Cloud-based video encoding service Encoding.com has been selected to encode videos across the AOL On Network.
The customer win is the second big announcement for the startup, which last week said it had landed the encoding business of Internet TV Network Revision 3.
The latest agreement means that every video being pushed through the AOL On Network will be done so through Encoding.com.
Encoding.com President Jeff Malkin said the deal with AOL, as well as that with Revision 3, is indicative of some macro trends in the video encoding space. More content owners and distributors are moving away from DIY workflows that can be capital intensive.
The value of outsourced cloud computing, he said, has begun to outweigh any perceived issues with the cloud, and AOL was intent on maximizing its ROI on video.
Malkin told FierceOnlineVideo that the AOL deal has matured over a long period of time, and said the web site has been testing Encoding.com's capabilities for several months, especially its ability to encode a huge influx of videos quickly and with sustainable quality.
There was, he said, "lots of benchmarking" to meet speed requirements.
"Working with the newly-launched AOL On Network is very exciting for us and has proven Encoding.com's ability to scale to support huge volume and real-time requirements," said Malkin.
AOL has steadily increased the amount of video it's presenting, including a growing amount of original content.
- see this release
Encoding.com lands Revision3's encoding business
Encoding.com adds analytics to its Vid.ly Pro program
Encoding.com integrates Vid.ly, creates 'future proof' encoding
Encoding.com, Wowza Media partner on encoding solution
Encoding.com launches pro version of video URL shortening service Vid.ly