blood pressure could avoid repeated trips to hospital by using the new products to send information to hospital.

"You end up better off," said Mr Dyson. "The service costs less to deliver than traditional services so everyone benefits. This is something which has been in development around the world for five years but it will be three years before you see any real pay back.

"In the mean time, Pace's traditional set-top box business is going very well and we're getting more customers and new business.

"The new remote healthcare market is where we can add value from our previous experience by approaching the customer base direct. Pace can earn some recurring revenues and move the business away from a set-top box supplier towards a more secure business."

Mr Dyson, who has held the chief executive's role for three years, joined Pace eight years ago. He will also continue as chief executive until a suitable replacement is found and recruited.

Pace chairman Sir Michael Bett said: "The board is very grateful to John who has done an excellent job steering the company through a particularly difficult time and leading the group into a strong position to attack the next phase of its growth. The board has asked John to continue to be involved with the group and I am sure he will bring us success in our new markets."

In a trading statement covering the three months to August Sir Michael said that despite delays in the development of new products shipments and margins had been in line with expectations.

He added that this year's results depended on good project delivery but second half revenues were expected to be "significantly" ahead of first half revenue.

"The board is optimistic about a number of new pay TV market opportunities and technology projects the company is pursuing," said Sir Michael. "Moreover, we will be making a number of new product announcements about our high definition and mobile products at the International Broadcasting Convention in Amsterdam later this week."