Brightcove just announced that it’s acquiring Ooyala’s online video platform business.
The deal brings together two long-lasting players in the online video industry. Brightcove was founded in 2004 and went public in 2012, while Ooyala was founded in 2007 and was acquired by Telstra before management bought back the company last fall. (Back when it was part of Telstra, Ooyala sued Brightcove for alleged theft of trade secrets.)
When Ooyala had become newly independent, CEO Jonathan Huberman said the company had two main businesses, its video platform and its media workflow tools — and although the video platform accounted for the majority of its business, Huberman saw more opportunity on the workflow side.
Brightcove says the deal includes Ooyala’s video content management and publishing platform Backlot, Analytics, Live and the underlying IP. It also says it will be bringing on “substantial portions” of the Ooyala team, including its operations in Guadalajara, Mexico.
In the acquisition release, Brightcove CEO Jeff Ray said:
Ooyala has tremendous global customers who understand the power of video and its ability to transform business and reach new customers. This transaction, which includes immediately growing our highly skilled and committed global workforce, accelerates our ability to deliver faster innovation and deeper support for all customers. We also will increase our market reach and further strengthen our ability to secure new business in key target markets. We look forward to welcoming Ooyala’s OVP customers and ensuring a smooth transition and a world-class experience for them.
Update: Brightcove says it disclosed the price in its earnings call — approximately $15 million, consisting of $6.25 million in cash and the rest in Brightcove shares.
Shiv has over 8 years experience working on Internet of Things and an avid user of Drones