Looking to increase the amount of professional-quality online video content it offers, AOL today announced it has acquired Nashville, Tenn.-based StudioNow in a cash and stock deal valued at $36.5 million; a portion of the cash will be paid out over multiple years. The acquisition of the Internet video company will allow AOL to integrate a fully functional video creation platform into its newly-launched content management system, Seed.com. StudioNow will also continue to develop its existing business as a provider of online video creation, management, storage and syndication services to commercial companies.
The three-year-old company helps companies create, store, and manage content and syndicate it online at an affordable price. StudioNow works with a network of more than 3,000 freelance filmmakers, editors, animators, voice talent and writers/producers, and was named to the AlwaysOn Global 250 Top Private Companies List, which honors private, emerging technology companies that create new business opportunities in high-growth markets.
AOL CEO and chairman Tim Armstrong said the integration of StudioNow into Seed.com will allow AOL to significantly increase its online video content offerings.
"The successful combination of a talented team, innovative technology, seasoned/professional video creators and strong client service has rapidly established StudioNow as a leader in online video creation and syndication," he said. "Those strengths bring AOL significant strategic benefits and we're delighted that StudioNow is joining the AOL family. Premium original video creation is a fundamental part of AOL's strategy to offer consumers world-class, stimulating content at scale."
- see this release