Verizon buys minority stake in AwesomenessTV, raising its value to $650M

New over-the-top player Verizon (NYSE: VZ) has purchased a 24.5 percent stake in AwesomenessTV, a youth-focused digital media company that branched out from its original roots as a YouTube multichannel network. Combined with majority owner DreamWorks Animation and minority owner Hearst (which also holds a 24.5 percent stake), AwesomenessTV's valuation has risen to $650 million, according to Variety.

AwesomenessTV has developed some original content specifically for Verizon's Go90 OTT service already. Alongside the service provider's investment, AwesomenessTV will be creating a short-form video property that will launch exclusively on the Go90 service.

This investment moves Verizon's OTT strategy ahead as it continues to target millennial-aged viewers on its mobile-first service. Release

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