According to sources familiar with the matter, Yahoo is close to acquiring online video startup RayV--a purchase that may help shore up the technology behind its own video efforts, The Wall Street Journal reports.
Los Angeles-based RayV, founded in 2006, spent its first six years developing software to improve streaming of HD video over the Internet and to mobile devices before launching its services in 2012. The software suite includes a content distribution network along with digital rights management and a content management system.
The startup has raised more than $40 million from investors including Accel Partners, Dragon Ventures and others, and has an R&D operation in Tel Aviv.
Neither Yahoo nor RayV would comment to WSJ on the matter, and details of the potential deal weren't available.
Although it's made over three dozen small buys since CEO Marissa Mayer took the reins in 2012, Yahoo's acquisition success has been mixed over the past year. Its bids to acquire DailyMotion, in France, and Hulu did not pan out. However, it is still in talks to acquire white-label provider News Distribution Network for a reported $300 million.
Yahoo is also moving forward with more original content on its online video service, Yahoo Screen, which launched last September. Last November, it signed anchor Katie Couric as "the face of Yahoo News." The provider in April renewed its relationship with music video service Vevo to help boost views.
For more:
- The Wall Street Journal has this story
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