Feeds

AOL seeds future with video buy

Finds $37m after December layoffs

Intelligent flash storage arrays

Still-existing web outfit AOL has spent $36.5 million to acquire StudioNow, a Nashville-based startup that builds online video platforms for other companies.

AOL intends to work StudioNow's mojo into Seed.com, the company's media clearinghouse launched last year shortly after the 26-year-old internet company was spun-off from media giant Time Warner.

Seed.com solicits, buys, and distributes topical online content from freelancers across all of AOL's properties. StudioNow will contribute to AOL's in-house video work as well as advertising and content partners.

"Premium original video creation is a fundamental part of AOL's strategy to offer consumers world-class, stimulating content at scale and the integration of StudioNow into Seed.com will enable us to increase our video content/offerings significantly," Tim Armstrong, AOL chief executive and chairman, said in a statement (that really should have been two separate sentences for clarity's sake).

StudioNow will also continue to develop its existing business of selling online video creation and distribution platforms for commercial companies.

The acquisition of StudioNow closed on January 22 and valued at $36.5m in cash and stock, with a portion of the legal tender paid out over "multiple years."

In December, AOL announced plans to lay off about 1,400 employees after it failed to reach its goal of convincing 2,500 staff to take voluntary redundancy. Only about 1,100 workers took the voluntary redundancy plan, leaving AOL with the task of passing out pink slips to the rest.

No word as to the fate of StudioNow's crew. ®

Top 5 reasons to deploy VMware with Tegile

More from The Register

next story
Doctor Who's Flatline: Cool monsters, yes, but utterly limp subplots
We know what the Doctor does, stop going on about it already
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
'Cowardly, venomous trolls' threatened with TWO-YEAR sentences for menacing posts
UK government: 'Taking a stand against a baying cyber-mob'
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Ex-US Navy fighter pilot MIT prof: Drones beat humans - I should know
'Missy' Cummings on UAVs, smartcars and dying from boredom
Sysadmin with EBOLA? Gartner's issued advice to debug your biz
Start hoarding cleaning supplies, analyst firm says, and assume your team will scatter
Zippy one-liners, broken promises: Doctor Who on the Orient Express
Series finally hits stride, but Clara's U-turn is baffling
Don't bother telling people if you lose their data, say Euro bods
You read that right – with the proviso that it's encrypted
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
Win a year’s supply of chocolate
There is no techie angle to this competition so we're not going to pretend there is, but everyone loves chocolate so who cares.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.