Brightcove, a video cloud solution for managing, delivering and monetizing video content, announced on Wednesday it is entering an agreement to acquire video ad tech firm Ooyala for $15 million — $6.25 million in cash and the remainder in Brightcove shares. The deal is expected to close in the first half of 2019.
Why you should care
Video marketers and publishers use Brightcove to manage their brand’s video inventory. With the acquisition of Ooyala, Brightcove will be able to offer clients a more comprehensive video management and technology platform while significantly growing its customer base and market reach.
According to the announcement, Brightcove will acquire Ooyala’s online video technology solutions, including Backlot, Analytics and Live platforms, along with the company’s underlying IP and associated patents.
“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,” said Brightcove CEO Jeff Ray.
More on the news
- In addition to acquiring Ooyala’s technology platform, Brightcove reports it will also take ownership of “substantial portions” of Ooyala’s engineering, support and sales staff, in addition to its customer, reseller and partner relationships.
- The acquisition announcement comes on the heels of Brightcove’s fourth quarter financial results for 2018. Company revenue for last year reached $164.8 million, a six percent year-over-year increase.
- Ooyala CEO Jonathan Huberman said the deal ensures Ooyala’s customers will receive a “world-class experience” and is pleased customers will get to work directly with a market leader.
This story first appeared on MarTech Today. For more on marketing technology, click here.
About The Author
Amy Gesenhues is Third Door Media’s General Assignment Reporter, covering the latest news and updates for Marketing Land and Search Engine Land. From 2009 to 2012, she was an award-winning syndicated columnist for a number of daily newspapers from New York to Texas. With more than ten years of marketing management experience, she has contributed to a variety of traditional and online publications, including MarketingProfs.com, SoftwareCEO.com, and Sales and Marketing Management Magazine. Read more of Amy’s articles.